Knowing why FedEx routes are for sale is SUPER important
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- Опубліковано 8 вер 2024
- Responding to Facebook group questions and commenting on the responses in forums to understand better why FedEx routes are for sale in 2023.
I've evaluated businesses, primarily FedEx routes, for buyers for over a decade. I have managed FedEx and bread routes personally, worked with and coached large contractors. Own and manage the website: www.RouteTycoo...
Disclaimer:
I'm not endorsed, sponsored, approved or otherwise affiliated with FedEx or any other distribution routes. No advice is given here. Opinions are my own.
I contracted with FedEx Ground for over 12 years. Back when we were under the I.C. model things were great. You could manipulate your PSA’s with your supplemental routes and crush your thresholds (especially at peak). Our local station went to ISP in June of 2017 and it all went yo garbage after that. I sold over 40 routes and ended up leaving about a year ago. I was lucky and sold mine for a small fortune but not everyone has been so lucky. I still have contacts in the terminal and the current culture and attitude is at rock bottom. You can’t give the routes away now, the contract is trash and people are running away in droves. That’s the truth.
How can I contact you? Please
The IC days were indeed the 'good ol' days' for sure. Congrats at piling up 40 routes btw! I've seen a bunch of people do unbelievably well in the CSA model too, but the shift to me was that you had to pick your contract / territory / etc much more precisely than back in the IC days where anyone could just buy a route, with no evaluation help whatsoever, and do well. Those days are gone. Granted, it's still possible, but it feels more like a crap shoot than it used to feel. Interesting that you're still watching FedEx videos after you've sold though - routes are hard to quit! :)
@jemishdhola9259 - if you're trying to contact me (as opposed to the other commenter), you can always find me on the RouteTycoon website (links are in the description).
As a current contractor we are tanking fast. Several contractors around me are suffering or out of business. Drivers don’t want to work. Want to get paid a lot. Not much growth opportunity. Small margins.
Yeah cuz theres a lot of other high paying jobs out there for drivers. UPS actually keeps drivers. They need a better system in my opinion. It used to be good, but what goes up must come down.
Real talk. I have one linehaul seller near me and I had a former route owner go through it and there will is only 7 grand left over each week and half that I can keep.
Thats almost 200k per year. What were you making before that?
problem there is nothing to sell you have a 1 year contract
Are you available for consultation? I am extremely interested in this business and would like to learn to evaluate them properly
What is the average tenure of a FedEx route contractor? And if it’s less, why so?
Do you do route consulting? I’m looking at purchasing a fedex route for the first time .
Fed Ex ground in Nyc its terrible. When you work for a contractor basically you dont work for the company no benefits, bad pay, drivers, helpers quit to much pressure from CPC. they mix packages from other routes, and when you get the boxes back all open stolen items they blame the workers that work outside. The way they load truck its bad they need to learn from amazon.
I've heard some of the contractors in NYC are definitely not manaing things as well as they could for sure. Sucks to hear drivers blamed for a stolen package - bad bosses can infect every business organization. Hard to escape that really in my experience.
As for the NYC region, I'd also say bad management can happen just about anywhere (and in any business for that matter). As for the problems with the truck load, I think this is an issue pretty much everywhere. I've never seen anyone escape it, regardless of contractor or region. A lot of drivers that I've known will just load (or inspect) the trucks themselves as opposed to relying solely on the loader. Spending an extra 20 minutes in the morning to make sure it's loaded right saves an hour in the afternoon when a driver realizes the load is all jacked up. Anyway, seriously appreciate your thoughts - it's always good to hear to good AND bad on these routes!
I bought a fed ex contract a year ago I thought every thing was going great until they canceled contracts. I bought trucks hired drivers it was so disappointing. Good thing I have other business that’s not the only. Business I had.
Did they cancel your contract? Were you in Canada?
How can I contact you in order to help me start a business?
Are you looking to just start a logistics company in general or are you looking to contract with FedEx or something else entirely? Some of those things I can help with or at least get you pointed in the right direction to someone that can help.
I wish I could be stuck at 500k per year 😂
Job ideas
?
I am making a lot of money with no issues, run it efficiently and there is plenty of money to make
How can I contact you in order to help me start a business?
Hey any way to reach out to you was looking at buying a route
Yea I don’t understand the majority of people being negative on FedEx routes , I’m working on buying 11 routes and my friend is buying 18 routes and they are both net around 20% profit … I doubt these routes are the only profitable ones , so why is the majority of people saying FedEx routes are not good investments
@@bob-ov4iq if you run a FedEx route like a driver then yes it'll tank. Your job is to make sure the trucks are running, routes are efficient and you have enough drivers. Small changes can lead to large profit margins.
Absentee owner doesn't mean passive owner. Passive owner let's the BC run it. Absentee owner will still direct the BC and look at efficiencies
@@bob-ov4iq most people will sell it as they become old and had enough wealth .want to retire ,No one to look after as their kids moves to other ventures or went to other professions, loss of a partner no more interest in the business a lot of cases .I have seen people selling profitable businesses as they can't look after or had enough time to take care of their employees .