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How to Find and Retain the Right Manager for Your FedEx Ground Business
When purchasing a FedEx Ground operation, you should always be prepared to have your manager give notice. Your manager will not be contractually obligated to you, so it is important to secure a window of support from the seller in case you lose your manager.
How to Retain Your Best FedEx Ground Drivers and Handle Driver Turnover
Difficult days on the job are part of every job. They can feel particularly stressful for your drivers. And they have options to go elsewhere if they are stressed too often. Be sure you have an atmosphere where team members feel respected and can be open with management about their concerns.
Should You Worry About Drones?
Drones are sexy. We get it. The idea of drone delivery feels like the future. As fun to think about as drone delivery is, it’s not a realistic mode of transportation for the type of packages FedEx Ground delivers
Tax Advantages and Implications for FedEx Ground Routes
You will often hear us (and others) note that FedEx route businesses are tax-friendly investments. What do we mean by that? These businesses include substantial numbers of vehicles that you are able to depreciate over time. The vehicle depreciation in FedEx route businesses allows you to offset the revenue stream from the business.
How FedEx Ground Drivers Are Paid
For the vast majority of FedEx Ground contractors, payroll is the largest operational expense. It’s no exaggeration that how you pay your drivers and manage your payroll expense will have a material effect on the profitability of your business as well as the productivity of your team.
What to Expect In Expenses for FedEx Routes for Sale
FedEx Ground routes have predictable revenues with few variables. It’s what makes these businesses such solid investments!
If your revenue is predictable with few variables to significantly change it, then how do you impact your Net Operating Income (or take-home pay)? You focus on Total Expenses.
Pros and Cons of FedEx Ground P&D Routes
There are two types of FedEx Ground routes: pickup and delivery (P&D) routes and linehaul runs. If you are investing in FedEx Ground routes for the first time, we highly recommend P&D routes. Why? P&D routes are easy to learn, less expensive than linehaul, and have a consistent revenue stream each month.
How Much Money Do Amazon Routes Make?
Understanding the valuations of an Amazon DSP business is a hot topic of conversation right now. With the constant growth of e-commerce, the transportation industry is skyrocketing.
What is a Labor Market Analysis?
As we continue to face labor shortages, contractors struggle to recruit drivers for their operations. To help combat the challenges of finding drivers, we have partnered with Bright Flag Recruiting. One of the biggest challenges contractors face when buying or operating in a market is determining what they need to pay to be competitive when recruiting and retaining drivers.
Can I Lease My Fleet?
What many contractors don’t know, however, is that there is a strong argument for using full-service leases in some cases. If you have routes that travel 35,000 miles a year or less, a full-service vehicle lease may be the best option for you.
How Fuel and Fuel Cards Impact Expenses
Fuel cards are the way your drivers will pay for fuel (if you enroll in a fuel card program). These cards look like a credit card, but there are important differences between a fuel card and a credit card.
How to Secure a SBA Loan for FedEx Routes
Every day, Route Consultant’s FedEx routes for sale receive a record number of inquiries about listings via our website and hotline. Our team, and other vendors in this space, are inundated with requests and questions throughout the day. SBA lenders are in a similar position, particularly right now. Our goal is to prepare you to get to the front of the SBA lending line.
Can I Own Amazon Routes?
Our team has helped many Amazon DSPs find a new owner over their operating rights of the business. Going through the acquisition process within the Amazon network is similar to becoming a FedEx Ground contractor. There are a few different ways to become an Amazon DSP, similar to becoming a FedEx contractor.
Are Electric Vehicles Viable in the Package Delivery Industry?
Electric vehicles (EVs) are all the rage in today’s consumer market. Many cities and states, particularly on the east and west coasts, are edging ever closer to lowering emissions and adopting a more electric vehicle friendly environment. FedEx Ground has vowed to be fully carbon neutral by 2040. EVs will certainly be a big part of that initiative.
Are FedEx Routes Good Investments?
Although it feels as if our world is already dominated by e-commerce, the market is not nearly done growing! We predict the e-commerce expansion to rise steadily for the next ten years. The total e-commerce volume will be so significant that we believe there will be enough business for all the current logistics players to sustain themselves and for new players to enter the market and thrive.
Stock Sale vs. Asset Sale
Did you know that 99% of all of our transactions are asset purchase agreements (APAs)? When purchasing a FedEx Ground business, it’s imperative to be aware of the type of sale you intend to make.
How to Get a New FedEx Ground Driver Approved
With an ever-increasing demand for transporting packages, drivers play a significant role in the overall success of your business. Without drivers, you are unable to meet the obligations of your contract for your Customer Service Area (CSA).
Pros and Cons of FedEx Ground Linehaul
There are two distinct types of FedEx businesses: pick-up and delivery (P&D) routes or a linehaul run. Linehaul runs are a lucrative and risky business. Some contractors say linehaul runs are 90% boredom and 10% terror. But they can be an incredibly profitable investment for the right contractor. Are you the right contractor for a linehaul run?
Understanding the Financial Terminology of FedEx Ground Routes
Need a quick refresher on FedEx Route financials in order to make the right purchase? Here’s the top financial terms and definitions you need to understand to review a FedEx Ground route for sale.