It’s a question we receive almost daily. FedEx contractors contemplating the sale of their routes often first want to understand the timeline that goes along with a successful sale. The process of selling a set of FedEx routes has a wide number of variables that contribute to the timeline – both controllable and non-controllable.
For many FedEx contractors, the news of the impending ISP transition has likely been at the forefront of your mind – particularly if your routes fall below the imposed ISP minimums. As most contractors know by now, FedEx has implemented a nationwide ISP rollout that is slated to transition all states to ISP by 2020. For those contractors whose routes fall below the 5 PSA/500 stop minimum, this announcement is even more significant – and perhaps a little unsettling. It should be noted that certain states and terminals have minimums that take exception to this rule. However, the majority of contractors around the country are faced with a very important question to ask: What do I do if my routes aren’t ISP compliant?
There’s a lot of work that goes into preparing a set of FedEx routes for sale; compiling financials, valuing the business, marketing to and qualifying buyers, etc. But what happens once the deal is negotiated and the buyer is ready to start FedEx approval? Continue reading FedEx Sale & Transition Checklist
Our firm was selected to be interviewed by www.FitSmallBusiness.com to discuss the different aspects of what it means to be a FedEx contractor. The article touches on the following points:
- Where to find FedEx Routes for Sale
- The minimum requirements you need in order to become a FedEx contractor
- Types of routes you can purchase
- Expected costs and earnings for FedEx route contractors
- Financing options that are available to you to purchase a route
To read the full text of the article, please follow the link below:
If you drive for work, you don’t have the luxury of escaping the snow. Furthermore, as we speak, many parts of the country are experiencing snow and icy roads. Unfortunately, it doesn’t matter how bad the roads are. Unless they’re closed, you still have to make your deliveries, and it’s best to be prepared for these conditions in advance.
Did you know that approximately 70 percent of the roads in the United States are located in snowy regions? A majority of these roads are driven by truckers, including shipping services. Snowy weather is responsible for 24 percent of weather-related vehicle crashes each year, attributing to 900 fatalities and more than 75,000 injuries.
The danger is very real, particularly for large vehicles, like trucks, that have unique needs during the winter. Even if you live in a warm state and drive mostly non-snowy routes, as a FedEx delivery truck driver, it’s essential that you learn how to handle the snowy conditions you’ll see throughout the country.
2015 has been a great year for FedEx route sales and we’re hoping to make 2016 even better! Please click on the link below for an overview of our successful transactions completed in 2015… Continue reading 2015 Completed Transactions
FedEx has recently announced that it expects to ship 317 million packages between Black Friday and Christmas Eve (a time referred to by FedEx contractors as “peak season”). In anticipation of this record package volume, FedEx will be hiring more than 55,000 seasonal workers – up from about 50,000 in 2014. http://www.usatoday.com/story/money/2015/10/26/fedex-expects-record-package-volume-during-holiday-season/74616922/ Continue reading The FedEx Peak Season
FedEx contractors contemplating the sale of their routes often ask us whether there is a right or wrong time of the year to sell. Should I sell now or wait until after peak? Do route prices vary with the time of year? How do I incorporate my new route(s) into the valuation of my overall business? I need a new truck – should I purchase/lease one before the sale or leave it to the new buyer? These are just some of the questions we receive on a daily basis. We’ll do our best to answer some of those questions here… Continue reading When to Sell Your FedEx Routes
In an effort to keep buyers and sellers of FedEx routes up-to-date on the latest valuation metrics, we have compiled a report which reflects the most recent sales data that we have available. Continue reading Updated Buyer Multiples
FedEx contractors who are in the market to sell their routes will inevitably be asked to provide a number of due diligence items for the buyer. Buyers ask for this information as a way to validate the information that has been presented to them in the preliminary stages of discussion. Continue reading Seller Due Diligence List