Sell FedEx Route(s)

Looking to Sell FedEx Routes? Free Business Valuation for FedEx Route Owners

Image via Yu Zhang

Image via Yu Zhang

Get accurate market valuations that account for all of the unique characteristics of your business.

Many, many factors go into the pricing of FedEx routes for sale. Add to that: the market is constantly changing! Most FedEx regions of the United States are seeing substantial year-over-year growth. Finally, we know that contractors are in varied stages of ISP transition, plus operations are moving to new 6 days per week schedules.

The rate of change and transition can be dizzying. This is why it's critical to use an experienced FedEx broker (with actual contracting experience) to price your route.

We analyze the following items to provide an accurate market valuation on selling price:

  • Current revenue trends based on settlement revenue

  • Current expense tracking

  • Current cash flow trends based on above reporting

  • Cleanliness and availability of historical financials

  • Overlap status

  • Fleet composition and condition

All of our business valuations are free for route owners considering a sale.

Ready to start thinking about what your business is worth?

How to Select a Broker to Sell Your FedEx Routes

Photo by Gian-Reto Tarnutzer

Photo by Gian-Reto Tarnutzer

If you are considering or committed to selling your FedEx routes, it makes financial sense to use a route broker for your sale.

An experienced broker understands the full sales process and and can help you avoid snags or pitfalls along the way. This experience both reduces your time commitment during the sales process and ensures you receive a healthy, fair market price for your routes.

Further, specialized brokers (such as Route Consultant) bring your route listing(s) to a larger pool of qualified buyers. One of our primary missions here at Route Consultant is to help potential buyers fully understand the FedEx route business. Our large pool of educated buyers means you are more likely to attract a buyer FedEx will approve during the sales process.

What can you look for in order to select the best-fit broker for your route sale(s)?

Seek a Specialist Broker

When selecting a broker, make sure you choose a broker that focuses exclusively on the sale of FedEx routes who can ensure you represent your route information accurately. A broker with current contracting experience will understand the FedEx sales process from top to bottom so they can help you prepare all of your documentation appropriately.

Additionally, they can help vet potential buyers so you secure someone FedEx will approve. Further, brokers with FedEx specialty can help you secure financing and excellent vendors for your new business.

Find a Broker Who Offers Win-Win Terms

Route brokers make money by collecting a small percentage of your route sale as a fee. The goal then is to sell your route to a highly qualified buyer for an accurate market price.

Because of our deep history in the industry, we are able to price routes well and move the sales process along efficiently. This generally results in sellers receiving a higher take-home amount even after they pay us for our services. Our goal is for every seller to leave the sales process thrilled that they worked with us.

To this end, Route Consultant charges no cost/fee if sellers find their own buyer at a higher profit than we can secure for you. We call these win-win terms.

Work with People You Enjoy Talking To Regularly

From pre-listing to closing, the route sales process may take a few months of your time. And in the course of that time you will be in regular contact with your broker to receive updates on the status of your sale. Find a broker that you enjoy working with!

Make sure you find a broker who is responsive. We live in an always on world and you want brokers who answer your emails and calls within a reasonable time frame. (This is also how you know they are also answering the calls and emails of potential buyers in a reasonable timeframe!)

Nothing is more frustrating than asking your broker important questions only to wait days or weeks for an answers. You can get a sense for how responsive someone might be in your initial conversations and exchanges.

Ready to Sell Your FedEx Routes? 5 Questions to Ask Before Selling

Image by Oliver Roos

Image by Oliver Roos

Get Clear About Your Priorities and Requirements

We know selling your routes can be a stressful experience. The surest way to ease that stress is by walking through the following questions in advance of the process.

1) What are my priorities for this sale?

Are you looking to sell as quickly as possible?

Is getting the highest dollar for your operation your top consideration?

Do you need to find a buyer you really trust?

Is confidentiality during the sale important?

Are you ready to sell or just exploring options?

Be clear with yourself (and your broker, if applicable) about your top priorities. If this business is close to your heart and the employees feel like family, it may be most important to you to find a right-fit buyer to take the helm.

Moreover, be clear with yourself and those you work with about where you are in the process. It’s okay if you’re just starting to think about a sale—transparency is key to a successful process.

2) Should I use a broker?

An experienced broker knows the process, reduces your time commitment, and markets your business to a larger pool of qualified buyers. This generally results in a higher take-home amount even after you pay the broker for their services.

With Route Consultant, for example, there is no cost/fee if you find your own buyer at a higher profit than we can secure for you. There’s no risk to giving us an opportunity to make you more money!

3) What’s My Business Worth?

We have extensive experience evaluating historical FedEx route data and financials. Additionally, we understand how business overlap and ISP transitions impact financial values.

Our experience in the industry gives us the ability to provide accurate FedEx business valuations, despite the frequent changes that these businesses experience.

We analyze the following items to provide an accurate market valuation on selling price:

  • Current revenue trends based on settlement revenue

  • Current expense tracking

  • Current cash flow trends based on above reporting

  • Cleanliness and availability of historical financials

  • Overlap status

  • Fleet composition and condition

If you are thinking about selling your FedEx route business, you can receive a free business valuation from our team of consultants.

4) Are Changes on the horizon?

Listing your route prior to overlap or ISP negotiations? These changes impact the value of your route. Failing to disclose business activities may result in costly and time-consuming post-closing complications that you want to AVOID.

If you know of major changes that will take place within your business or region you need to communicate these changes with potential buyers. This is another way that FedEx route brokers, such as Route Consultant, really help! Brokers with deep experience in the industry understand how business and regional changes can impact the sales process (and your sale price) and can adjust accordingly.

5) Do I have the necessary documentation?

Creating an accurate representation of your business performance is one of the most important and time-consuming parts to marketing your business.

You need to provide the documentation that buyers and banks will be looking for in the sale process. Additionally, you must learn how to prepare each item if you don’t already have it.

Need Help SElling Your FedEx Routes?

We understand that not every sale, business, or contractor is the same. We have extensive experience selling our own territories and, additionally, helping hundreds of other contractors across the country through this transition.