§1What this business is

You get a web and mobile portal built that takes orders, tracks stock in your godown, prints labels and shows customers where their parcel is. Five delivery riders on motorcycles carry parcels for online sellers and local shops. The report charges ₹60 per 500 g parcel and plans 150 deliveries a day at full capacity.

Capacity: 54,000 deliveries a year at full capacity (150 a day).

§2Is it right for you?

Who it is for

Someone with supply-chain or courier experience — the report suggests an MBA — and contacts with online sellers.

Who it is not for

Someone who cannot manage riders daily or handle lost and damaged parcels.

Advantages

  • Online shopping keeps growing in small towns
  • Low investment — bikes, computers and a portal
  • Can serve many sellers and local shops
  • Own tracking portal gives a professional image

Drawbacks

  • Big courier firms and marketplace logistics compete hard on price
  • Fuel and rider salaries are most of the cost
  • Returns and failed deliveries cost money
  • Portal must be kept running and updated

Skills you need

  • Route planning and rider management
  • Running a tracking portal
  • Signing up sellers and shops
  • Handling returns and cash-on-delivery

Why difficulty 3/5: Easy to start, but winning sellers and keeping deliveries reliable is daily hard work.

§3Market

Who buys

  • Online sellers and small e-commerce brands
  • Local shops offering home delivery
  • Distributors needing stock and dispatch support

How it sells

  • Direct contracts with sellers
  • Tie-ups with marketplaces and courier aggregators

Good to know

  • The portal covers order intake, warehouse stock, packing and labelling, pin-code allocation, mobile delivery updates and tracking.
  • The report estimates 12–15 weeks to build the portal with an IT company.

§4Raw material & machinery

ItemQtyCost
Order and tracking portal1₹1,50,000
Computers with printers and barcode scanners2₹54,000
Office and inventory set-up with networking1₹45,000
Motorcycles for delivery5₹2,40,000

From: SIDBI Stand-Up Mitra project profile — E Logistics (2018) — private guide — confirm locally

  • Fuel₹1,500 per bike a month (₹7,500 for 5)
  • Internet, portal maintenance and app store fees₹2,200 a month together

From: SIDBI Stand-Up Mitra project profile — E Logistics (2018) — private guide — confirm locally

§5Licences & registration

  1. Udyam registration
  2. GST
  3. Shops and Establishments registration
  4. Commercial registration and insurance for delivery vehicles
  5. Multimodal transport operator registration only if you book goods across more than one transport mode

We can do this registration for you

§6Schemes & subsidies

₹8.57 L fits PMEGP (service units up to ₹20 L) and MUDRA; CGTMSE can cover a collateral-free loan.

§7Money

How the investment is worked out: Portal ₹1.50 L, 2 computers with printers and barcode scanners ₹0.54 L, office and inventory set-up ₹0.45 L, 5 motorcycles ₹2.40 L, three months' working capital ₹3.681 L = ₹8.571 L. Godown rented.

Working capital: Monthly running cost ₹1,22,700 (salaries ₹85,000, godown rent ₹20,000, fuel ₹7,500); three months kept as margin.

Prices from 2018 — machinery and building costs will be higher now.

How to prepare a loan file

§8Export potential

Export council / board: Not verified yet

  • No HS code or export body has been checked against an official list yet.

§9Risks — where people fail

  • Too few delivery contracts
  • Loss, theft or damage of parcels
  • Rider turnover and accidents
  • Price pressure from big logistics firms

§1030 / 60 / 90-day plan

A general plan that applies to any business. A plan for this business will be added after research.

  1. Days 1–30: Visit a working e-logistics and last-mile delivery unit, ask 10 buyers about price and quantity, and get quotations from 3 suppliers.
  2. Days 31–60: Udyam and the licences you need (Udyam registration, GST), a project report (DPR), and the scheme or loan file.
  3. Days 61–90: Space and machines, trial production, and first deliveries to 10 customers.

§11Who to connect with

Not verified yet

Associations, clusters and training institutes — the directory is being built. Connect

§12Watch

There is no episode on this business yet. Shows are coming soon on the Podcast page.

Want to start E-Logistics and Last-Mile Delivery?

DPR, loan file or registration — ask us on WhatsApp.

Get a DPR / loan file made

Sources

  1. SIDBI Stand-Up Mitra project profile — E Logistics (2018)

Data review: 6 October 2026. Spotted a mistake? Report it. For information only — not legal or financial advice.