Why bread routes can be the BEST business to buy with less than $100k

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Video Overview:
Using bread routes as an example, this video covers the 6 primary high-level business attributes I use to help weight out which business seems like it would be like the right business to buy. Bread routes can be a great business for many people, but they're definitely not right for everyone. Using the framework I lay out here will help you compare other businesses more quickly to start to narrow down which business you should start to pursue buying.
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Find the route that's best suited for you and evaluate it correctly using the system I've crafted from nearly 15 years of route evaluation:
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Main Site:
RouteTycoon.com
I've evaluated businesses, primarily FedEx / bread routes, for buyers for nearly 15 years now. I have managed FedEx and bread routes personally, worked with and coached large contractors. Own and manage RouteTycoon.com
Disclaimer:
I'm not endorsed, sponsored, approved or otherwise affiliated with FedEx or any other distribution routes.
No advice is given here.
Opinions are my own (but are awesome).
Not a CPA or lawyer.
Use your professional team however you feel is best for your unique situation.

[@wiseinvestor7596]

Great content

[@johnfitch5358]

Just a quick note, while owning a bread route is not "necessarily" a sales job, it can really help you grow your business if you treat it like one.

[@patrickryan1816]

There’s a flowers route in my town that was just listed for sale. Have a brother graduating high school this spring. Could I buy the route and let him operate?

[@miner7962]

I am in the process of buyijg ( financing) a mission route. Clhow do i tell uf the askijg price us accurate. There are many ratios so how do you know i its 6 to 1 or 10 to 1. My last question is what if i own and buiod over next few years and then whej ready to sell i can't. Will mission buy it back or what happens uf No one wants it ir I get sick and csn longer operate it.

[@dbcooper692]

When you buy a bread route you better never get sick or injured !! I am a retired bread delivery salesman and you can't miss work no matter what. Running a bread route is very hard on your body and family life!! Things to consider!! Also dealing with crime is something to consider. I had street fights and two armed robberies plus all kinds of street thug issues!!

[@RoutetycoonVideos]

Wow. And yea, couldn't agree more - don't get sick or injured! I feel like unless you're running it with a partner, you need to have enough money to be able to hire someone to be working with you so that if you DO get sick, they can run it til you're better and you're not scrambling around trying to find backup drivers last minute. However, it's gotten way better lately in some areas where there's backup drivers basically available ready to go on a moment's notice. The realiability of that labor pool obviously varies greatly between different locales though. Cross those fingers I guess!? :) BTW - where were you running routes? Sounds like stories I've heard from Baltimore and San Fran.

[@dbcooper692]

@@RoutetycoonVideos Los Angeles unfortunately!!

[@RoutetycoonVideos]

@@dbcooper692Unfortunately indeed my friend! Come to Raleigh and we'll run a route together - you do the 4-8am work and I'll do the 8am-12pm work?! :) I've owned bread routes. I love running them, but that 4am stuff?! Great money, but 4am is not for me.

[@dbcooper692]

At Oroweat we started at 2:30 am and finished around 1;30 pm. We never took a break all day and ate our lunch while we were driving!! I didn't own the route I was an employee and it paid off big time for me. I have a very nice Teamster mention and pension medical for life. My body is a mess I have had two knee operations and a hip-replacement surgery and I need to go in to have my other hip replaced! I also need joint replacement surgery on my right foot. My back is a total mess!! Things to think about!!!

[@jayjohnson1856]

I’ll gladly do the 4-8 am work

[@ronruiz8935]

How does taking a vacation work?

[@buckyq71]

The reality is that most of these route opportunities is just buying an average income job.

[@dja32aguilar]

I’m looking for a route in the Salem to Portland Oregon area if anybody has a connection to someone

[@DannyBinArizona]

Just bought a Mission Tortilla Route in Salem.. ready to work hard and earn some serious money!

[@salfinocchiaro247]

What about local bakery bread routes?

[@RoutetycoonVideos]

This is a great question and usually only applicable for people living in the Northeast where a lot of those routes can change hands. Each of them can be slightly unique, but some don't have protected territories, some require you to do more 'selling' as opposed to just dropping off product, and so on. Some of the aspects of those smaller routes can be similar to the 'major' bread route contracts, but they just have to be examined closely where they're not. Just because they're different doesn't mean they're bad - some people prefer these types of businesses and they can be fantastic businesses overall for some people for sure. Let me know if you end up having any other questions - maybe I can make a video for ya! ;)

[@InFatGuy]

Are the smaller bakery routes typically owner/operator?

[@nicodangond5822]

Sounds good but if it’s not scalable it’s worthless

[@RoutetycoonVideos]

Yeah - they're definitely not for everyone. :) A lot of people that I've helped get bread routes were working a terrible job for $50k and just wanted to be their own boss w/o the huge risk / capital requirements of other businesses, but still make way more money w/ less stress and hours than their job. But remember, you can scale, it just has to likely be with either Mission or Flowers, but it may take varying amounts of time (eg you can instantly have multiple routes in MA, vs other states where they want to scale more slowly over a couple years). Keep us posted on what business you end up digging into - maybe I can make a video if I can help w/ any questions you have.

[@halvorson566]

@@RoutetycoonVideos do Utz chips if you can. I know some Utz along with the brands in the umbrella Bachman/Good Health/Zapps/Dirty/Tortiyahs!/On The Boarder/Etc routes are owned by the company&done similar to Frito Lays, but at least in my region(New England), we are IOs(Independent Operators). I’d be interested in your take on it! Let me know if you have any questions about it also since I have experience with Utz, along with Pepperidge Farms, & a little bit with Frito when I was extremely young since my father did Frito back in the 90s.

[@RoutetycoonVideos]

@@halvorson566 Cool did you own an Utz route or run one for someone else? Most of those that I see for sale are usually in that New England area - so much opportunity for so many different types of routes up there.

[@dhobbins2324]

Can you hire a driver to run the route?

[@RoutetycoonVideos]

It's different for each route company and each terminal manager. Flowers and Mission have no issues with it most of the time. The others may have terminal mangers that have an opinion on it, but I think that if they feel like the owner is still involved in the business (eg helping, driving some, showing up at the terminal occasionally, or whatever 'involved' may mean to that terminal manager), then you can hire drivers to help you. Owners that want to hire a driver and do absolutely nothing at all though are in for a very nasty uphill battle though.

[@user-qp8yr7xf5z]

couldnt i just hire a driver?

[@RoutetycoonVideos]

Sometimes you can like with Flowers or Mission routes and there's no issues. Other routes like say Pepperidge Farm have terminal managers that really like to watch over your operations to make sure that they have owner/operators out there running their routes. This to me is the biggest difference with a "true" business vs a "contractual relationship" where terminal managers (in some, NOT all) of these route companies can dictate how they want you to run things. Most of the time, regardless of the company and terminal manager, I think that if the manager feels you're still running things mostly (even if you've got help w/ a driver), then they're ok with it. This gives a lot of flexibility on whether you want to be working 10 hours a week w/ using a driver/helper or running everything yourself and spending more hours on the route yourself.

[@Pernection]

Uh, no. Some one else is g going to chuck dough. Then i would try to push my own product to the stores.

[@RoutetycoonVideos]

I'm not sure I follow with someone else chucking dough. Are you saying you'd rather sell your own product (eg. small brewery beers, flowers, crafts, etc) to grocery stores? I've seen multiple people do that and do very very well doing that, but I don't see a lot of those businesses for sale though.