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FedEx Discussions
Looking to buy FedEx routes Need Advice from owners
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<blockquote data-quote="12yearsaslave" data-source="post: 2914956" data-attributes="member: 62756"><p>We have sort of an internal market within FedEx contractor world which determines the route pricing. So a lot of times prices will be based off what routes are sold for between contractors. And those go up because if you need the area that is next to your area you would pay more. We had stable growth for 15 years now. Every contractor with half a brain made money. So when they sell, the prices reflect that, and not the bitching that bacha does. Whatever financials that the contractor provides are pretty irrelevant since you can run this business a hundred different ways. You can show 30% profit margins if you do your own maintenance, jump in the truck every time somebody calls off, or do a route yourself every other day, half your family works for you etc...</p></blockquote><p></p>
[QUOTE="12yearsaslave, post: 2914956, member: 62756"] We have sort of an internal market within FedEx contractor world which determines the route pricing. So a lot of times prices will be based off what routes are sold for between contractors. And those go up because if you need the area that is next to your area you would pay more. We had stable growth for 15 years now. Every contractor with half a brain made money. So when they sell, the prices reflect that, and not the bitching that bacha does. Whatever financials that the contractor provides are pretty irrelevant since you can run this business a hundred different ways. You can show 30% profit margins if you do your own maintenance, jump in the truck every time somebody calls off, or do a route yourself every other day, half your family works for you etc... [/QUOTE]
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