Operations and logistics
How to price delivery and collection from the real cost of each round trip, choose zones or mileage, and publish clear rules. Includes a delivery charge calculator.
Key takeaways
Each delivery is a drive out, unloading and handover, and a drive back, and the same again for collection. Underpricing it is one of the most common ways small hire firms lose money on jobs that look profitable.
| Cost | What to include |
|---|---|
| Driver | Wages and employer costs for the whole round trip, including loading and waiting |
| Vehicle | Fuel, tyres, servicing, insurance, tax, depreciation or finance |
| Trailer | Wear, tyres, testing, depreciation |
| Opportunity | Other deliveries the vehicle can't do in that time |
Driver time per trip
—
Cost per trip
—
Charge each way
—
Delivery + collection
—
One trip = drive out, unload, drive back. Vehicle cost per mile should include fuel, tyres, servicing, insurance and depreciation of the vehicle and trailer. Example values are illustrative.
| Method | How it works | Good for |
|---|---|---|
| Zones | Rings or postcode areas around the yard, one price per zone | Simple quoting; most small firms |
| Distance bands | 0–10, 10–20, 20–30 miles and so on | Clear and fair |
| Per mile | Rate per mile with a minimum | Long or irregular trips |
| Included | Free within a small radius, charged beyond | Competitive local markets, if margins allow |
Show delivery zones and prices on your website and in every quote, separately from the hire rate. Customers accept a clear delivery charge; they resent a surprise one. See website essentials and how to price plant hire.
FAQs
Keep going
How to price plant hire
Set rates that cover finance, wear, transport and downtime.
Read guide →
Transporting plant
Trailer weights, licences, O-licences and load securing.
Read guide →
Plant hire profit margins explained
What drives margin and the levers that improve it.
Read guide →
Plant hire website essentials
The pages, prices and forms that turn visits into bookings.
Read guide →
This guide is general information for people setting up a plant hire business in the UK. It is not legal, tax, insurance or financial advice. Rules and thresholds change, so check current guidance on GOV.UK and take advice from an accountant, solicitor or broker before acting.