Investing in Courier Business

Most often some investors put their money in the courier business just for the purpose of reaping immediate profit the business can offer. But operating courier business goes beyond that. Courier professionals have advised that people investing in courier should be people who have love for the business and not necessarily people who are in a hurry to reap  profit of their investment in a short while.  Investors should be made to understand that getting a courier license is not the end in itself but just only the beginning. There is no doubt that courier business is profitable but to a large extent, the profitability depends on how much is invested into the business coupled with how such a business is managed.
Courier business needs a sizeable level of financial involvement to be able to be on ground. A courier company, operators have argued, without a good network will only be chasing shadows. Therefore courier business needs commitment both financially and in monitoring how the business operations go..
It is really unfortunate that some courier companies are used as a cover for other businesses. The fact that they applied and got their licenses from the Courier Regulatory Department upon the payment of one million naira technically qualifies them to operate the business.  They also meet up with the renewal of their licenses every year. So they cannot be said to have flouted the regulatory laws in as much as they operate under the ambit of the laws. The major problem with arm chair investors or portfolio investors if you like, is that their activities cannot contribute to moving the courier business to the next stage. Such people are only interested in their profit which they use their connections to corner. They are not interested in reinvesting their profits into the business and can as well go to any length to protect their interest. It is really heartbreaking that about one third of the courier companies are owned by such kind of investors.
The Courier Regulatory Department perhaps should look in this direction by doing a random check on courier companies and see when last some of them carried mail or parcel for clients. The investigation, I am sure will be revealing.
Investors should explore other areas of investment in the courier sector instead of making money from the sector and divesting it to other areas outside of the courier industry.
Stakeholders have also argued that at least ten years requisite experience in the courier industry should be ideal before one can become a managing director of a courier company as applicable in other professions.  For the industry to be where it should, activities in the industry should be directed by people who are knowledgeable in the field. There is need for cross-fertilization of ideas by operators in the industry and this cannot be achieved if the attraction for being in the business is just for the profit the business can yield.  Courier business is still evolving and there is need to form a formidable body that can always protect the interest of stakeholders in the business.  The leadership of two  notable bodies   in the industry ,  the Nigeria International Air Courier Association ( Niaca) and the Association of Nigeria Courier Operators ( Anco)  are finding it difficult  getting followership and moving the industry forward  because most  of the times during congresses, the quality of representation is nothing to write home about . Most managing directors don’t have time for meetings and people that represent them; mostly marketing executives cannot take decisions that affect their companies on the floor of the meeting without being briefed by their bosses. This to a large extent has retarded the progress expected from the sector. Investors in the courier sector should start thinking otherwise.