An Interior Designer’s Guide to working with a Receiving Company
A great relationship with a receiving company is a critical component of running an interior design business. But not all receiving companies are created equal so you’ll want to do some research and work with one that has an excellent reputation before you start sending product to their warehouse.
What is a Receiving Company?
A receiving company is a warehouse that will accept parcel and freight deliveries, inspect & document items, assemble items if necessary, protect and package the items and store them until it’s time for everything to be delivered. They will provide white-glove delivery and installation and remove all packaging from the premise.
If an item arrives damaged, they will communicate with you and determine the best course of action. A great receiving company will have a furniture repair team that can repair minor damages without the hassle of replacement.
Why is a Receiver so Critical?
Working with a receiver for your projects will dramatically streamline your implementation process.
Think about the alternative for a moment.
Scenario #1 - Shipping items to your home/office.
Perhaps you have some products shipped to your office (likely a home office). Imagine the time and hassle of opening and inspecting items for damages in a timely manner. Then what do you do with all that trash? Do you have ample space to store items so they are protected from damage while waiting to be installed? Once everything arrives, how will you transport the items? Will it fit in your vehicle or will you need to rent a truck? (For the record...I’ve done all of this.)
Scenario #2 - Shipping items to your project site
It may be that your clients live on the project site and they may even work from home. It could be very tempting to just have items shipped directly there and simply ask your client to inspect items upon their arrival. But imagine doing this over and over again for shipment after shipment. It could easily become a part-time job for your client who underestimates the time and responsibility it takes. Then, you have the added responsibility of how to handle the packaging trash that comes with it. It’s also very likely that the package arrives with a receipt of purchase that may have your trade pricing listed.
While some items may simply arrive in a box, other larger items such as furniture will arrive crated. That takes a lot of muscle and tools to open and uncrate. Truth is, most trade vendors will not ship to residences. They require a receiver with a loading dock.
Even if an item is available to be drop-shipped “white-glove” to your project site, someone will need to be there to receive it. Is that you? Will you or someone from your team post-up at the project during the 3-5 hour window they provide? Or will you need to call your client and find out if their schedule will accommodate receiving the item?
Obviously, a project under major construction would never be an option for product to be delivered and stored.
As you can see, all of this would be a tremendous hassle for you and your client. Yes using a receiver costs your client money, however, they would likely be paying you by the hour if you were responsible for handling receiving. And if you were to ask them to put a dollar amount on their time to receive items, that too would cost them money.
So the conversation of paying for a receiver should always consider the value over the cost.
How to Find the Right Receiver
Start by researching receivers in your area. Ideally, it would be conveniently located to your office should you need to visit.
Google Reviews - Look for receivers with great reviews from many happy clients
Ask your peers who they use
Visit the warehouse - Ask to meet them and see the warehouse. Look for a space that is clean, organized, where the staff is friendly and accommodating.
Ask about their process - Most receivers have a system of cataloging items as they arrive. They will inspect, photograph, re-package, and store items. They should have a clearly defined way of documenting the location of the item in the warehouse so it doesn’t get “lost” among other designer’s product.
Ask how they handle damages - Do they file claims or will that responsibility be on you? How do they communicate with you when items arrive?
Bill of Lading (BOL) - A Bill of Lading is “a legally binding document providing the driver and the carrier all the details needed to process the freight shipment and invoice it correctly.” (Source Freightquote.com). You’ll want to ensure they keep BOL organized and available to you. It’s essentially a time-stamped document that keeps notes about the condition of items when they were received. If you need to file a claim for damaged goods, you’ll need the BOL.
Pricing - Your receiver should provide you with a menu of services. There are many models for charging. Typically you’ll see a charge by the hour to handle product (inspect, store, deliver and install). Then by the cubic foot to warehouse products. You’ll want to make sure your client knows about these charges in advance. We include this within our contract.
Tracking Receipt of Products
Once product starts to arrive, you’ll usually receive an email notification of receipt. This typically includes the following:
Item name and description
Condition of item(s) received)
Date/timestamp
Photo documentation
A product-specific Warehouse Receipt # - This is unique to the item and indicates exactly where the item is stored in the warehouse. The receiver will use this information to retrieve items when it’s time for the big delivery day.
It’s important to keep track of the information in these emails. We update Ivy with the Warehouse Receipt # and date of receipt. This allows us to easily see what has been received and what items we are still waiting on. Once everything has arrived, we can send our receiver the list with all the warehouse item #’s for them to pull the product for delivery and installation.
Doing Your Part
Part of having a great relationship with your receiver is being a good partner too. There are a few ways you can do this.
Sidemarks - When you place orders, you’ll often be able to request a sidemark. The sidemark indicates the project you are working on. We include our business initials in the sidemark for example: “KBID - Smith”. A sidemark will help your receiver know the item is yours and you’ll know which client the item belongs to.
Be Courteous - Don’t be a jerk to your receiver. Mistakes happen or items get shipped poorly labeled. When issues arise give them the benefit of the doubt that they will handle the situation to your satisfaction. If perpetual problems arise, find another receiver.
Tip your installers - Be prepared to tip the people who deliver and install your products. Find out in advance if you can do that on a credit card or if you’ll need to bring cash. Tipping can be reimbursed by your client.
Ultimately, a great receiving company will save you time, money, and headaches, while a poorly run one will only stand to cause more frustration. It’s worth the time to research one that will help support you and your clients so you can get back to design and running your business.
I hope this post inspires you to find your warehousing partner or cut ties if you’re working with a not-so-great one.
