FedEx Ground Routes For Sale – Baltimore, Maryland
FedEx Ground Routes for sale $445,000! Currently grossing $1,094,959 and nets $99,026 per year as an owner/investor of the business. Turnkey with a full time manager in place! Includes 11 Routes, 11 vehicles worth an estimated $335k, and 14 employees in place willing to transfer with the business if given the opportunity. Territory for this route includes the Baltimore, Maryland region. Please be advised that owner will not entertain seller financing, SBA loans, or third party lending.
Frequently Asked Questions:
What is the current yearly gross for this route?
Currently this route grosses $1,094,959 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, vehicle maintenance and repairs, payroll, workers compensation, and insurance. The current owner estimates $995,934 per year in expenses/overhead for the business.
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 worker’s 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 11 vehicles that are included with the sale of the business. All vehicles will be paid for free and clear. Vehicles include: 2008 Freightliner P-1200, 2007 Freightliner P-1200, 2007 Freightliner P-1000, 2007 Freightliner MT-55, 2003 Ford 650, 2002 International 4300, 2000 International TRK 4700, 2009 International P-1000, 2007 International P-1200, 2009 Workhorse P-1200, 2010 Workhorse P-1000. Estimated $335,000 value! When considering an additional truck purchase, Routes For Sale recommends MAG Trucks.
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 $1,094,959 per year, minus $995,934 estimated yearly expenses as mentioned above gives you the net of $99,026 per year as the owner/investor of the business. Turnkey with a full time manager in place!
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 pursuing new opportunities.
Where is the Terminal/pickup location?
The FedEx terminal is centralized to the current routes. Seller will disclose location once an NDA has been executed.
How long has the business been established?
The current seller has owned the business for less than 2 years. Route has been established years prior.
How many stops does the route driver do a day?
All routes combined average 856 stops per day and deliver over 4320 packages. Drivers work an average of 10 hours per day.
How many days a week, and what hours do distributors work?
Distributors work 5 days a week Monday through Friday with Saturday and Sunday’s off for Ground Routes. Hours of operation are between 8am – 5pm. Owner simply manages the business.
What about vacation time or personal days?
As an independent distributor/business owner you are responsible for the route being serviced. 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 Ground has enjoyed a successful working relationship with independent contractors for nearly 25 years. These FedEx Ground Routes are a turnkey business with a total of 11 routes, 14 employees, and 11 vehicles in place willing to transfer with the business if given the opportunity. Large and rare opportunity priced at $445,000! 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! For additional Consulting Services with one of our FedEx route specialists Request A Consultation 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.