5 reasons why you might need a bonded warehouse
Posted on 11.01.2020
Bonded warehouses allow businesses to store their consignments, stock and goods while their duty or import VAT payments are suspended.
Usually, this involves your goods being packed as one very large consignment which then has to be broken down as it’s sold.
But why specifically might you need to use a bonded warehouse?
1. No need to pay import duty and VAT until goods are sold
Essentially bonded warehouses are a great option to help you manage your cash flow.
By using one, you will be given a bond and this bond ensures that there is no loss of revenue due to taxation, providing your items remain in the warehouse.
2. You’re able to provide quicker and easier deliveries
Bonded warehouses tend to already be affiliated with freight forwarding companies.
This means that, when it comes to moving and shipping your goods, you’ll have very minimal work to do.
It’s a really crucial point as it can save you and therefore your business huge amounts of time. Time that can be better spent focusing on growth and development for the future.
3. It’s very safe and secure
Of course, all warehousing is secure – or at least it’s meant to be – but bonded warehouses tend to go above and beyond, usually because they know clients are using them for the long term.
So they will include features like 24/7 monitoring, security personnel, and inventory systems.
4. Both long and short term storage solutions
Bonded warehouses take pride in meeting your business’s needs, whatever they may be.
Perhaps you need a long term storage solution? Maybe you have loads of products but aren’t planning to shift them straight away?
Many bonded warehouses agree to hold goods for years, for instance up to four years, and this means they are usually equipped to maintain quality too. For instance, they may contain extras like dry containers and deep-freeze systems.
5. You get to store anything
Many warehouses will prohibit the storage of some items, perhaps because of what they are, the material they are made from or how large they are.
But a major advantage of bonded warehouses is that they don’t have these types of restrictions.
Whatever you need to store and however many items you need to find space for, you should be fine if you choose to use a bonded warehouse.
Overall, bonded warehouses are a great option if you’re looking for flexible business storage that meets all your needs.