Key Takeaways

  • To get delivery contracts, start by defining your niche and tailoring your services.
  • Essential investments include reliable transportation, specialized equipment, and insurance coverage.
  • Building strong relationships with local businesses, government agencies, and e-commerce platforms helps secure long-term contracts.
  • Bidding, networking, and maintaining compliance with industry regulations increase your chances of winning contracts.
  • Marketing, technology adoption, and exceptional customer service are key to sustaining growth in the delivery industry.

If you’re wondering how to get delivery contracts, the first order of business is to establish your niche. For example, Seamless has established itself as the go-to delivery service, delivering food from a restaurant to a customer who just wants to order take out, rather than go out to eat or pick up their food.

While many restaurants do deliver, Seamless has successfully established themselves in that niche so that individuals can order from those restaurants that do not typically deliver, while also providing, “one stop shopping” for customers, as they can use the app or website to look at all of the restaurants in their area from which they may want to order.

Other examples of popular niches include:

  • Moving companies
  • Piano movers
  • Medical couriers

By identifying your company’s niche, it allows you to better target your marketing efforts, while also providing clarity as to the scope of your services to potential customers. After all, if you are specifically a company that specializes in moving pianos, you do not want to give the impression that you are a general moving company that will cart belongings from one state to the next, as that would waste a lot of time and energy being for your business.

Transportation

It seems pretty obvious, but if you are establishing some type of delivery service, you will need some means of transportation to carry those goods. The type of vehicle you need may be specific to the kind of delivery service you are operating. For example, if you are running a food delivery service or plan on being a medical courier, it will probably be prudent to have a vehicle that is temperature controlled.

Generally speaking, for most delivery services, the best types of vehicles are cargo trucks, pick-up trucks, and box trucks. Fortunately, there are any number of resources available that rank and review the best options out there, but you will probably also want to pay close attention to the fuel efficiency of whatever type of vehicle you choose to buy. After all, you do not want to turn around and spend all of our profits on gas and oil for the truck!

The good news there is that more and more car manufacturers are also paying closer attention to creating fuel efficient vehicles, as society becomes increasingly aware of that need; this pertains to trucks, SUVs and larger vehicles, too, which have historically not always been known for their fuel efficiency. To get a head start on your research, Ford and Mercedes both make models that are quite popular among delivery service companies.

Certainly, buying a vehicle, particular a large one like a truck, can be quite a financial investment, and understandably, you may have concerns about making that significant a purchase at the early stage of your business. After all, depending upon whether you are buying new or used, you can be looking at anywhere between $18,000 to $50,000. Fortunately, you can use a business loan from your bank or financial institution for said purchase, provided that the vehicle you are purchasing is to be used primarily for your business and not as a personal or family vehicle.  

Insurance and Compliance

Before applying for delivery contracts, most companies and government agencies will require proof that your business is properly licensed and insured. At a minimum, delivery businesses often need:

  • General liability insurance to cover property damage or accidents.
  • Commercial auto insurance for vehicles used in deliveries.
  • Workers’ compensation if you have employees.
  • Cargo insurance for high-value or sensitive goods.

In addition, you may need specific permits or licenses depending on your region, such as a business license or special certifications for transporting medical or hazardous materials. Meeting these requirements not only keeps your operations legal but also makes you more competitive when bidding for contracts.

Equipment

Congratulations! You have established your niche, and you have identified and purchased the perfect vehicle for your business. All done, right? Well, maybe. But, you may need some additional equipment, depending upon the specifics of the delivery service business you are starting.

If you are a food delivery service, then a temperature-controlled vehicle may be all the equipment you need. With medical transport, you may also want to ensure that you have proper medical grade protective gear, such as suits and gloves. However, if you are a piano mover, then just the truck alone won’t be sufficient; no matter how strong you are, you probably cannot move a baby grand up and down stairs by yourself! You will want to invest in the necessary pullies, ropes, and hand trucks to safely and effectively move a piano.

By making sure you have all of the equipment that you may need for your delivery service company, you can accept more jobs without having to put out money on leasing or borrowing equipment, or by subcontracting with another company.

Where to Find Delivery Contracts

Once you’ve set up your business, the next step is learning where to look for contracts. Common opportunities include:

  • Local businesses: Restaurants, pharmacies, and florists frequently outsource deliveries.
  • E-commerce platforms: Partnering with companies like Amazon Flex or other third-party logistics providers can provide steady work.
  • Government contracts: Municipal, state, and federal agencies often need delivery services for mail, medical supplies, or equipment. You can find opportunities through databases like SAM.gov.
  • Corporate contracts: Many larger companies need couriers for interoffice or client deliveries.
  • Freight brokers and online boards: Websites such as DAT or specialized courier boards post available loads and routes.

Casting a wide net while focusing on your specialty (for example, medical courier or oversized freight) helps you win contracts that match your capabilities.

Bidding and Negotiating Contracts

Securing delivery contracts often involves competitive bidding. To stand out:

  1. Research contract requirements carefully before submitting a proposal.
  2. Highlight your strengths, such as reliability, specialized equipment, or geographic coverage.
  3. Offer competitive pricing but avoid undercutting to the point of unsustainability.
  4. Demonstrate professionalism, including well-prepared documents and clear communication.
  5. Negotiate terms on service level expectations, payment schedules, and liability coverage.

A well-structured bid backed by strong references can set you apart from less experienced competitors.

Building Long-Term Relationships

Winning a contract is just the start—renewals and referrals come from building trust. You can strengthen relationships by:

  • Delivering on time, every time.
  • Communicating clearly with clients about delays or issues.
  • Offering flexible service options, such as same-day or scheduled deliveries.
  • Providing performance data to demonstrate reliability.

Satisfied clients are more likely to award you additional contracts or recommend your services to others.

Marketing and Technology

To increase visibility and win more contracts, delivery companies should invest in:

  • A professional website with online booking capabilities.
  • Social media marketing to highlight services and testimonials.
  • Route optimization software to improve efficiency and reduce costs.
  • Client portals that allow customers to track shipments in real time.

These tools show professionalism and give potential clients confidence in your ability to scale and adapt.

Frequently Asked Questions

  1. How do I start getting delivery contracts if I’m new?
    Begin by defining your niche, ensuring your business is licensed and insured, and networking with local businesses. Smaller contracts can build credibility before pursuing larger opportunities.
  2. Do I need a special license for delivery contracts?
    In most cases, you’ll need a general business license and commercial auto insurance. Specialized contracts, such as medical or hazardous materials delivery, may require additional permits.
  3. Where can I find government delivery contracts?
    Government contracts are listed on databases like SAM.gov. Local municipalities also post courier opportunities on their procurement websites.
  4. What’s the best way to win a contract against competitors?
    Offer competitive pricing, highlight your specialized services, and demonstrate reliability through references and insurance coverage.
  5. Can technology really help me secure contracts?
    Yes. Route optimization software, GPS tracking, and customer portals improve efficiency and show potential clients that your business is professional and scalable.

If you need help on how to get delivery contracts, you can post your legal need on UpCounsel’s marketplace. UpCounsel accepts only the top 5 percent of lawyers to its site. Lawyers on UpCounsel come from law schools such as Harvard Law and Yale Law and average 14 years of legal experience, including work with or on behalf of companies like Google, Menlo Ventures, and Airbnb.