FedEx Routes For Sale Birmingham, Alabama

FedEx Routes for sale $399,900! Currently grossing $930,909 and nets $126,171 as an investor/owner of the business (turnkey with full time manager in place). Business includes multiple full time routes, multiple vehicles, and multiple employees in place willing to transfer if given the opportunity (owner will disclose more information upon execution of NDA). Territory is purchased through independent distributor and contracted through FedEx. Territory for this route includes the Birmingham, Alabama region. If seeking financing buyer must be able to borrow against personal assets.

Frequently Asked Questions:

Price:

$ $399,900

Per Month

Cash Flow:

$ $126,171

Per Month

Financing:

$ No

Per Month

Listing:

$ Sold

Per Month

FedEx Routes

What is the current yearly gross for this route?

Currently this route grosses $930,909. 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?

If seeking financing buyer must be able to borrow against personal assets. Seller will not entertain SBA loans. There is no seller financing for this route. 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: fuel, repairs, payroll, scanners, uniforms, workers compensation, insurance for your vehicles, and liability insurance for your business (Note: route payments vary for each distributor, depending on how much money you put down verses how much you finance). The current owner estimates $804,738 per year in expenses/overhead as a manager of the business.

What type of vehicle do I need?

The current owner runs this business with 16 vehicles that are included with the purchase of the business. Vehicles will transfer free and clear, and paid in full. Estimated $160,000 value!

Does the company provide a fuel incentive?

Yes, FedEx provides a fuel supplement based on current prices.

What is the Gross vs the Net income?

The gross income for the route is $930,909 per year, minus $804,738 estimated yearly expenses as mentioned above gives you the net of $126,171 per year as the owner/investor of the business (turnkey with full time manager in place)!

How does the selling price of the route get determined?

FedEx routes determine the selling price of their route by using a 3 multiple of their yearly cash flow/net income. Routes that are turnkey with a full time manager in place sell for up to a 4 multiple.

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.

FedEx Routes

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?

Owner is investing in another business opportunity.

Where is the Terminal/pickup location?

Located within the Birmingham, Alabama region.

How long has the business been established?

The current seller has owned the business just under 3 years.

How many days a week, and what hours do distributors work?

Drivers work 5 days a week Tuesday through Saturday and are off Sunday’s and Monday’s. Hours of operation are between 7:00am – 5:00pm.

What about vacation time or personal days?

As an independent distributor/business owner you are responsible for the route being serviced. Terminal will provide vacation time for up to 1 week per year if needed for full time drivers. Additionally there are currently independent drivers who have FedEx experience that can cover for time needed 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 in most cases require the buyer to form some type of 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?

FedEx has enjoyed a successful working relationship with independent contractors for nearly 25 years. FedEx Routes are in demand! Simply manage this business as the owner (turnkey with full time manager in place) and net $126,171 a year! Priced to sell at $399,900. 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 Contact Us Here!

Disclaimer: Routes For Sale is a Broker that brings buyers and sellers together. Routes For Sale does not represent, or is not affiliated with the company the distributorship is being offered. All agreements are made between the buyer and seller and not Routes For Sale. It is the prospective Buyer’s duty and obligation to verify the accuracy of the Seller’s representations and if necessary retain attorneys, accountants, business appraisers, or other professionals. The representation of income is based on a current 52 week sales average generated by the efforts of the current owner. As with any business you can make more or less.

FedEx Home Delivery
Alabama
Birmingham Alabama United States
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