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Top 10 Best 3PL for Small Business (third-party logistics) | ShipHero

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Running a small business is a bit like spinning plates while juggling flaming torches—you're always on your toes, constantly shifting focus and ready to tackle the next challenge. And then there's logistics, the invisible cog that keeps the whole circus running smoothly. It's the unsung hero behind every delivered package, every stocked shelf, and every satisfied customer.

What is a Small Business?

A small business, as the name implies, is a business that operates on a smaller scale compared to large corporations. It has fewer employees, lesser revenue, and serves a smaller geographical area. However, size can vary greatly based on the industry and country. For example, in the US, a small business is defined as a firm having fewer than 500 employees.

What is 3PL?

3PL, short for Third-Party Logistics, refers to companies that provide outsourced logistics services to businesses. These services encompass various aspects of the supply chain, including inventory management, warehousing, order fulfillment, and transportation.

Understanding the Logistics Spectrum: 1PL to 4PL

In the logistics spectrum, each "PL" or "party logistics" represents a level of service:

  • 1PL (First-Party Logistics): The original seller of the goods, who handles logistics themselves.
  • 2PL (Second-Party Logistics): Companies providing transportation services.
  • 3PL (Third-Party Logistics): Companies offering comprehensive logistics solutions, including inventory management, warehousing, and fulfillment.
  • 4PL (Fourth-Party Logistics): Companies that manage and oversee the entire supply chain, including coordinating 3PLs.

Is Amazon a 3PL Company?

Yes, in many ways. Amazon, through its Fulfillment By Amazon (FBA) program, offers services typical of a 3PL company, including warehousing, inventory management, and order fulfillment. However, Amazon is also a marketplace, making its role in the logistics landscape quite unique.

The Importance of Logistics in Small Businesses

Small businesses, just like any other, need to manage the flow of goods effectively to meet customer expectations and maintain operational efficiency. Efficient logistics can help small businesses optimize inventory, reduce shipping costs, speed up delivery times, and enhance the customer experience.

The Role of 3PL in Small Business

What Do 3PLs Do?

3PLs provide all-encompassing logistics solutions, from storing inventory in warehouses to packing orders and shipping them to customers worldwide. They also offer services like inventory forecasting and analytics, helping businesses make informed decisions.

The Benefits of 3PL

For small businesses, partnering with a 3PL can offer numerous benefits. These include reduced operational costs, better inventory management, broader shipping options, and more time to focus on core business aspects. 3PLs often have a wide network of warehouses and fulfillment centers, enabling businesses to store their products closer to their customers and reduce delivery times.

3PL vs. 4PL: How Do They Differ?

While 3PLs provide a range of logistics services, 4PLs take it a step further by managing the entire supply chain, including coordinating with various 3PLs. For many small businesses, a 3PL is more than enough to handle their logistics needs. However, large businesses with complex supply chains might opt for a 4PL.

Benefits of Using 3PL Providers for Your eCommerce Logistics

  • Streamline your operations
  • Provide better customer services
  • Offer faster shipping times
  • Offer scalable solutions to adapt to your business needs
  • Gives you more time back to focus on your business

Why is 3PL Better Than 4PL?

While both 3PLs and 4PLs offer valuable services, for most small businesses, a 3PL is a more cost-effective and practical option. 3PLs provide a broad range of logistics services without the complexity and often higher cost associated with 4PLs. Additionally, 3PLs often have flexible and customizable offerings, which can be great for small businesses with specific logistics needs.

The Top 10 Best 3PL Companies for Small Business

  1. ShipHero: Known for its advanced warehouse management system and global network of fulfillment centers, ShipHero provides efficient and affordable logistics solutions tailored to the needs of small businesses.
  2. EasyPost: Their API-first approach allows for integration with multiple carriers and eCommerce platforms, making EasyPost a flexible solution for small businesses.
  3. ShipHawk: ShipHawk's platform provides features such as rate shopping, multi-carrier integration, real-time tracking, and analytics. They help businesses find the best shipping options based on cost, speed, and reliability. ShipHawk also offers services such as freight management, white glove delivery, and returns management.
  4. Fulfillify: With its easy-to-use platform and quick setup, Fulfillify is a perfect choice for small businesses looking for fast and efficient logistics solutions.
  5. eFulfillment Service: Known for its flexible terms and comprehensive services, eFulfillment Service is a popular choice for small and emerging businesses.
  6. Whiplash: Offering a modern, API-first platform, Whiplash provides flexible and tech-forward logistics solutions that can scale with small businesses as they grow.
  7. Fulfillment.com: Fulfillment.com is a global logistics company that caters to small businesses, providing worldwide coverage and easy scalability.
  8. ShipNetwork: This company provides a wide range of services, including order fulfillment, freight shipping, and returns management, making it a convenient one-stop-shop for small businesses.
  9. ShipMonk: Known for its advanced technology and a diverse array of services, ShipMonk offers tailored logistics solutions that cater to the unique needs of small businesses.
  10. Whitebox Logistics: Ideal for small businesses selling on multiple platforms, Whitebox handles everything from order fulfillment to customer service, providing an all-in-one solution.

Want to chat with us to get the inside scoop on logistics? Check out our website!

Challenges and Considerations in Implementing 3PL

In the grand picture of running an eCommerce business, embracing a third-party logistics (3PL) partner may seem like a big step. Just like any business decision, it comes with its unique set of challenges and considerations.

When Should Your Small Business Consider a 3PL?

Your small business should consider hiring a 3PL when managing your inventory, shipping, and order fulfillment starts to feel overwhelming. If you're spending more time packing boxes and handling shipments than growing your brand, it may be time to think about getting some assistance.

Problems You Will Face When Searching for a 3PL as a Small Business

One of the main issues small businesses face when searching for a 3PL provider is finding a company that offers the perfect fit for their specific needs and growth plan. Other challenges include navigating contracts, understanding fees, and ensuring order minimums align with your sales volume.

How to Know When It's Time to Hire a 3PL

If you find yourself juggling too many orders, struggling to keep up with shipping demands, or your garage is bursting at the seams with stock, it's probably time to consider hiring a 3PL.

The Challenge for Smaller Businesses and Startups Looking for 3PL Companies

Smaller businesses and startups often face the challenge of finding 3PL companies that offer flexible, scalable solutions without sky-high costs or long-term contracts. Especially when it comes to the bigger providers who require massive minimum order counts per month. Which is why it’s good to find a 3PL that can grow with you. Especially those 3PL’s who have a software solution you can start with to streamline your own logistics, before you fully move to their services.

Choosing the Right 3PL for Your Small Business

Choosing the right 3PL for your small business comes down to a variety of factors including cost, service levels, the 3PL's warehouse network, and their ability to integrate with your eCommerce platform like Shopify, BigCommerce, eBay or WooCommerce. The right 3PL partner should adapt to your business model as it evolves.

3PL Companies Compared

Comparing 3PL companies is not just about price. It's also about the services they provide, their integration capabilities, their order management system, customer satisfaction, and the extent of their fulfillment network.

3PL Company Options by Region

3PL company options can vary by region. In the US, ShipHero, Whiplash, and Fulfillify have extensive warehouse networks. For businesses based in Canada, ShipHero also provides excellent coverage.

Benefits of Using a 3PL for Small Businesses

Small businesses can enjoy many benefits when partnering with a 3PL. It allows them to focus more on their core operations, like product development and marketing, while leaving the order fulfillment and logistics challenges to the experts.

Partnering with a 3PL is Helpful for Small & Medium Businesses

Partnering with a 3PL helps small and medium businesses streamline their supply chain management, enhance customer service, and improve efficiency. Plus, a good 3PL provider comes with a variety of packaging materials, shipping options, and eCommerce integrations for a one-stop solution.

Key Takeaways

The recipe for small business growth isn't complete without a pinch of 3PL magic. The perfect 3PL for your business should fit as snugly as a perfectly packed box. They should be a partner that aligns with your vision, budget, and above all, your customers' needs. So, keep calm, partner with a 3PL, and let them take care of the logistics while you rock the eCommerce world!

Frequently Asked Questions

Do 3PLs Work With Small Companies?

Yes, many 3PLs offer scalable solutions specifically tailored to the needs of small businesses.

What is the Disadvantage of Using a 3PL Service Provider?

While 3PL service providers offer a range of benefits, one potential downside is the loss of control over your inventory and shipping process. However, most 3PLs provide visibility and updates through their systems.

Does Amazon Provide 3PL Services?

Yes, through its Fulfillment By Amazon (FBA) program, Amazon provides 3PL services. However, it's important to review the costs and terms associated with FBA, as it may not be the best fit for all businesses.

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Shiphero logo on a grey backgroundShipHero MCP — Talk to Your Warehouse, hands typing on a keyboard with colorful AI-style visual effect.
July 15, 2026

How ShipHero MCP Turns Live Warehouse Data Into Real-Time Answers

Connect ShipHero to the AI client your team already uses and ask operational questions in plain English, no reports, exports, or custom code required.

The ShipHero Model Context Protocol (MCP) connects supported AI clients directly to your live ShipHero data, so warehouse teams can ask questions and get specific answers from their own account. It is built for day-to-day operational checks, including inventory levels, open orders, shipment status, holds, returns, purchase orders, and exceptions. For ShipHero customers, it is available at no additional charge and runs on existing API credits.

Data Is Only Useful If You Can Reach It

Every order, shipment, inventory movement, hold, return, and purchase order creates data inside ShipHero. Your warehouse information is right there, but getting to it can be a slow, complex process.

Before the ShipHero MCP, answering a specific operational question often meant logging in, finding the right report, applying the right filters, exporting data, or asking the one person on the team who knew where to look. 

Even when the answer was simple, like a quick inventory check, it could turn into a 20 to 45 minute task. A customer question could sit half a day while someone pulled the right numbers. That delay adds friction to the floor. It slows decisions. It keeps teams waiting on data they already own.

The Solution: ShipHero MCP for Live Warehouse Data

The ShipHero MCP gives supported AI clients secure, read-only access to live ShipHero data.

That means operators can ask questions in plain English and get answers from their actual account, not from a generic help article or static knowledge base. A chatbot can tell you where to find a number. The ShipHero MCP can return the number itself.

It works with MCP-enabled AI clients, including Claude, ChatGPT, Cursor, and Codex. Connect it once, authenticate access, and your team can start asking operational questions from the AI tool they already use.

How ShipHero MCP Works

The workflow is simple:

  1. Connect ShipHero MCP to a supported AI client.
  2. Authorize secure read-only access.
  3. Ask a warehouse question in plain English.
  4. The AI client queries your live ShipHero account.
  5. You get a specific answer based on your real data.

The MCP does not replace ShipHero. It makes the data inside ShipHero easier to reach when your team needs a fast answer.

What Warehouse Teams Can Ask

The ShipHero MCP is designed for everyday operational questions, such as:

  • Which orders have an address hold right now?
  • What is the current inventory level for a SKU across all warehouses?
  • Which SKUs are running low across locations?
  • How many shipments went out yesterday?
  • Which carrier handled the most shipment volume?
  • Which purchase orders are expected to arrive this week?
  • Which returns were created in the last 7 days?
  • How many orders shipped late last week, and which warehouse did they come from?

If the data lives in your ShipHero account, the MCP gives your team a faster way to ask for it.

Why Read-Only Access Matters

Speed matters, but safety matters too.

The ShipHero MCP is read-only by design. It can retrieve information from your account, but it cannot create orders, modify records, delete data, or change warehouse settings.

That gives teams a practical way to use AI for operational visibility without risking accidental account changes. Operators can ask. Managers can check. 3PL teams can answer client questions faster.

The data becomes easier to use, while the records stay protected.

What Changes for 3PLs and eCommerce Brands

For founders, the MCP can turn a quick inventory check into a simple question.

For operations leads, it can surface shipment status, holds, exceptions, and low-stock SKUs without digging through reports.

For 3PL operators, it can help answer client questions faster, using live account data instead of manual follow-up.

The result is a faster way to reach the information already inside ShipHero.

Availability and Activation

The ShipHero MCP is available to all ShipHero customers at no additional charge. It runs on existing API credits, so specific questions help keep usage efficient.

To get started, visit developer.shiphero.com or contact your ShipHero account representative.

Frequently Asked Questions

What is ShipHero MCP?

ShipHero MCP is a read-only connection between supported AI clients and your live ShipHero data. It lets users ask operational questions in plain English and receive answers from their actual ShipHero account.

How is ShipHero MCP different from a chatbot?

A chatbot usually answers from fixed, generic information. ShipHero MCP connects to live account data, so it can return specific answers about your orders, shipments, inventory, holds, returns, and other ShipHero records.

Which AI clients work with ShipHero MCP?

ShipHero MCP works with AI clients that support the Model Context Protocol, including Claude, ChatGPT, Cursor, and Codex.

Can ShipHero MCP change my account data?

No. ShipHero MCP is read-only. It can query data, but it cannot create, update, or delete records in your ShipHero account.

Do I need a developer to use ShipHero MCP?

No. The MCP is built for operators and can be connected from a supported AI client in minutes. Developers may use more advanced tools for deeper analysis, but most day-to-day users can work directly with the MCP.

Is ShipHero MCP included for ShipHero customers?

Yes. ShipHero MCP is available to ShipHero customers at no additional charge and runs on existing API credits.

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Shiphero logo on a grey backgroundWarehouse worker wearing a yellow safety vest and gloves, writing on a clipboard with boxes in the background.
April 7, 2026

5 Top Hurdles Our Prospects Face Before Signing With ShipHero

Executive Summary

Transitioning to a new Warehouse Management System (WMS) is a high-stakes decision that often triggers concerns regarding downtime, data integrity, and workforce adaptation. As warehouses prepare for 2026 growth, understanding these common hurdles—and the technical solutions that resolve them—is essential for a successful migration. This guide addresses the five primary barriers to adoption and how a high-velocity infrastructure ensures a seamless transition.

The Challenge: Overcoming Transition Anxiety

Warehouse operators frequently hesitate to upgrade due to perceived risks that can halt operations. These challenges typically include:

  • The Switching Cost Fear: Anxiety that implementation costs and downtime will outweigh long-term ROI.
  • Legacy Workflow Dependency: A heavy reliance on desktop-heavy, traditional Purchase Order (PO) workflows.
  • Workforce Skepticism: Concern that floor staff will struggle with new hardware or complex interfaces.

The Solution: A Framework for Seamless Migration

To clear these hurdles, a structured implementation strategy is used to prioritize data density and entity clarity.

  • Staged Migration: A phased approach that optimizes inbound logic and mobile setup first, ensuring current orders remain active while layering in advanced features.
  • Mobile-First Inbound: A shift from desktop-heavy POs to mobile architecture, allowing inventory to become sellable minutes after hitting the dock.
  • Workforce Hero: An authentication tool using PIN-based access or scan-to-login badges that makes staff productive within their first hour.
  • Precise Inventory Control: Utilizing high-concurrency architecture to ensure every pick on the floor reflects in Shopify or other sales channels in real-time.
  • Total Real-Time Control: A dashboard that provides visibility into picker productivity, replenishment status, and the Hospital error-handling queue.

Why This Matters for 3PLs and Brands

In the competitive eCommerce landscape, staying stagnant with manual workarounds is often more costly than the transition itself. Moving to a high-velocity WMS converts your warehouse from a cost center into a growth engine by providing Labor Efficiency and ROI through automated routing and reduced authentication friction.

Frequently Asked Questions

How long does it take for staff to become productive on the new system?

Because the platform is built for the floor worker, features like Workforce Hero allow seasonal temps and new staff to be authenticated and productive in under an hour.

Will I lose visibility of my warehouse floor during automation?

No. High-velocity infrastructure increases visibility by providing Total Real-Time Control. Managers can monitor exactly what is in the Hospital queue and track replenishment in real-time from a single dashboard.

What happens to inventory accuracy during migration?

Before going live, a ground-up audit is performed using cycle counting tools. The system's architecture ensures that every movement on the floor is synchronized with sales channels instantly, maintaining 99.9% accuracy.

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Shiphero logo on a grey backgroundStack of blue plastic storage bins next to a glowing Tap-to-Pack  device and a tablet with a red ShipHero logo on a warehouse table.
March 2, 2026

Meet Tap-to-Pack: Eliminate Packing Errors and Speed Up Your Pack Line

Picture a packer at Peak Season. A box is in front of them, a product in each hand, and somewhere on a cluttered desk there's a mouse they need to find to confirm the order. They look down. They hunt. They click. Then they do it again. Thousands of times a day.

That moment of friction is small. But it is never just one moment. Multiply it across your entire pack line, across an entire shift, and you are looking at a measurable and largely invisible drag on your total throughput.

