What is the current yearly gross for this route?
Currently this route grosses $110,000 per year. Income documentation will be provided to all serious buyers.
How do I get paid?
As an independent distributor you are paid per stop, per package, and through bonuses.
Can I finance the route?
There is no seller financing for this route, and unfortunately banks will NOT write business loans against route based businesses for several reasons. However if you need money, you can review additional Financing Options Here.
What are my expenses and overhead?
Expenses include, but are not limited to: route payment (if you finance), gas, repairs, and insurance (Note: route payments vary for each distributor, depending on how much money you put down verses how much you finance). The current owner estimates 24,000 per year in expenses/overhead.
What type of insurance do I need?
Typically a single owner operator of a route distributorship will need commercial insurance for their delivery vehicle and business liability insurance. Owners with multiple employees will need a multiple vehicle policy and workers’ compensation. Routes For Sale now offers discounts on insurance! Through our size and volume, we have partnered with some of the largest insurance brokers in the nation to offer the best rates. Request Your Free Insurance Quote Here.
What type of vehicle do I need?
The current owner runs this business out of a box truck that is NOT included with the route. You must purchase or lease your own vehicle. If you are considering purchasing, leasing or financing a vehicle you can review additional information here.
What is the Gross vs the Net income?
The gross income for the route is $110,000 per year, minus $24,000 estimated yearly expenses as mentioned above gives you the net of $86,000 per year!
How does the selling price of the route get determined?
All FedEx routes determine the selling price of their route by using the yearly gross income, plus assets. This route is under priced!
What are the company requirements?
FedEx requires a third party background check, you must have no felonies and a decent driving record. Additionally 1 year of driving experience of a similar delivery vehicle you intend to drive within the last 3 years, or 5 years within the last 10 years if operating as an owner/driver of the business. If you do not meet these requirements, owners can now bypass the required experience by taking an approved FedEx course to qualify as drivers. Owners do not need to meet this requirement if they don’t intend to drive.
Do I have to sign a contract?
Yes, as an independent distributor you sign a service agreement to represent FedEx. The contract is to protect both the company and its distributors.
Is this a viable business model for growth?
Yes! Route values can be increased by new account openings, and additional growth in the area. FedEx uses sales reps to expand and develop the routes. In fact CNBC recently did a documentary called “Inside The Package Wars” showing the growth over the years of FedEx and it’s competitor UPS.
View The Video Here.
Why is the distributor selling?
Distributor is engaged with other businesses and does not have time to run the route.
Where is the Terminal/pickup location?
Located in Greenville, Mississippi.
How long has the business been established?
The current seller has owned the business for 5 year.
How many stops does the route driver do a day?
Most routes average 60 stops per day and work an average of 8-9 hours.
How many days a week, and what hours do distributors work?
Distributors work 5 days a week Monday through Friday with weekends off. On average from 7am – 5pm.
What about vacation time or personal days?
Yes FedEx has a vacation program that offers 2 weeks per year. As an independent distributor/business owner you are responsible for servicing the route. It is our recommendation that you hire or train someone for additional time needed off. Additionally, you can network and hire distributors with previous route experience at RouteReliefDrivers.com. Route Relief Drivers is a nationwide network that allows independent route distributors and vacation relief drivers to connect with each other. Each party negotiates its own terms and compensation.
What is required in order to qualify for purchase?
Typically, most company routes or distributorships will require you to attend an interview for approval from the company, background check, and form an entity (must be an INC.). This not only protects the company, but also ensures protection of your business. If you need help forming this, we recommend that you Form A Corporation Here.
What else should I know?
This FedEx route has a high gross to net income as an owner/operator. For a slightly less net, as just the owner you can simply manage the business and manage an employee. Additionally as an owner this route can be purchased along with 2 other routes located in Arkansas and positioned for the future ISP model FedEx will require, See additional routes here! Currently the owner pays an employee to work the route $500 per week. Employee is willing to transfer if given the opportunity. FedEx Ground includes commercial accounts, home delivery, and are in demand! Hurry this route has a HUGE territory, and is a steal at $89,000 Contact Us About This Route Here!
How can I learn more about these type of routes?
In order to provide New Buyers with as much information as possible we have put together a quick overview of the industry. Learn More About FedEx Routes Here! For additional Consulting Services with one of our FedEx route specialists Request A Consultation Here!
Chat
