What kind of transport business can I start?
- Courier and last-mile delivery: parcels and documents for online stores, offices and pharmacies
- Goods transport: moving loads for businesses, farms and building suppliers
- Furniture removals: moving homes and offices
- Passenger transport: shuttles, staff and scholar transport, tours, e-hailing
- Subcontracting: delivering for a bigger courier company with your own vehicle
Starting with one vehicle and one reliable contract is common. Add vehicles when demand is steady.
How do I start a courier business in South Africa?
- Choose your service and the area you will cover
- Register a company with CIPC and register for tax with SARS
- Buy or lease suitable, roadworthy vehicles
- Make sure drivers hold the right licence and, where required, a PrDP
- Get vehicle, goods-in-transit and public liability insurance
- Apply for an operating licence if you will carry passengers for reward
- Set your rates, then approach businesses that ship regularly
How much does it cost to start a courier business?
| Cost item | Notes |
|---|---|
| Vehicles | Buy, finance or lease; a single bakkie or van is enough to start |
| Licensing and roadworthy | Vehicle licence discs and roadworthy certificates where required |
| Insurance | Vehicle, goods-in-transit and public liability cover |
| Fuel and maintenance | Your biggest ongoing costs |
| Tracking and technology | Vehicle tracking, route planning, proof-of-delivery app |
| Branding and marketing | Vehicle branding, website, business cards |
What licences and permits do I need?
What you need depends on what you carry:
- Driver's licence in the correct code for each vehicle
- Professional driving permit (PrDP): needed for drivers of goods vehicles with a gross vehicle mass over 3,500 kg, and for drivers carrying passengers for reward
- Operating licence: carrying passengers for reward (shuttles, staff and scholar transport, tours, e-hailing and metered taxis) requires an operating licence from the provincial regulatory entity, or the National Public Transport Regulator for some cross-province and tourism services, under the National Land Transport Act
- Roadworthy and licensing: vehicles must be licensed and roadworthy; some vehicle types need regular roadworthy tests
- Dangerous goods: transporting fuel, gas or chemicals has extra rules for vehicles, drivers and documents
- Cross-border transport: needs separate permits
What tax and labour requirements apply?
Register for income tax, and for VAT once taxable turnover exceeds R2.3 million in 12 months (from 1 April 2026). As an employer, register for UIF, PAYE where it applies and COIDA. Drivers must be paid at least the national minimum wage (R30.23 per hour from 1 March 2026), or more where the road freight bargaining council's rates apply to your operation. Check which agreements cover your business.
How do I price courier services?
Work out your cost per kilometre (fuel, maintenance, tyres, insurance, licence and vehicle finance) and your driver cost per hour, then price per delivery, per kilometre, per zone or per route, with a profit margin. Add charges for waiting time, after-hours delivery, extra weight and failed deliveries. Review prices when fuel prices change. See how to price your services.
How do I find courier customers?
| Customer type | How to reach them |
|---|---|
| Online stores | Offer same-day local delivery and integration with their order system |
| Pharmacies and medical practices | Reliable, time-sensitive delivery routes |
| Retailers and wholesalers | Scheduled deliveries to customers or branches |
| Offices, law firms, accountants | Document delivery on account |
| Bigger couriers | Subcontract with your own vehicle |
| Government | CSD registration and quotations for transport services |
What are the common mistakes?
- Pricing without knowing your cost per kilometre
- No goods-in-transit insurance, leaving you liable for lost or damaged parcels
- Neglecting maintenance, so vehicles break down and contracts are lost
- Operating passenger transport without an operating licence
- Relying on one client for all your income
How can Uminathi help?
You can do these steps yourself. Uminathi can register your company, sort out tax, CSD and COIDA, prepare a company profile and business plan for vehicle finance, and build a website for booking deliveries.
Step by step
- Choose your service. Decide whether you will deliver parcels, move goods or carry passengers, and in which area.
- Register your business and tax. Register a company with CIPC and register with SARS.
- Get vehicles. Buy, finance or lease licensed, roadworthy vehicles suited to your service.
- License your drivers. Make sure every driver holds the correct licence code and a PrDP where required.
- Insure. Take out vehicle, goods-in-transit and public liability insurance.
- Apply for an operating licence if carrying passengers. Apply to the provincial regulatory entity before starting a passenger service.
- Set rates and find clients. Price from your cost per kilometre and approach businesses that ship regularly.