You might already be wondering how long it takes to sell your routes once you decide to put your routes on sale. One of the best ways to know that is by looking at some factors of your business. Do you have a number in mind on how many routes you are planning to sell? Do you cater multiple sectors, including home delivery, ground, and linehaul? Do you have pending requirements, such as negotiations, overlaps, and ISP transitions that need to be completed before the sale? Are there new routes coming soon in the area you are servicing? Are you financially ready whenever there is an interested buyer?
Once you have answered the above questions, you will find it easier to tell how much time it would take to sell your routes. You should always consider financing all throughout the process, especially if you are planning on making the negotiation only done on cash. You can always choose to accept a bank financed deal because it can greatly help you in selling your FedEx routes. Other than that, it can also help increase the overall duration of the sales cycle. You can create a precise timeline and estimated turnaround time once you have understood all the factors involved in the process.
The Right Time to Sell
One of the common questions among contractors is when the right time to sell FedEx routes is. There is actually no right answer to the question because it always depends on the timing. You can always sell your FedEx routes anytime and get the most value out of it. There will always be potential buyers who are ready to invest on routes regardless of the time they are sold. However, you need to take note that the usual time table to sell FedEx routes is about three to four months. Thus, it is best to time the closing of your sale to make a successful transition for both seller and buyer.
You should avoid closing your sale during peak seasons for obvious reasons. However, it does not mean that you cannot carry out a sale during holidays. There will just be more time to complete the total process. When dealing with local terminal management, it is recommended to close a sale before peak season. It will help ensure that the new buyer will have enough time to get the hang of the new operation before the increase of volume begins. The most recommended time to close the sale is during the first few months of the year. If you sell your FedEx routes in the first quarter, your new buyer will have around 6 months before they start preparing for peak seasons which normally occurs in the last quarter of the year. Normally, you will have to assist in the operations for at least 30 days in order to help the new owner with the transition. For a smoother negotiation and transfer of routes, you need to create a sale agreement that both parties can agree on. It should include new ownership, terminal management, and driver, if applicable. Selling Fedex routes should be easy at this point onwards.