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Investing in a FedEx route basics
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<blockquote data-quote="It will be fine" data-source="post: 2159746" data-attributes="member: 55017"><p>Situations change. 3 months ago and the 5 years prior when a contractor expanded operations to cover more area the value assigned to the area went up according to the engineers. That is no longer the case. </p><p>It used to be contractor A sells a zip code to contractor B. Both renegotiate. "A" gets $X less than what they were making because they are now smaller. "B" gets 70%X because they are now bigger. FedEx takes 30%X because they're greedy.</p><p>Now it's both "A" and "B" get 15% less than they are currently making because??? But growth will make up for it somehow. </p><p>It's ridiculous and if the trend continues contractors will fold and no one in their right mind will take over the area. Even if they were giving it away free, if the resulting renegotiation means less revenue why take on the extra headaches?</p></blockquote><p></p>
[QUOTE="It will be fine, post: 2159746, member: 55017"] Situations change. 3 months ago and the 5 years prior when a contractor expanded operations to cover more area the value assigned to the area went up according to the engineers. That is no longer the case. It used to be contractor A sells a zip code to contractor B. Both renegotiate. "A" gets $X less than what they were making because they are now smaller. "B" gets 70%X because they are now bigger. FedEx takes 30%X because they're greedy. Now it's both "A" and "B" get 15% less than they are currently making because??? But growth will make up for it somehow. It's ridiculous and if the trend continues contractors will fold and no one in their right mind will take over the area. Even if they were giving it away free, if the resulting renegotiation means less revenue why take on the extra headaches? [/QUOTE]
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