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. 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 $5,893 per week or $306,436 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 net weekly sales (after promotional contribution) of $5,893 ($1,120 per week).
How much can I make?
$1,120 per week is the routes weekly average, or a gross of $58,223 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.
Can I finance the route?
Yes, the company will offer financing through a third party at an estimated $159,300 for 10 years. Additional qualifications require no bankruptcies or felonies. Down payment for the remaining balance requires a certified 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, warehouse fees, vehicle repairs, computer, insurance for your vehicle, 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 $184 per week or $9,568 per year in expenses/overhead (Note: Expenses represent a cash purchase and do not account for finance payments if requiring a loan to purchase).
What type of vehicle do I need?
There is no vehicle included in the purchase. The current owner services this route using a 2009 GMC 16′ box truck. This vehicle is available to purchase as a separate transaction. Estimated value is $10,000. Common delivery vehicles used for this type of business are box trucks or cargo trailers.
What is the Gross vs the Net income?
The gross income for the route is $58,223 per year, minus your $9,568 estimated yearly operating expenses as mentioned above gives you the net of $48,655 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 $177,000 based on a weekly sales average of $5,893; you come up with a selling ratio of approximately 30:1!
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 is pursuing other interests.
How many accounts does the route have and where is the warehouse located?
The route consists of 11 accounts that include popular grocery stores. Location of accounts and warehouse will be disclosed upon execution of an NDA.
How long has the seller owned the route?
Current owner has owned a route through Snyder’s-Lance for 5 years.
Do I get paid full commission when something goes on sale?
During promotions the distributor contributes 17% of the promotion allowance and the company assumes the remaining 83%.
How many days a week, and what hours do distributors work?
The current distributor works 3 days a week from 5am – 10am. Early morning hours are required.
What about vacation time or personal days?
As an independent distributor/business owner you are responsible for servicing the route. In most cases there is a qualified “go to” person who is familiar with the company’s routes through networking with other distributors. Another option is to hire or train someone for additional 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?
Snyder’s-Lance merged making them the second largest salty snack producer in the country! The company continues to be aggressive promoting growth and adding new product lines. High income producing routes don’t last long! Priced at $177,000 and financing offered with $17,700 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 Snyder’s-Lance Routes Here! For additional consulting services with one of our route specialists Contact Us Here!