Hauling Contract Agreement For Fedex
Description
How to fill out Hauling Services Contract - Self-Employed?
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FAQ
How Much Can You Make Owning a FedEx Route? According to FedEx, the average revenue for a FedEx route owner is $1.5 million. There are 3,233 route owners that generate revenue of $1 million or more and the top route owner has $17 million in revenue.
Five-year agreement with each firm covers government-wide shipping services. FedEx Corp. and United Parcel Service (UPS) were each award five-year contracts valued at $2.35 from the Department of Defense (DOD) for delivery services.
As you look to buy a FedEx Ground route, look for P&D businesses with profit margins between 10%-25% of revenue. These are healthy businesses! For example, if you purchase a FedEx Ground route with approximately $800,000 in revenue per year, you can expect to pull in approximately $120,000 in profit (or 15%).
Each business contracts to provide service for linehaul runs and spots, or pickup and delivery services for a contracted service area. These businesses purchase or lease their own vehicles and are responsible for hiring and training drivers and staff, and planning and executing the day-to-day operations.
You can get a FedEx Ground route contract if you are an independent business that is established as a for-profit corporation and are registered and in good standing in the state in which you plan to conduct business. The first step toward achieving the contract is to submit the Request for Information to FedEx.
