Cost Plus Model Explained
Learn how Founders 3PL's cost-plus model ensures transparency in pricing with a flat 20% management margin and a commitment to same-day shipping.
Understanding Cost-Plus Pricing
Cost-plus pricing at Founders 3PL means every line item on your invoice is visible. You know exactly what you are paying for each service, from receiving to shipping. The model adds a flat 20% management margin on top of actual costs.
Transparent pricing isn't just a promise — it's a practice. With Founders 3PL, you see where every dollar goes.
Why We Use Cost-Plus
Many logistics companies hide fees in bundled pricing. This obscures true costs, leaving you guessing. Our cost-plus approach eliminates these hidden margins, providing clarity and trust. It's founder-operated, not influenced by private equity.
Components of Your Invoice
Your invoice will include detailed costs for each service. From warehouse storage to pick and pack, every element is itemized. This transparency ensures you can optimize your logistics spend effectively.
- Inbound receiving fees
- Storage charges based on space used
- Pick and pack fees per order
- Shipping costs with carrier pass-through rates
- Optional services like custom packaging
Shipping and Fulfillment
Orders released by 2:00 PM CT are shipped the same day, maintaining a 4-hour fulfillment window. We work with major carriers like UPS, FedEx, and USPS to ensure timely delivery. Pass-through rates guarantee that you receive the best shipping options without hidden costs.
Evaluating Cost-Plus Effectiveness
To assess if cost-plus is right for you, compare the total cost and transparency against your current provider. Founders 3PL can model this using your historical data, offering a clear view of potential savings and efficiencies.
| Service | Cost Range |
|---|---|
| Inbound Receiving | $50–$100 per pallet |
| Storage | $15–$30 per pallet/month |
| Pick and Pack | $2.50–$5.00 per order |
| Shipping | Carrier pass-through rates |
Transparency in pricing allows our clients to trust us with their logistics operations, knowing that every cost is justified.
Philip Quick, Founders 3PL