6 Questions to Ask Yourself Before You Sell a FedEx Route

As a result of the booming e-commerce industry, the need for delivery service has grown tremendously. In fact, the courier and local delivery service industry is expected to grow by 6.2 percent over the next five years. Forecasts predict that this growth pattern will continue in years to come as e-commerce continues to grow. If you’ve considered exiting the delivery route business, now may be a good time to do so. To help you get started, Sunbelt Business Brokers has compiled a list of six questions to ask yourself before you sell a FedEx route business.

Questions to Ask When Preparing to Sell a FedEx Route

Prepare to successfully sell a FedEx route by asking yourself these six questions.

1. How will I exit my FedEx route business?

fedex route for sale

Before listing your FedEx route for sale, you’ll need to develop an exit strategy. A solid exit strategy helps to ensure you maximize the value of your business and smoothly transition ownership. When planning your exit, be sure to consider the following:

  • What is your timeline for exiting the business?
  • How will you successfully transfer the route to new ownership?
  • What do you need out of the sale to consider it a success?

Whether you plan to sell a FedEx route this year or in five years, it is never too soon to have an exit strategy in place.

2. Can I improve my FedEx route before selling?

Interested buyers are going to pick apart your business, so take a hard look at your FedEx route to consider what areas of the business you can improve. Key areas that can increase value for FedEx contractors are scheduling efficiencies, training, staff, equipment and vehicles.

3. How much is my FedEx route worth?

The value of a FedEx route business varies greatly based on geography, type of route, terms of sale and the condition of vehicles and equipment. To determine the value of your FedEx route, it is best to hire a professional valuation service. With a professional’s opinion of your route’s worth, you can more easily defend your asking price.

4. What type of buyer do I want for my FedEx route?

Consider the various types of buyers that might be interested in buying your FedEx route. Oftentimes, interested parties include:

  • Existing employees
  • Family members
  • Other FedEx contractors
  • Logistics, shipping or management professionals

5. What information will I need to provide to interested buyers?

Work with your accountants, lawyers, and advisors to organize critical information about your route that a buyer might be interested in. Be sure to gather documents like your financial statements, contracts, taxes, vehicle titles and paperwork (if you’re including vehicles in the sale), and business valuation report.

6. How do I sell a FedEx route?

While it’s possible to sell a FedEx route on your own, it is typically best to work with an experienced business broker. By working with a broker, you can focus on daily operations of your FedEx route while a professional markets your business listing, identifies interested buyers, pre-qualifies buyers, sets meetings, negotiates deals, and more.

To learn more about working with a business broker to sell a FedEx route, contact a Sunbelt Business Brokers office near you. Our brokers help sellers maximize the value of their businesses and close deals quickly.

Related reads: