Taking your products overseas: a practical shipping guide for London SMEs

Trading beyond the UK can open up access to new customers, stronger relationships with suppliers and more opportunities to grow. Yet the logistics side of it often feels difficult to approach.

For many smaller businesses in London, the challenge usually isn't the ambition to trade internationally – but knowing how to ship products across borders in a way that's reliable, cost-effective and in line with regulations.

This guide sets out the essentials. It focuses on the decisions that make the biggest difference early on, and the points where it's easy to be caught out. It doesn't assume previous experience, and it avoids technical jargon wherever possible.

The aim is to help you move goods in and out of the UK with greater confidence, supported by logistics processes that can scale with your business.

London's place in global trade

London is in a strong position for international shipping. Its location provides access to several major ports – such as Tilbury, Felixstowe and Southampton – alongside Heathrow and Gatwick for air freight.

The city also has a wide network of freight forwarders, customs brokers and warehousing services.

These local advantages make it easier to test overseas markets without having to commit to your own fleet or large distribution centres.

However, the city also comes with challenges.

Urban congestion adds time to journeys, storage space is often expensive and delivery schedules can be affected by environmental restrictions, peak-time traffic rules and changing regulations related to sustainability.

Knowing these strengths and limits helps you plan shipping processes that suit your business rather than working against it.

Start with clarity on what you're shipping

The first step in planning your logistics isn't selecting a carrier or filling out customs forms. It's defining the characteristics of your product and shipment:

• Weight and dimensions (size).

• Packaging needs (for example, if the goods are fragile, perishable or high-value).

• How often shipments will take place.

• Target delivery times.

• Volume changes during seasonal demand.

This information will shape almost every decision that follows. A business sending small, lightweight items once a week will have very different needs from one shipping bulk pallets twice a month.

If you're not sure, gather sample shipment data from your current UK deliveries – this helps provide a baseline.

Choosing the right shipping partners

The logistics sector is broad. You may encounter many terms, but the core partners fall into a few categories:

• Freight forwarders: companies that organise the movement of goods from one country to another. They don't usually own the transport vehicles, but they manage the process and paperwork.

• Carriers: the companies that physically move your goods – shipping lines, airlines or couriers.

• Customs brokers: specialists who manage customs declarations and make sure your goods meet rules for importing or exporting.

For most small businesses, working with a reliable freight forwarder makes things easier.

A good forwarder will co-ordinate carriers, handle the customs process and guide you through documents. This is all to lower the risk of your goods being delayed at the border.

What to consider when comparing shipping partners

• Do they have experience of dealing with your type of product?

• Do they cover your target regions?

• Are they transparent when it comes to the fees they charge (including surcharges)?

• Is their customer service responsive?

• Do they have a track record of working with smaller businesses?

Ask for references or case studies involving businesses of a similar size.

Large logistics firms can be efficient, but they may not offer the personalised support small exporters need.

Sometimes a mid-sized forwarder with strong London operations will be a better match.

Understanding customs and documentation

Customs rules are there to control the movement of goods across borders. They are manageable once you understand the basic building blocks:

• Commodity code (HS code): a classification number that tells customs authorities what your product is. These codes decide what rates of duty must be paid and which documents should accompany the goods.

• Commercial invoice: a document describing the goods, their value and the terms of sale.

• Packing list: details of what is inside each shipment and how it's packaged.

• Certificates and licences: some goods – for example food, chemicals or electronics – need extra approvals.

• Incoterms: standard terms that clarify who's responsible for transport, insurance and customs duties. Examples include FOB (free on board) and DAP (delivered at place). These terms influence cost and responsibility, so choose them carefully.

Most mistakes occur when information is incomplete or inconsistent.

The description on the invoice must match the commodity code and packing list. If there are discrepancies, goods can be held at the border, leading to delays or extra charges.

If customs feels complicated (and it can be!), your freight forwarder or customs broker can manage it on your behalf. Even so, knowing the basics helps you review quotes and keep costs under control.

Managing costs while providing a reliable service

International shipping costs vary based on route, weight, timing, packaging and seasonal demand.

Here are approaches that often help small businesses like yours:

• Consolidate shipments where possible: sending fewer, larger shipments can reduce the cost per unit, though it may mean more warehouse space is needed.

• Consider flexible delivery windows: if the customer receiving the goods doesn't have a strict deadline, using slower methods of transport can keep costs down.

• Check for hidden charges: examples include fuel surcharges, port handling fees, inspection fees and storage fees at customs. Ask for an itemised quote.

• Review packaging: oversized packaging increases volumetric weight (the weight used for pricing in air freight), which can raise costs unnecessarily.

• Use customs processes cleverly: options such as inward processing relief allow you to import materials into the UK for manufacturing and then export the finished goods without paying full import duty.

  This works well for London-based creative producers, designers and assembly manufacturers.

Start by mapping how much each stage costs – not just the transport itself, but storage, labelling, insurance and fulfilment.

This gives you a clearer view of margins when negotiating with suppliers or setting international prices.

Planning for delivery and warehousing in London

Urban logistics requires a bit of extra planning. Here's what to think about:

• Deliveries into central locations: local road restrictions can affect when lorries can enter certain areas. Drivers must account for peak traffic hours and the rules around Low Emission Zones.

• Warehouse location: storage further from the city centre is usually cheaper. Many small businesses use hubs around Barking, Enfield, Croydon, Dagenham or along the M25 corridor, depending on which ports they use.

• "Last mile" delivery: if courier delivery to customers is part of your process, factor in service capacity during busy periods, especially November to January.

• Handling returns: for e-commerce (online selling), having a clear returns process helps maintain customer trust and stops you losing stock.

If warehousing feels like too large of a step, shared warehouse services, on-demand storage providers and third-party fulfilment centres can be good transitional options.

Digital tools that make logistics easier

Digital systems help keep track of shipments, documentation and stock levels. You don't need an enterprise-level platform, as small, simple tools can provide plenty of functions:

• Dashboards for tracking shipments (freight forwarders often include this as part of their service).

• Inventory management tools that sync up with your online store.

• Online storage systems for customs paperwork.

• Basic demand forecasting spreadsheets to plan shipment timings.

The goal is to avoid running your shipping operations through scattered emails or memory.

A consistent, central set-up makes mistakes less likely and lets other team members step in when needed.

Preparing to scale

Once you've handled a few shipping cycles successfully, you'll start to see patterns in demand, stock rotation and costs. This is the point where refining processes helps you scale:

• Establish a standard way of labelling and packing your products.

• Document each stage of your shipping process so others can follow it.

• Review how suppliers and carriers are performing, every few months.

• Build relationships with other carriers so you're not relying on one provider.

• Track shipping cost trends so you can negotiate when contract renewals come up.

Don't think of scaling as expanding everything at once. Instead, see it as a way to strengthen the parts of your logistics that work and adjust the parts that don't.

Small improvements in packaging, the layout of your warehouse or how you co-ordinate carriers can have a noticeable impact over time.

Common pitfalls to avoid

Many small businesses run into similar issues in their first years of exporting and importing – for example:

• Leaving customs questions until the last moment.

• Accepting unclear shipping terms in contracts.

• Underestimating lead times when products are made overseas.

• Forgetting to insure goods during transit.

• Relying on one person in the business to manage everything.

Awareness helps you plan ahead. Set up a process that other people can understand. Keep communication clear with suppliers and customers. And give yourself a buffer on time estimates when dealing with first-time shipments.

Conclusion

Once you've been through a few shipments, the process becomes more familiar.

The key is to work with partners who explain things clearly, keep your documents organised and review your costs regularly so nothing drifts out of sight.

London's transport links, logistics services and access to ports give local businesses good options for trading internationally.

You don't need to build everything at once. Start with a small shipment, learn how each stage works and adjust your approach as you go.

If you're not sure where to begin, a conversation with a freight forwarder is often the most helpful starting point.

Asking them to talk through a sample shipment step-by-step can provide a clearer sense of what's involved and what it will cost.

Read more

• A simple guide to exporting for London-based small businesses

• How small businesses can find overseas buyers and start exporting

• Navigating the new trade tariffs [WEBINAR]

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