FedEx Ground & Home Delivery Routes For Sale – Lafayette, Indiana

FedEx Ground & Home Delivery Routes for sale in the Lafayette, Indiana region for $499,000! Currently routes are grossing $579,040 and net $132,628. Includes 6 routes, 8 vehicles and 6 employees willing to transfer with the business. Territory is purchased through independent distributor and contracted through FedEx. The state of Indiana is currently under the IC model, however these routes meet the ISP scale requirements with an average of 518 stops per day. This operation is almost fully overlapped between Home Delivery and Ground. The remaining overlap provides possible growth opportunity. Please be advised that owner will not entertain seller financing, SBA loans, or third party lending. If seeking financing, buyer must be able to borrow against personal assets. Growing business backed by a publicly traded company on the NYSE!

Frequently Asked Questions:

What is the current yearly gross for this route?

Currently this route grosses $579,040 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: fuel, repairs, payroll, scanners, uniforms, workers compensation, vehicle maintenance, and insurance. The current owner estimates $446,412 per year in expenses/overhead for the business (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?

The current owner operates this business with the following vehicles that are included with the sale of the business: 2014 Chevrolet P550, 2011 Chevrolet P450, 2011 Chevrolet P550, 2014 GMC P500, 2014 Chevrolet P500, 2012 Chevrolet P350, 2013 Ford P700 and 2014 Ford P900 . Estimated value is $115,000. If you are considering purchasing, leasing or financing a vehicle you can review additional information here.

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 $579,040 per year, minus $446,412 estimated yearly expenses as mentioned above gives you the net $132,628.

How does the selling price of the route get determined?

FedEx owners 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.

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 relocating.

Where is the Terminal/pickup location?

Terminal will be disclosed upon execution of an NDA.

How long has the business been established?

This business has been established for 1.5 years.

How many stops does the route driver do a day?

Routes average 2,587 stops per week combined.

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

Drivers work 5 days a week Monday through Friday with Saturday and Sunday off for Ground Routes. Drivers of the Home Delivery Routes work Tuesday through Saturday with Sunday and Monday off. Hours of operation are between 7:30am – 4:00pm.

What about vacation time or personal days for drivers?

Mission Foods

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?

FedEx Ground and Home Delivery have enjoyed a successful working relationship with independent contractors for nearly 25 years. Includes 6 routes and 8 vehicles paid in full. These routes meet the ISP scale requirements with an average of 518 stops per day. Plenty of growth opportunity. Priced at $499,000! 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!  

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.