Question: Is Buying A FedEx Route A Good Investment?

Can I buy a FedEx route?

To own a route with FedEx, you will have to sign a contract with FedEx and become an independent contractor.

This means you are not an employee of FedEx and will not receive health insurance, a retirement plan, or other benefits from FedEx.

Additionally, FedEx requires that your business is set up as a Corporation..

Is buying a route a good investment?

If you have some money to invest and time to work, then a bread route can be a fantastic investment. You’ll have the opportunity to earn a steady income while building the value of your accounts. This combination of circumstances can lead to a significant profit margin in time that you can pocket.

How much does a FedEx contractor make per package?

Fedex Ground Independent Contractor SalaryAnnual SalaryWeekly PayTop Earners$96,000$1,84675th Percentile$67,000$1,288Average$56,451$1,08525th Percentile$34,500$663

How do I become an independent contractor for FedEx?

The qualifications for work as an independent contractor for FedEx Ground include: At least one year of commercial driving experience within the last three years; Have no record of positive alcohol or drug test; Have a current commercial driver’s license; and.

How much does FedEx pay per mile?

Team pay is $0.67 per mile. FedEx Ground Contractor has an immediate need for Class A CDL team drivers.

How much can you make owning a FedEx route?

A route owner can make an annual profit of $30,000 to $50,000 on a single route, he said. Each business has a unique contract with FedEx that outlines the terms of how they’ll be paid. FedEx usually pays route owners based on how many stops the truck makes and how many packages the driver picks up and delivers.

Are FedEx drivers employees or contractors?

Unlike competitor UPS, which treats all its drivers as employees, FedEx has long called many of its FedEx Ground drivers Independent Contractors, which means it doesn’t have to provide basic benefits, overtime pay, workplace protections, or other employee rights.

How many stops does a FedEx driver make a day?

Because of this, operational efficiency of deliveries is almost taken care of by itself. An average FedEx driver can deliver anywhere between 75 and 125 packages per day! This is extremely high if you were to compare it to the home delivery industry at large, where the average is closer to about 15 to 35 per day.

What qualifications do you need to be a FedEx driver?

FedEx Ground Delivery Driver Must be 21 years of age. Must have 1 year’s commercial driving experience, which may include driving in personal vehicle, within the past 3 years, no CDL required.

Does FedEx hire independent contractors?

If you’re an independent contractor, select from the following links for information about opportunities with the FedEx family of companies. You may find just the opportunity to match your entrepreneurial drive! FedEx Custom Critical Owner/Operator Opportunities. FedEx Ground Independent Contractor Opportunities.

Does FedEx use independent contractors?

FedEx Ground outsources 100% of their routes to “independent contractors” who then turn around and hire their own drivers.

Why are so many FedEx routes for sale?

FedEx Ground contractors cite many reasons for selling FedEx Ground routes. Many of our sellers are ready to retire, spend more time with family, or focus their business efforts elsewhere. We also often post FedEx routes for sale that represent only a portion of one contractor’s business.