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16 Replies Latest reply: Apr 23, 2011 2:13 PM by Fred T RSS

Federal Express routes

dfreed1014 Newbie
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Does anyone have information on Fedex ground routes or home delivery routes?
I am looking to purchase a route and would like to know more information.
I live in the South Florida area.
  • Re: Federal Express routes
    jake222 Newbie
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    Hey, I have been looking for the same in Northshore of Chicago. It is surprising that Fed ex doesn't have(as far as I know) a site to post to. I was hoping to create a thread for guys like us to email or call each other to help each other out in our pursuits
    • Re: Federal Express routes
      dfreed1014 Newbie
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      Hi,
      I have just started looking for a Fedex route.
      I will probably start out as a driver to get the experience.
      There has been some great posts on this site in the past but it just seemed to die.

      Yes, Barky I have read them. Thanks for the info.
  • Re: Federal Express routes
    Barky Dog Apprentice
    Currently Being Moderated

    drfreed,

    I remember reading a fairly detailed message thread about Fedex routes.

    Found it- Have funds to purchase FEDEX ground routes. Risks involved ?

    The thread is about a year old, but there is still some great information there.

    Good luck,

    Barky
  • Re: Federal Express routes
    jake222 Newbie
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    Hey defreed I am just starting the process myself. I will keep posting throughout. I'm looking in chicago. I'm going to try to find a route broker
    • Re: Federal Express routes
      dfreed1014 Newbie
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      Hi,

      I would contact the Fedex terminal close to your home.
      I contacted the terminal directly and made an appointment with the "ground" manager.

      After speaking with him for a while, I asked him if he knew of some people looking to sell their routes.
      He gave me 3 or 4 telephone numbers of the individual route owners.

      If you go thru a broker someone is going to pay a commission.

      I hope this helps.
      • Re: Federal Express routes
        jake222 Newbie
        Currently Being Moderated
        Thanks DFreed,
        great idea. How do you think I can get around not having experience driving. Do I really have to weight a year or six month to drive my own vehicle that I purchased to deliver fed ex. It sounds nuts to me
        • Re: Federal Express routes
          jake222 Newbie
          Currently Being Moderated
          Has anyone figured out why some people do home delivery. versus ground There must be something that I am missing because I would thing that people would not want to be working on Saturday. Has anyone figured out how ground pays. i.e gas supplellments, per package, bonusses? Another thing that has come up is the fact that they want people to owon multiple routes. I think the reason is so that fedex can stop fighting this whole employee versus contractor thing. I I purchase multiple routes than I become th employer and am stuck with paying all the taxes right?
        • Re: Federal Express routes
          dfreed1014 Newbie
          Currently Being Moderated
          Hi,
          I got the same story. I have 7 months driving experience so I can qualify for the Fedex driving class
          which I have to pass in order to drive. I have to wait a year before I can buy a route.
          If you want to buy a route you can still do so. The only caveat is that you have to hire a qualified driver (approved by Fedex)
          to deliver the route.
          • Re: Federal Express routes
            jake222 Newbie
            Currently Being Moderated
            I have been having a heck of a time getting through to the chicago terminal. The message machine said that it was full for the supervisor. I assumed that she was on vacation and then found out that she was actually working. I think the massive interest is due to forcing the sole route owners to add multiple routes. My hope is that more routes are going to be available versus that they are getting bought up by single route contractors. I think FedEx ground is trying to get out of the Contractor/employee dispute issue by forcing individual "potential employee route owners" to have to become the boss by having multiple routes and employees themselves. In this way the new owners will have to pay the taxes for their own employee's versus Fed Ex having to. I wonder if the model will still be profitable if you have to come up with an addditonal 25% of your drivers pay for taxes. (fica,suda,workerscomp, ect.) If Fed ex wants to change the model because it is not profitable for them, then I am concerned that I am buying their problem and jumping into a model that clearly helps them but not me. I am seeing several owners who are opting to become better paid drivers (employee's) and selling their routes at a discount. By doing this they can effectively avoid paying the new " employee status" taxes that seem to be coming down the line and let the new owners pay it. What do you think?
  • Re: Federal Express routes
    jimrautio Newbie
    Currently Being Moderated
    Aloha:
    I am a researcher and investor buying FedEx routes daily in the Western states. I find the best way to search the entire market is to put up a Google alert. They can be taylored to your needs and will search the net 24/7 for anything that pops up. You can say "Fedex ground routes in Miami" for example, and any routes posted anywhere with those words will be tagged & you receive an email.

    Jim
  • Re: Federal Express routes
    thinkhuge Newbie
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    I am also interested in a Fedex route in the Long Island area please pass any info on
  • Re: Federal Express routes
    smkchitown Newbie
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    Hello. I'm just starting my research into the idea of buying a FedEx route. I will probably wait 2-3 years as my youngest should be out of college by then. I'm interested in looking in the Southern or Western US area. I understand that you have to be incorporated in the state that you plan to buy the route in, and that you have to have 6 months of driving experience. My concern is that with already having a FT job, where do I get the experience so that I can qualify? Or can I go through a driving school to get my qualifications.

    Also, I saw on a post about spending between $20-$25K annually to for expenses (truck expenses, etc.). Is that true?

    Thanks!
    • Re: Federal Express routes
      dfreed1014 Newbie
      Currently Being Moderated

      Hi,

       

      In reference to your lack of driving experience, I would contact the Fedex terminal near you and ask them. In South Florida it is a minimum of 6 months driving experience and then you could apply to go to an approved driving school or the Fedex school. You can still buy a route now but you would have to hire a driver approved by Fedex.

       

      Expenses vary according to location, amount of business you are doing, quality of truck, type of route, etc.

       

      Since, Fedex is going through a number of lawsuits around the nation concerning employee or independent contractor status for ground or home contractors; I have heard that is the business model they are looking to take.
    • Re: Federal Express routes
      spieg83 Newbie
      Currently Being Moderated
      I have owned a FedEx ground route. I will tell you that it is not all it is cracked up to be. I was young 22 when I started. They gave me my first route and I leased a truck. The manager at the time told me that every contractor leased their vehicles. That was false. He was trying to get me in because the other contractors were going on vacation and the lease was the quickest way to get a truck. I spent about 28k a year in fuel and in mantaining the truck. My buddy had to drop 17k in an engine and the truck is 7 years old. He has changed the oil and filter every 3000miles. I put in engine in my truck when it was about three years old. I had a ford econoline it ran me 6k. It just depends on the truck and the route. In town routes are easier on trucks and have less breakdowns. I sold my route about three years ago and managed 6 routes for another contractor. I work for FedEx Express now. I will tell you that FedEx Ground is ALOT!!!!!! of work. If you are afraid of work don't waiste your money.
      • Federal Express routes
        Fred T Newbie
        Currently Being Moderated

        As a former owner, could you tell us how much you were paid per package and how many packages you delivered per day?  What was your annual profit after all the expenses were paid and did you driver the route yourself or hire a driver?  Thank you.

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