Houston Warehousing: What Kind of Warehouse Do You Need?

Houston Warehousing: What Kind of Warehouse Do You Need?

Companies in need of Houston warehousing have no shortage of options. Shipping & Handling of Texas is one of the best options. Nonetheless, companies need to evaluate their warehousing needs compared to their budgetary resources. They also need to consider whether they require services above and beyond storage.

We offer a variety of services ranging from simple storage to order fulfillment. If you would like to know more about how our warehousing services can help your company, do not be afraid to contact us. In the meantime, here are the five types of warehouses you can find in the Houston area, complete with brief descriptions of each one.

1. Privately Owned

First up is the warehouse most people think of – the privately owned warehouse. This is a standalone facility owned by a company and operated for its own storage purposes. In some cases, it might also be used as a distribution center. At any rate, no other companies or organizations utilize its space.

Some major retailers operate private warehouses close to big urban centers. They can ship enormous amounts of goods to their warehouses for storage, then distribute locally from there.

2. Public Warehouse

A warehouse at which multiple customers lease space is known as a public warehouse. In nearly every case, its only function is to provide storage. Customers rarely run distribution operations from a public warehouse simply because the facilities are not set up for that.

3. Distribution Centers

A distribution center differs from a private warehouse used for distribution in the sense that multiple customers utilize the space. The distribution center accepts large volumes of goods that are brought in on inbound vehicles and sent back out on outbound vehicles. Storage may or may not be part of the equation.

Distribution centers are generally utilized to distribute wholesale goods. That being the case, goods may be stored for a time until a complete wholesale load can be assembled and sent out.

4. Fulfillment Centers

A fulfillment center is the retail equivalent of the wholesale distribution center. It receives and stores goods as wholesalers or manufacturers decide to send it. Meanwhile, onsite fulfillment staff picks from the cargo to fulfill orders that are ultimately shipped out.

E-commerce makes heavy use of the fulfillment center model to affect retail delivery without having to invest in warehouse space and fulfillment staff. Providers like Shipping & Handling of Texas can offer all-inclusive fulfillment services capable of making e-commerce retailers more efficient and productive.

5. Bonded Warehouse

Last on the list is a bonded warehouse. This is a unique type of warehouse in that it receives and stores imported goods until said goods clear customs. The amount of time goods are held is specific to each case.

In an ideal scenario, imported goods would remain in a bonded warehouse for less than 24 hours. But all sorts of things can slow the process down. Goods can remain in a bonded warehouse for weeks or months at a time. That is why the warehouses have to be bonded.

Bonding involves posting a customs bond to ensure that goods remain secure until they are cleared. The advantage of utilizing a bonded warehouse is avoiding duty payments. For example, a company might import goods to a bonded warehouse, subject them to a manufacturing process, and then export the resulting products without ever paying import duties.

At the end of the day, Houston offers a variety of different warehousing services. From basic storage to order fulfillment and duty-free bonded warehousing, there is a warehouse and service to meet virtually any need.