The Differences Between Contract and Public Warehousing

If your company needs a warehouse to store items in, you might decide to go with a private warehouse. In that situation, you would assume responsibility of the warehouse and everything in it. It would give your company all of the space you need for storage, but it would also force you to manage the general upkeep of the warehouse and the logistics associated with it as well.

For those reasons, some companies opt against going with a private warehouse and instead choose either a public warehouse or a contract warehouse for their storage needs. If you feel your company might benefit from one of these two options, you should begin by learning the differences between them so that you can pick the right one for you. Here is some information on them.

A public warehouse is…

A public warehouse space is essentially a large space that anyone can rent during any given month. It’s ideal for short-term storage because, as long as there is space available in the warehouse, you can store things and leave them there until you need to move them. Many companies that deal with seasonal products find public warehouse space to be beneficial. The only issue you might have with it is that it’s usually available on a first come, first serve basis, which means there might not always be enough room for your company’s things in a public warehouse.

A contract warehouse is…

A contract warehouse space is different from a public warehouse space in that you will get a guaranteed amount of storage space in it every month. The company running the warehouse will not be able to give away the space you have reserved, and you can choose to either fill it or leave it empty. Contract warehouses are ideal for companies with long-term storage needs. They can also be used for tasks like pick and pack fulfillment and more.

Public and contract warehousing are both great choices, but only you can decide which one would work best for your company. Affiliated Warehouse Companies can help you make the right decision by telling you more about the differences between the two and finding you warehouse space throughout the country. Call us at 732-739-2323 today to learn more about the types of warehouses.