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Question: Is now a good time to buy a FedEx Ground Route?
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<blockquote data-quote="bbsam" data-source="post: 824796" data-attributes="member: 22662"><p>You have a real "roll of the dice" situation staring you in the face here. The upside is huge but the risk is considerable. For potential growth I would look into settlement payments for the last two years just to get a feel for historical monetary payment. Look for general overall trends in the settlement payment whether it is sharply up over time, down, or relatively flat. Are the routes rural, city, a mix? Are the areas in high growth business areas, alot of residential? As an ISP candidate, the company at some point will give you alot of that data for the defined area, but you will need to look extensively at the contractors expenses possibly along with a financial advisor and or lawyer. You need to be able to come up with a fair market price to service that area taking into account all expenses (including owner profit) and determine how that is to be paid within certain parameters. In short, treat it like any business venture. My only warning would be in the having to get right into negotiation and whether you have enough time to really feel comfortable with the business model you are buying into. Good luck.</p></blockquote><p></p>
[QUOTE="bbsam, post: 824796, member: 22662"] You have a real "roll of the dice" situation staring you in the face here. The upside is huge but the risk is considerable. For potential growth I would look into settlement payments for the last two years just to get a feel for historical monetary payment. Look for general overall trends in the settlement payment whether it is sharply up over time, down, or relatively flat. Are the routes rural, city, a mix? Are the areas in high growth business areas, alot of residential? As an ISP candidate, the company at some point will give you alot of that data for the defined area, but you will need to look extensively at the contractors expenses possibly along with a financial advisor and or lawyer. You need to be able to come up with a fair market price to service that area taking into account all expenses (including owner profit) and determine how that is to be paid within certain parameters. In short, treat it like any business venture. My only warning would be in the having to get right into negotiation and whether you have enough time to really feel comfortable with the business model you are buying into. Good luck. [/QUOTE]
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Question: Is now a good time to buy a FedEx Ground Route?
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