If you have been looking to buy a FedEx route, or want to sell the one you currently have, chances are you are going to have to negotiate your route for the price you want to pay (or the price you want to receive). Whether you are on either side of the table, here are some handy negotiation tips to help give you an upper hand.
Rely On Data
The value of FedEx routes is determined by performance (both in the past and in the present). While you might want to invest in a FedEx route for its future potential, negotiate only with the past in mind. At the same time, if you want to sell, you need to ensure that you have a proven, recent history of success – or else you are likely to leave a lot of money on the table.
Avoid The Rush
The best thing you can do when it comes to either buying or selling a FedEx route is to start your negotiations well before the fall rush. Especially if there is a lot of back and forth, it is to your advantage to start right at the beginning of the year. As a buyer, this ensures that your deal will not get pushed to January. As a seller, you won’t have to worry about data coming out throughout the year that could potentially impact your route’s value.
The Big Picture
If you are buying a FedEx route, keep in mind that you are buying far more than the route. This means you are buying the vehicles, paying the employee salaries, and buying into the FedEx brand. A useful negotiation tactic can be to outline how you plan on taking care of these assets, which can position you as a better-qualified buying candidate. As a seller, you need to keep this in mind, too. Chances are you want the route to remain successful, so try and ensure that the buyer has the best intentions for it (and is not looking for a quick flip that could people other people’s lives in jeopardy).
Negotiate On Your Terms
Buying and selling FedEx routes is truly an art form. You need to ensure that you pay the best price, or get the highest return because at the end of the day you are investing (or have invested) a great deal of money. Considering some of these negotiation tactics can help to ensure that you get what you need from your purchase or sale.