FedEx Ground Routes For Sale – King, North Carolina
FedEx Ground Routes for sale in the King, Danbury, Pfafftown, North Carolina region for $450,000! Pre-approved for SBA financing with an estimated $48,000 down! Currently routes gross $691,070 and net $137,103 as an owner. Includes 7 full time ISP routes. Also included are 7 vehicles and 8 full time employees, including a manger, that are willing to transfer if given the opportunity. Territory for this route is purchased through independent distributor and contracted through FedEx. Plenty of opportunity for further growth!
Frequently Asked Questions:
What is the current yearly gross for this route?
Currently this route grosses $691,070 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?
Yes, this business has been pre-approved for financing of up to $402,000 (amount needed down is variable depending on buyer’s liquidity and credit score). Buyer must also meet the minimum SBA requirements for lending to include: a minimum credit score of 680 and relevant experience in the industry, or some type of previous management experience from another industry. View SBA loans or more Financing Options Here.
What are my expenses and overhead?
Expenses include, but are not limited to: fuel, payroll, workers compensation, repairs, vehicle maintenance, vehicle rentals, scanners, supplies, professional fees, and insurance. The current owner estimates $553,967 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 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 7 vehicles that are paid for in full. Vehicles include: 2003 International (561,510 miles), 2005 GMC Savanna (354,613 miles), 2012 GMC Savanna (218,970 miles), 2014 GMC Savanna (120,299 miles), 2014 GMC Savanna (133,732 miles), 2014 GMC Savanna (191,075), and 2014 GMC Savanna (147,544 miles). 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 $691,070 per year, minus $553,967 estimated yearly expenses as mentioned above gives you the net $137,103 as an owner of the business.
How does the selling price of the route get determined?
FedEx owners determine the selling price of their route by using a multiple of their yearly cash flow/net income. Routes that are turnkey with a full time manager in place sell for a higher 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?
Seller is retiring.
Where is the Terminal/pickup location?
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 27 years.
How many stops does the route driver do a day?
All routes combined average 700 – 800 stops per day.
How many days a week, and what hours do distributors work?
Drivers work 6 days a week, Monday through Saturday, with Sunday off.
What about vacation time or personal days?
As an independent operator/business owner you are responsible for the route being serviced. In addition there are independent drivers who have FedEx experience that can cover for driver 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. Established and turnkey business, start receiving income the week you take over! Includes 7 full-time ground routes. Also included are 7 vehicles that are paid in full and 8 employees, including a full-time manager, willing to transfer if given the opportunity. Priced to sell at $450,000! 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.