What Is Tap-to-Pack?

Tap-to-Pack is a purpose-built hardware controller designed by ShipHero to eliminate digital friction at the packing station. It connects via USB-C, requires no drivers or additional software, and syncs automatically with the ShipHero WMS packing app. This new system is now available at the ShipHero Store.

Instead of navigating a screen with a keyboard and mouse, packers execute every high-frequency command — such as selecting box sizes, printing labels, finalizing orders, flagging exceptions — with a single physical tap on one of eight programmable buttons.

Key specifications:

  • Connects via USB-C, plug-and-play
  • 8 programmable buttons on the Main Hub, expandable to 24
  • Integrated LED strips for visual confirmation (green = success, red = error)
  • High-fidelity audio cues to support eyes-on-product workflows
  • Industrial-grade, rugged build for warehouse environments
  • Compatible with the ShipHero WMS packing app (v1.0 or higher required for Tap-to-Pack devices)

Why Keyboards and Mice Fail in Warehouses

Most warehouses are running 2026 operations on 1990s peripheral standards. The keyboard and mouse were designed for spreadsheets and emails, not high-volume fulfillment. When used at a packing station, they create three compounding problems:

  1. Divided attention. Packers must split focus between the physical product in their hands and a digital UI on a screen. This is what we call screen-stare fatigue. That is: a constant, low-level attention split that accumulates across every single order.
  2. Flow state interruptions. When a packer has to hunt for a cursor or navigate a multi-step UI, they lose their rhythm. At scale, those micro-interruptions translate into a significant reduction in orders packed per hour.
  3. Input errors. The further a packer's attention drifts from the product, the higher the risk that a wrong item ships. A mispack costs you twice:  once to resolve it, and once in the customer relationship it damages.

The problem is not your people. It is the tools you are asking them to use.

How Tap-to-Pack Works

Tap-to-Pack introduces a "Rodent-Free" packing standard: a workflow where the packer's hands stay on the product, their eyes stay on the work, and the software fades into the background.

The device guides the packer through two feedback systems:

  • LED strips: A green pulse confirms a successful action. A red alert stops an error before the box is sealed.
  • Audio cues: High-fidelity sound signals reinforce every action without requiring the packer to look at a screen.

ShipHero customers running Tap-to-Pack are already seeing a 90% reduction in on-screen interactions and a significant increase in the number of orders packed per hour, without adding headcount or changing their warehouse layout.

Scaling Your Pack Line With Tap-to-Pack

One of the hardest challenges in fulfillment is absorbing volume quickly, especially during Peak Season, when temporary staff need to reach target productivity fast.

Because Tap-to-Pack's interface is physical and intuitive, there is almost nothing to teach. Pick up the product, follow the light, tap the button. New packers can reach target productivity in minutes rather than hours.

The system is also modular:

  • Start with 8 buttons on the Main Hub for core packing workflows
  • Expand to 16 or 24 buttons by connecting additional hubs as workflows grow in complexity
  • Configurable per station — buttons can be mapped to the actions most relevant to each packing role

Whether you are a growing DTC brand or a high-volume 3PL, Tap-to-Pack is designed so your hardware never becomes a ceiling on what your team can do.

Frequently Asked Questions

What is ShipHero Tap-to-Pack? 

Tap-to-Pack is a programmable, industrial-grade hardware controller that connects to the ShipHero WMS and allows warehouse packers to execute packing station commands, such as printing labels, selecting boxes, and completing orders. All with a single physical button press, eliminating the need for a keyboard and mouse.

How does Tap-to-Pack connect to the ShipHero WMS? 

The device connects via USB-C and syncs automatically with the ShipHero WMS packing app. It is a true plug-and-play solution: no drivers, no background software, and no manual configuration required.

Can I customize what each button does? 

Yes. Buttons are configurable for a range of packing actions, including Print Label, Complete Order, Select Box Size, and the Hospital function, which flags a problematic order and keeps the line moving without stopping to resolve it on screen.

What if I need more than 8 buttons? 

The system is fully modular. Connect up to two additional 8-button hubs to the Main Hub for a total of 24 programmable buttons, supporting even the most complex multi-step packing workflows.

What version of the ShipHero packing app is required? 

Tap-to-Pack devices require ShipHero Packing App v1.0 or higher. The current release is v1.1.0.

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