Business Overview

Recession Proof Business-Despite COVID19, Business Has Been Booming!!

The Company is a North Carolina corporation. Since its inception it has achieved rapid sales growth! The Company is a FedEx Ground P&D (pick up & delivery) contractor of FedEx, a Fortune 100 global shipping company.

The Company’s “Independent Contracting Agreement” with FedEx gives it exclusive rights to service on average of 13 routes on a daily basis. The business is ISP compliant and is 100% overlapped. All of the routes are highly contiguous making it a very efficient operation.

FedEx contractors deliver packages from the terminal to businesses & residential recipients. The typical hours of operation for the drivers are from 8am to 5pm.
With the continued growth of e-commerce in the US, the Company is expected to continue to growth rapidly over the next 5 years!

The Company’s trucking business operated out of one local FedEx terminal owned by FedEx, therefore the Company does not have to pay rent. The operation comes with a manager that has solid experience managing the business. The Company’s Manager and drivers will remain with the business.

Operating the Company involves keeping in contact with FedEx, sorting & loading packages, dispatching routes, reporting, hiring and dealing with staffing issues, truck maintenance, and payroll (accounting).

Investment Considerations

Why invest in this FedEx Ground Company?
Easy…

1. Consistent sales growth since founding.
2. Part of a rapidly growing industry
3. Powerful global partner in FedEx
4. Recession proof business. Thrived in 2008 economic downturn and is thriving during the current COVID19 outbreak.
5. Predicable revenue
6. Range of growth strategies
7. Ease of management as the business comes with 1 non-driving operation manager that oversee the day to day operations & manage the drivers.
8. Well managed business and clean books
9. Impeccable reputation with FedEx
10. Highly efficient operation with having all routes highly contiguous and 100% overlapped.
11. No debt will be transferred, the Seller will pay approx. $90K at closing, so that the new Buyer can get all 14 vehicles will come free and clear
12. A total asset value of $435K will be coming with the sale
13. Make money day 1 and get paid every single week. No cash flow or AR issues!

Financial

  • Asking Price: N/A
  • Cash Flow: $433,191
  • Gross Revenue: $1,787,211
  • EBITDA: $433,191
  • FF&E: N/A
  • Inventory: N/A
  • Inventory Included: N/A
  • Established: 2020

Detailed Information

  • Property Owned or Leased:N/A
  • Property Included:N/A
  • Building Square Footage:N/A
  • Lot Size:N/A
  • Total Number of Employees:19
  • Furniture, Fixtures and Equipment:N/A
About The Facility:

The 13 FedEx Delivery routes are operated out of a local terminal owned by FedEx, therefore, the Seller and other contractors do not pay rent. No debt will be transferred as all 14 of the vehicles will be delivered free and clear at the time of closing.

Is Support & Training Included:

The Seller is willing to provide reasonable training period needed until the Buyer is comfortable taking full control.

Purpose For Selling:

Other interest

Opportunities and Growth:

FedEx route owners have experienced growth each year since this model has been in place for over two decades! The trend is continuing to go the way of e-commerce (online shopping) which is why the logistics industry has exploded. FedEx is no exception to this growth. In fact, FedEx growth is projected to be more significant in the coming years due to FedEx strategic partnerships with big name retailers and online retailers. This is a recession and competition proof business!

Additional Info

The venture was founded in 2020, making the business 2 years old.

Why is the Current Owner Selling The Business?

There are all kinds of reasons individuals decide to sell companies. Nonetheless, the true reason and the one they tell you might be 2 completely different things. As an example, they might state "I have a lot of various obligations" or "I am retiring". For numerous sellers, these factors are valid. However, for some, these might simply be excuses to attempt to hide the reality of changing demographics, increased competition, recent reduction in revenues, or a range of other reasons. This is why it is extremely essential that you not depend totally on a vendor's word, but instead, make use of the vendor's response in conjunction with your total due diligence. This will paint a much more reasonable image of the business's existing situation.

Existing Debts and Future Obligations

If the current business is in debt, which many businesses are, then you will have reason to consider this when valuating/preparing your offer. Many businesses take out loans in order to cover items such as stock, payroll, accounts payable, and so on. Remember that in some cases this can mean that revenue margins are too thin. Many companies come under a revolving door of taking on debt as a way to pay back various other loans. Along with debts, there may additionally be future commitments to think about. There might be an outstanding lease on equipment or the building where the business resides. The business may have existing agreements with vendors that should be satisfied or might cause charges if terminated early.

Understanding the Customer Base, Competition and Area Demographics

How do businesses in the area bring in new clients? Most times, companies have repeat clients, which create the core of their everyday earnings. Certain variables such as brand-new competition growing up around the area, road building and construction, as well as personnel turnover can impact repeat customers and also negatively influence future profits. One essential point to think about is the area of the business. Is it in an extremely trafficked shopping mall, or is it concealed from the main road? Certainly, the more people that see the business on a regular basis, the greater the possibility to construct a returning customer base. A last idea is the general area demographics. Is the business situated in a densely inhabited city, or is it situated on the outside border of town? How might the local median house earnings influence future earnings prospects?