What Is Contract Warehousing?

Contract warehousing is when your business commits to a contract agreement with a warehouse facility. The facility agrees to receive, store, and ship your inventory for a specific amount of time. Your contract outlines the terms and conditions, including the length of the agreement. The length is up to you, depending on your needs. The timeframe of partnership can be months or years long, so whether you need warehouse space on a long-term or short-term basis, you have access to convenient logistics and advanced technology.

You also have the power to track your inventory’s location and receive notifications when it arrives at the final destination. Plus, you choose the payment agreement that’s best for your budget—options include fixed, cost-plus, or a combination of the two. Regardless of your terms or payment arrangement, contract warehousing with a legitimate, trusted logistics facility has many advantages, such as:

Companies with contract warehousing aren’t responsible for construction or maintenance fees.
The facility is owned and funded by the logistics company, and its sole purpose is to house companies’ goods. That means you only pay for the space you need and for the duration of time you need it. Warehouse space is scalable, which means it eliminates the potential of your company having to buy a new location to accommodate your needs if you outgrow your space or need to downsize. The warehouse facility you’re contracted with is readily available for your goods and they have the space you need.

With contract warehousing, facilities have dry and temperature-controlled areas within the warehousing areas. This assures your goods are correctly stored to maintain their quality and proper functionality. With a wide range of facility climates, refrigeration and other storage conditions are available as well. This variety of customized warehousing solutions accommodates all kinds of requirements for your supplies and products.

You want to make sure your products are handled carefully. With contract warehousing, the employees are certified and trained on all shipping and receiving protocols. Not only are they required to follow Occupational Safety and Health Administration (OSHA) standards and regulations, but they’re also well-versed in the warehousing industry, so they’re qualified to handle your inventory. This keeps you from needing to spend time and money on hiring your own crew. Plus, commercial warehouse experts manage your inventory to make sure it’s stored and shipped correctly and that it arrives at its destination on time and in pristine condition.

If your warehousing needs exceed shipping and receiving, there are additional services you can add to your contract agreement. These specialized services include fulfillment, packaging, and shrink wrapping, to name a few.

There are many responsibilities and challenges associated with food service management and dry storage. For your food and beverage warehousing needs, it’s important to invest in the appropriate options for your customers’ safety. FW Logistics has a proven track record of providing companies with the best quality food warehousing service the industry can offer. One of our certifications is a Superior Rating from AIB International. We take the initiative to undergo routine inspections to ensure we’re up to date on the latest industry requirements.

FW Logistics is ranked among the Top 100 Third Party Logistics Companies for good reason. With 70 years of experience and our certifications, we continue to deliver exceptional warehousing, logistics, fulfillment, and trucking services. In addition to our refrigeration and food-grade warehousing, we gradually spanned out our capabilities to fulfill the needs of contract warehousing, dry storage, and temperature-controlled warehousing. Our range exceeds 7 million square feet of storage space in facilities across the nation.

In addition to our superior contract warehousing and logistics solutions, we offer advanced software to provide insight into your inventory’s location and its stage in the logistics process. For added peace of mind, you also have the option to hire a consultant to keep you updated on a day-to-day basis.

We understand the importance of keeping track of your inventory, so we provide the correct and most recent information you need, when you need it. Partner with FW Logistics and experience the workmanship of a world-class team that goes the extra mile to ensure your 100% satisfaction.