FedEx owner-operators (Independent Service Providers or ISPs) are smart and resourceful. They know running a FedEx business can be lucrative and seek out new FedEx ground routes for sale. But after they’ve owned their FedEx home delivery company for a while, many find that financing a new or used truck can get a little tricky.
Obviously, if you’re operating a FedEx delivery service, you need a FedEx delivery truck. But, of course, while it’s more economical to buy used FedEx ground trucks or FedEx box trucks, getting financing for them may be challenging. And buying new trucks often requires paying a 20% down payment.
Luckily, Financing Solutions can help by providing either new or used FedEx truck financing through our line of credit product, so operators can put a down payment on a new truck or purchase a used one. The best part about the line of credit product is it can be used for anything and it doesn’t cost anything when not being used.
Summary
Expanding Your Business as a FedEx Contractor
It’s likely most of you reading this are single owners/operators offering pickup and delivery (P&D) services for FedEx. But, if your goal is to grow your FedEx delivery service business by purchasing additional routes (FedEx lists routes in need of P&D across the country on its website), you’ll need additional FedEx vans or FedEx delivery trucks to provide the service.
As you expand your FedEx ISP business, your corporation is responsible for hiring
additional personnel and purchasing or leasing your own FedEx ground trucks. Your corporation is also responsible for covering all insurance costs, employer costs, vehicle maintenance, and driver training for your staff.
It’s financially savvy to build your fleet by finding used FedEx trucks for sale or even used UPS trucks for sale. Finding a FedEx truck for sale isn’t as hard as it sounds. First, ask your fellow independent service providers if they have vehicles for sale. Many may decide to upgrade their current vehicles and are happy to sell their older ones.
Buying a Used FedEx Van/Truck
Building a fleet for your expanding FedEx ground business takes research and creative financing solutions. Whether you can afford to purchase new vehicles or need to buy used ones is a decision best made after consulting with your accountant. However, purchasing a new vehicle can use up most of your business’s working capital. And while buying a used FedEx van or FedEx truck can still run you between $20,000 to $40,000, those used vehicles are more likely to come with the interior customizations required for a commercial transportation vehicle.
Why You Should Consider Financing Solutions for FedEx Van/Truck Financing
FedEx ground contractors looking to buy used vans or trucks can find financing for these vehicles using a line of credit product from Financing Solutions. Having a line of credit can not only help finance building your fleet of vans and trucks, but it can also address paying for short-term expenses like tires, maintenance, and other everyday business expenditures.
At Financing Solutions, we work closely with FedEx contractors and small business owners, so we know operators need a fast and easy application process and quick funding decisions. Plus, using our line of credit, small businesses can also hire more drivers, purchase uniforms, and more.
Financing Solutions FedEx Ground Contractors Line of Credit Program
The Financing Solutions FedEx Ground Contractors Line of Credit Program gives operators a preapproved amount of money that can be accessed at any time. Plus, unlike a bank line of credit, the Financing Solutions credit line does not require the business owner to provide collateral or make personal guarantees.
FedEx Ground Contractors can use their credit line for financing commercial vehicles, such as step vans, cargo vans, FedEx trucks, box trucks, straight trucks, and other FedEx vehicles.
This line of credit is not for startups. You must be an existing FedEx Independent Service Provider to qualify.
Line of Credit Costs
The Financing Solutions line of credit costs nothing to set up and nothing until used. When the credit line is used, it can be paid back at any time and it is inexpensive. Many FedEx ISP’s use their lines of credit for short-term needs, such as repairing their trucks, buying new tires or needing to make payroll. The point is it gives FedEx ISPs a safety net and a sense of relief—knowing the money is there when you need it. The Financing Solutions credit line is an excellent cash backup plan.
Apply Today
The credit application process for a Financing Solutions small business line of credit takes 2-minutes to fill out, and the offer letter is emailed back to you the same day. Once approved, there is no obligation to move forward.
After reviewing the offer letter, if you wish to move forward, we will ask for a recent tax return and four recent bank statements. If everything is in order, we will set up your line of credit within 48-72 hours. You will have access to our secure customer portal, where you can request funds, check your balances, and request payoff amounts. Fund requests can be wired the same day and can be paid back at any time.
So don’t let the cost of acquiring vehicles stop you from growing your FedEx delivery business. Instead, apply for a Financing Solutions line of credit to get a jump-start on this expanding your entrepreneurial venture.
Financing Solutions LLC is not endorsed by and is not recommended by Federal Express Corporation and FedEx Ground. Financing Solutions LLC is not sponsored by, is not approved by, is not associated with, and has no connection whatsoever with Federal Express Corporation or FedEx Ground.
