How to start a Warehouse Management Business in the US


Warehouse management is a growing industry in the United States. The demand for warehouse space and related services has increased rapidly over the past decade with online shopping continuing to grow at an unprecedented rate. In this article, we’ll walk you through all of the steps you need to take to start your own warehouse management business in America.

Write your Business Plan

Writing a business plan is essential for any business owner. It’s a long-term guide to help you clarify your goals, identify potential obstacles and pitfalls, and keep track of your progress. A good business plan will also give investors or lenders confidence in your company by clearly laying out how you are going to meet the challenges ahead.

A solid plan will have these components:

  • Executive summary
  • Company description
  • Product or service description
  • Competitive analysis (if applicable)
  • Marketing plan (if applicable)

Form a Legal Entity

You can form a legal entity in the US. The first step to doing so is deciding on the type of business entity you want to use. There are four basic types: sole proprietorship, partnership, corporation and limited liability company (LLC).

For most companies, we recommend an LLC because it provides significant tax advantages while also protecting your personal assets from business debts and liabilities. You can easily form an LLC by filing Articles of Organization with the State Department of Corporations where your business will be located. It’s also possible to register as a corporation instead of an LLC if you want more complicated corporate structures or want more capitalization before getting started.

Register for Taxes

After you’ve started your business and the company has been operating for a while, you will be required to register with the Internal Revenue Service (IRS) as an employer.

After all of this is complete, you can begin hiring full-time staff members and providing them with benefits and insurance plans.

Open a business Bank Account

Now that you have your business name and number, it’s time to set up a bank account and credit card.

Bank accounts are easy to open: simply go to the bank of your choice and ask for an account application form. Fill out the information requested by the bank representative, making sure to include all pertinent details about your business such as its mission statement, target audience and core competencies. If approved for an account, make sure that you deposit enough money into it immediately in order to start using it as soon as possible; otherwise, you’ll have wasted one of the most basic resources needed for starting a warehouse management business.

Credit cards are slightly more difficult because they require proof of income or assets before being approved by banks (often with credit scores well over 700). However if you’ve been working full time for at least two years prior then getting one should be relatively straightforward — just go ahead and apply.

Obtain Necessary Permits and Licenses

To start a warehouse management business in the US, you need to obtain necessary permits and licenses. The first step is to determine what licenses are required in your state or city. You can check out this helpful guide from the U.S. Small Business Administration that outlines some examples of licenses and permits related to food service and warehousing businesses.

Once you know what permits/licenses are required, apply for them through your local jurisdiction’s online portal or office location. Each jurisdiction has its own application process so it’s important to check out their website for specific steps on how to apply for each license or permit that you need.

Get Business Insurance

  • You will need to get business insurance. You are required to have it, and it provides great protection for your business.
  • Insurance protects you from lawsuits from customers and employees if they are injured or have property damage.
  • Insurance protects against theft of inventory, equipment, tools and vehicles.
  • Insurance covers liability issues that arise if someone is injured while on your premises or while using one of your services (such as a forklift).


To sum up, you should now be able to:

  • Understand why a warehouse management business can be very profitable in the US.
  • Be familiar with the main types of warehouses and their use cases, as well as the different ways they are managed.
  • Have an idea how your warehouse management business will look like and what it will offer customers.


A warehouse management business can be a very rewarding venture, but it is not without its challenges. The key to success is proper planning and preparation. By following these steps, you will be well on your way to starting a successful warehouse management business of your own.

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