FedEx Ground & Home Delivery Routes For Sale – Bowling Green, Kentucky
FedEx Ground & Home Delivery Routes for sale $649,000! Currently routes grossing $1,129,147 and nets $159,010. Includes 12 routes. Territories in this region are growing over 15% per year. Also, included are 14 vehicles and 14 employees willing to transfer if given the opportunity. Full time manager is in place. This route has 100% Territory Overlap of Ground & HD for the delivery area, therefore, the operation is already fully compliant with the 2021 FedEx Requirements. Territory for this route includes the Bowling Green, Kentucky region and is purchased through independent distributor and contracted through FedEx. All vehicles are paid in full. Turnkey with huge growth potential.
Frequently Asked Questions:
What is the current yearly gross for this route?
Currently this route grosses $1,129,147 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?
Need money? You can review additional Financing Options Here There is no seller financing for this route, and unfortunately banks will NOT write business loans against route based businesses for several reasons.
What are my expenses and overhead?
Expenses include, but are not limited to: fuel, payroll, workers compensation, repairs, vehicle maintenance, scanners, uniforms, and insurance. The current owner estimates $970,143 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 14 vehicles. Vehicles include: 2006 Ford Cargo Van, 2014 Mercedez-Benz Sprinter UDV, 2012 Nissan NV 2500 High Roof, 2013 Ford P700, 1997 Freightliner P700, 1997 Freightliner P1000, 2000 International P1000, 1998 Freightliner P700 (2 of these), 2008 Dodge P450, 2007 Freightliner P700, 2005 Chevy Cargo Van, 2001 International P1000, 1997 International P1000 which is a total estimated value of $234,500. When considering a vehicle lease or purchase for FedEx Routes, Routes For Sale recommends Bush 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 $1,129,147 per year, minus $970,143 estimated yearly expenses as mentioned above gives you the net $159,010 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 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?
Seller is diversifying portfolio of routes.
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 3 years. The routes have been established for years prior.
How many stops does the route driver do a day?
All routes combined average 3,297 stops per week.
How many days a week, and what hours do distributors work?
Ground Route Drivers work 5 days a week Monday – Friday with Saturday and Sunday off . Hours of operation are between 8am – 5pm. Home Delivery drivers work 5 days a week Tuesday through Saturday with Sunday, Monday off. Hours of operation are between 6am – 5pm. Full time manager in place!
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 12 routes. Also included are 14 vehicles that are paid in full, and 14 employees willing to transfer if given the opportunity. Full time manager in place. Priced to sell at $649,000! 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.