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
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.