The new year often begins with new resolutions and even a determination to start a new business or expand your current one. FedEx route ownership is a great option. While during the peak shipping season around Christmas, FedEx handles an enormous number of packages, there is a lull when the holidays are over, making January is a great time to buy a FedEx route.
The reason? The peak season for the logistics industry has wound down, and there is usually a small lull in shipping following the holiday (with a few key exceptions). That makes it a great time to learn a new business or just ramp up and get another one going. Here are some things you should know.
Managing FedEx Routes is Easier to Learn When it is Slower
While you certainly can, and contractors have, purchase a route during what is known as peak season for FedEx, that can be challenging unless you already know the logistics industry pretty well. That season lasts from the middle to the end of October until the first of the year. During that time, routes are busier than ever.
Of course, they are also potentially more profitable, but route owners often have to bring on extra help and even extra trucks, which they may have to rent or borrow from other route owners. Drivers and their equipment are stretched to their limits, and some contractors even bring on “runners” to run packages to the door for drivers.
In short, it can be a stressful (although profitable) time, and it is easier to learn a new route and a new business when things are a little slower and more manageable. That makes the first part of the year a great time to purchase a FedEx route.
Finding Drivers is Easier if You Need To
If you plan to own more than one route or just have a driver who operates your routes a few days a week or when you are on vacation, finding one can be a process. Drivers must pass FedEx screening and training, and both take time and come to a standstill for the most part during peak season.
But before Peak begins, FedEx and often other contractors will hire temporary drivers. They must pass the same screening and training as a normal FedEx driver but may be looking for more permanent work when peak season ends. This is a great way to hire drivers, often ones you can share with other contractors as vacation or sub-drivers.
The best of these candidates can get snatched up quickly, but if you purchase a new route and are ready to hire someone, they can be yours and are often the easiest to train and the most likely to stay on long term.
Sometimes the Price is Right
Peak season can be stressful, and the first part of the year can see routes go up for sale. Contractors may be tired of the pace of peak season or even burnt out. While burnout can be prevented with the right steps, it can also be a real factor in when a FedEx route gets sold, and even impact the price.
As a result, after peak when contractors can be flush with cash and be in the mood to sell, you can get even more favorable terms on the right route. Just be sure you do your due diligence or you hire a good route broker to make sure the income of the route is based on normal operations, not the brief peak season.
But if you do your homework, you can get a great price on a route that works for you and get started with route ownership sooner rather than later.
Buy a FedEx Route for a Great Start to a New Year
Buying a FedEx route is a great way to start your new year. Are you looking for a new career? An exciting, hands-on business opportunity with one of the largest logistics companies in the world? Then the decision to buy a FedEx route may be the right one for you.
Of course, you will need to be prepared, and you may have questions. At Route Advisors, we are here to answer them. We’ll help you find the right route for you in the area where you want to work, and we’ll be with you through every step of the process.
Ready to get started? Contact us today. We look forward to talking with you about buying a FedEx route today.