What are CheeShip's fees?

FULFILLMENT & STORAGE FEES

Fee Type Fee Explanation Fee Reasoning Fee Applied

Fulfillment Fee

CheeShip’s fulfillment fee includes receiving, pick, pack, and shipping costs. This fee is based on SKU weight, dimensions, and number of units, and shipping service. This covers the cost of receiving, picking, packing and shipping to your buyers. $1 Per unit fulfilled + shipping cost.
Storage Fee CheeShip charges a long-term storage fee for inventory stored with the company. This fee is based on SKU dimensions and the length of time inventory has been in our fulfillment network. Avoid long-term storage by not exceeding more than 25% additional inventory compared to your monthly sales. As an example, if you sent in 130 units and in the past 30 days only 100 units were shipped. That would put you above 25% and at risk of being charged a long-term storage fee. Failure to pay fee grants CheeShip permission to dispose of inventory. This covers the cost of long-term storage in our fulfillment centers.

Long-term storage fees are $0.15 per-unit each month.

INVENTORY REMOVAL FEES

Fee Type Fee Explanation Fee Reasoning Fee Applied
Inventory Disposal

At a seller’s request, CheeShip will dispose of all inventory for a SKU from fulfillment centers. The fee is all-inclusive, and the disposal method is at CheeShip’s discretion.

This covers the cost of picking and disposing inventory.

$0

Inventory Removal

At a seller’s request, CheeShip will remove inventory for a SKU from fulfillment centers to a single given location, only within the contiguous US. The fee is all-inclusive of pick, pack, and ship.

Please note: removal orders are typically filled within 10-14 business days. However, processing may extend to 30 days or more during the holiday season and peak removal season (February, March, August, and September).

This covers the cost of picking, packing and shipping inventory.

$0

NON-COMPLIANCE FEES

Fee Type Fee Explanation Fee Reasoning Fee Applied
Non-Scannable, Missing, or Incorrect Barcodes

CheeShip requires a correct, legible barcode on each sellable item.

Noncompliant barcodes prevent fulfillment centers from scanning items during receiving and picking, which increases errors and leads to poor purchasing experiences for buyers (e.g., incorrect number of items, incorrect SKUs, etc.).

$0.50 per unit requiring a new label
Unnecessary Barcodes on Items

There must be exactly one barcode per sellable unit. Unnecessary barcodes (e.g., barcodes on case packs) are noncompliant, and they must be covered over or removed.

Unnecessary barcodes can lead to mistakes during fulfillment (e.g., incorrect number of items, incorrect SKUs, etc.). When identified, fulfillment centers must dedicate staff to cover over or remove unnecessary barcodes.

$0.50 per unit requiring covering/removing unnecessary barcodes
Hidden, Missing, or Incorrect CheeShip Inbound Box Contents Label

Sellers must download, print, and attach CheeShip Inbound Box Contents Labels to all boxes. To be compliant, box contents labels must be fully visible from the outside of the box.

Receiving teams need box contents labels to correctly identify and quickly receive inbound shipments. If box contents labels are hidden, missing, or incorrect, receiving teams must spend extra time problem solving, which slows receiving for all inbound shipments.

$30 per box
Item/SKU Barcodes on Case Packs or Boxes

Barcodes are only allowed on sellable units. Any barcodes on case packs or boxes must be covered over or removed.

Scannable unit barcodes on case packs/boxes will cause fulfillment center staff to mistake the whole case pack/box as a single sellable unit.

$0.50 per unit requiring covering/removing item/SKU barcodes on case packs or boxes

Unscheduled or Missed Freight Delivery Appointment All freight inbounds require scheduled delivery appointments. Once a delivery appointment is scheduled, it cannot be missed, cancelled, or rescheduled within 24 hours of the appointment time. Fulfillment centers are staffed according to expected inbound volume. Without sufficient lead time, staffing cannot be reduced and payroll costs are incurred. $230 for FTL
or
$120 for LTL
Noncompliant Inbound Packaging, Dunnage, or Weight

Inbound shipments must arrive in boxes that are less than 50 pounds. Inbound shipments can only be packed with acceptable dunnage: Foam, Air pillows, and Full sheets of paper. All other types are not acceptable, including: Packing peanuts, Shredded paper, and Newspaper.

Inbound shipments that are heavier than 50 pounds take longer to move and can violate OSHA guidelines. Inbounds that arrive in poly bags or padded mailers can be confused as returns from buyers. Noncompliant dunnage is difficult to clean up, which slows receiving.

Inbound freight shipments that do not follow pallet requirements take longer to receive, and are dangerous to move.

If boxes arrive with multiple SKUs all mixed up, receiving takes a very long time to separate every item.

$30 per noncompliant inbound package

$50 per noncompliant inbound pallet

Restricted SKU Inbounded

Due to fulfillment capability constraints, CheeShip does not accept restricted or oversized SKUs.

Restricted Product List

Noncompliant SKUs must be removed from fulfillment centers, which requires significant (and costly) coordination between fulfillment centers, CheeShip, and sellers. $120 per noncompliant SKU per warehouse where the SKU was received.
Unknown or Unexpected SKU Inbounded SKUs received at fulfillment centers must match the SKUs listed on the corresponding inbound shipping plan. Unknown or unexpected SKUs require high coordination between CheeShip, sellers, and fulfillment centers to resolve

$120 per noncompliant SKU per warehouse

Inbound Quantity Received is Off by More Than 10% Quantities received at fulfillment centers must match the corresponding inbound shipping plan. CheeShip’s fulfillment centers are staffed according to shipping plans. When a shipping plan is not followed exactly, planned capacity and labor can be insufficient or wasted.

For each SKU, $0.50 per unit received above/below the acceptable 10% buffer

Example: If we expect 100 items, but receive 115, the noncompliance fee will be 5 items times $0.50 = $2.50.

WORK-ORDER FEES

Fee Type Fee Explanation Fee Reasoning Fee Applied
Inventory Stock-checks

Sellers may request CheeShip check stock on items for various reasons including checking labels, taking pictures, remeasuring dimensions/weight, etc.

This covers the time for warehouse personnel to find and check stock for the given SKU.

$30 per SKU per warehouse