What are the day to day operations of this route?
To summarize, you will deliver product to existing accounts that include grocery stores and cash accounts usually starting in the morning hours. Your responsibilities will include the following: Evaluate and creating an order of product needed for the shelf, pull the order from your inventory, receive the order through the back door, and then fill the order to the shelf. After servicing your accounts for the day you will proceed to the warehouse to pick up additional product for deliveries the following day.
What are the current average sales for this route?
Currently this route averages $8,917 per week or $463,684 per year. Documentation will be provided to all serious buyers.
How do I get paid?
As an independent distributor you are paid by commission. Commission varies depending on the items sold. This route currently receives an average of 19% of its gross weekly sales of $8,917 ($1694 per week).
How much can I make?
$1694 per week is the routes weekly average, or a gross of $88,100 per year! This number can be increased, by supporting the company’s promotions and up selling within your designated territory. Route values can also be increased by new stores opening, new product lines being added, and simple inflation. Distributor acknowledges plenty of growth opportunity for new accounts in this territory.
Can I finance the route?
Yes, seller will finance $143,000 for 10 years at an estimated 7.9%. The remaining balance you will have to put down in the form of cash or a cashier’s check. If more financing is needed 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), fuel, stale or damaged product, computer, vehicle repairs, and insurance (Note: route payments vary for each distributor, depending on how much money you put down verses how much you finance and has not been factored in to the expenses). The current owner estimates $200 per week or $10,400 per year in expenses/overhead excluding the route payment if financed.
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 route out of a 1991 Oshgosh 26′ Step Van (new engine), and is included with the purchase (estimated $5,000 value). Common delivery vehicles used for this type of business are box trucks or trailers. 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 $88,100 per year, minus your $10,400 estimated yearly expenses as mentioned above gives you a net of $1300 per week or $77,700 per year!
How does the selling price of the route get determined?
All route sales are determined by a ratio based on a weekly sales average. The selling price of this route is $178,000 based on a weekly sales average of $8,917; you come up with a selling ratio of 20:1.
Do I have to pay for inventory or purchase product up front?
No, you do not have any upfront or out of pocket expenses when purchasing your inventory (inventory is carried from week to week). However, you are responsible for any inventory that is not sold on a weekly basis. Any inventory carried over to the following week will be credited to the following weeks sales/commission.
Do I have to sign a contract?
Yes, as an independent distributor you sign a service agreement to represent Snyder’s-Lance. The contract is to protect both the company and its distributors.
Why is the distributor selling?
Owner has multiple businesses.
Where is the warehouse located?
Product is picked up in Tinley Park, Illinois.
How many accounts does the route have?
Currently there are currently 26 stops to include: Ultra Foods, Dollar General, Jewel, Food 4 Less, Target, Walgreens, CVS, Citgo, Shell, Mobile, and more!
How long has the seller owned the route?
Current owner has owned the route for 6 years. The route accounts have been established for years prior.
Do I get paid full commission when something goes on sale?
During promotions the distributor contributes 19% of the promotion allowance and the company assumes the remaining 81%.
How many days a week, and what hours do distributors work?
The current distributor works 5 days a week taking Wednesday’s and Sunday’s off. Service hours for most accounts range from 5am-1pm.
What about vacation time or personal days?
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 such as an LLC or Corporation. 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?
Snyder’s – Lance has just merged making them the second biggest salty snack producer in the country! The company continues to be aggressive promoting growth and adding new product lines… Plenty of growth opportunity with this route by upselling and adding additional cash stops! Hurry this route is priced to sell! Chip routes are in demand and this one won’t last long at $178,000! Seller financing with $35k down! 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 Snyders-Lance Routes Here! For additional Consulting Services with one of our route specialists Request A Consultation Here.
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