What are the day to day operations of this route?
To summarize, you will deliver product to existing accounts that include grocery stores usually starting in the morning hours. Your responsibilities will include the following: evaluating 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.
What are the current average sales for this route distributorship?
Currently this route averages $6,034 in weekly sales, and grosses $95,487 per year in commission. Income documentation will be provided to all serious buyers.
How do I get paid?
As an independent distributor you are paid by commission. This route currently receives an average of 30.4% of its gross weekly sales $6,034 ($1,837 per week).
How much can I make?
$1,836 per week is the routes weekly average! 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 accounts opening, new product lines being added, and simple inflation.
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): fuel, vehicle maintenance, warehouse fee, admin fee 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 $376 per week in expenses/overhead or $19,552 per year (Note: Expenses represent a cash purchase and do not account for finance payments if requiring a loan to purchase).
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?
There is no vehicle included in the purchase. Common delivery vehicles used for this type of business are box trucks or trailers. When considering a truck purchase, Routes For Sale recommends MAG Trucks.
What is the Gross vs the Net income?
The gross income for the route is $95,487 per year, minus your above-mentioned expenses of $19,552 per year gives you an estimated $75,935 in net income or cash flow.
Who is responsible for damaged or out of date product?
No stale allowance is given. However, you are credited for damaged product you receive from the company.
Do I have to sign a contract?
Yes, as a distributor you sign a contract to represent Herr’s. The contract is to protect both the company and its distributors.
Why is the distributor selling?
The owner is retiring.
How many accounts does the route have?
Currently there are 53 accounts that include gas stations, convenience stores and markets. The location of the accounts and warehouse will be disclosed upon execution of a Non Disclosure Agreement.
How long has the seller owned the business?
The seller has owned this route for 3 years.
How many days a week, and what hours do distributors work?
The current owner works 5.30am – 3pm, 5 days a week with Saturday and Sunday off.
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?
Unique, and rare opportunity, with huge growth potential. Priced to sell at $140,000. Contact Us About This Route Here!