Buying a ROUTE - ideas, info, advice

saxon22 · Apr 15, 2008

Quote from nutmeg:

UPS, FedEx and other commercial delivery companies pay a steep price for doing business in New York City, getting an average of 7,000 parking tickets every day and paying more than $102 million in fines in the cityâs latest budget year.

http://www.msnbc.msn.com/id/14602712/

Regarding buying sat radio for the helper, Fuck that. I wasn't paying some kid to listen to the radio. I hired this kid and he read the paper and stock books to me while I was driving. (honest he really did, it was in the job description).

I think a secret to a well run company is happy and content workers. So I think Howard Stern would be on the dial.

Disclaimer: he is not my cup of tea.

saxon22 · Apr 15, 2008

Quote from TGregg:

A friend was buying a food wholesaler. I glanced over the books and found that something like 55% of the sales were to one store. Turned out that store was owned by the seller's brother-in-law. What are the odds that will continue the day after the business was sold?

There were some other problems, but that was a deal breaker IMO. That's why you need a CPA to go over the numbers in great detail.

You are 100% right. CPA is indispensable in situations like this.

Dr. Zhivodka · Apr 15, 2008

I think it's a great idea. As long as the Nets are legit. I own part of a pool cleaning business, among other things. It's nice to have checks rolling in from something other than trading.

Buying water rights is another good thing to look into. Oil & Mineral rights have become insanely expensive....but for a long time they were steals.

saxon22 · Apr 15, 2008

Quote from Dr. Zhivodka:

I think it's a great idea. As long as the Nets are legit. I own part of a pool cleaning business, among other things. It's nice to have checks rolling in from something other than trading.

Buying water rights is another good thing to look into. Oil & Mineral rights have become insanely expensive....but for a long time they were steals.

Thanks for the info. Seems that most have a problem with the Numbers. A good accountant with a dishonest owner could make a mediocre company look like a gem, and that is what keeps me at bay.

nutmeg · Apr 15, 2008

Seems that most have a problem with the Numbers. A good accountant with a dishonest owner could make a mediocre company look like a gem, and that is what keeps me at bay.
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Very valid point. If we always assume the numbers are suspect or dispropotional business to one customer, the evaluation has to be to the growth potential and the impediments behind the scenes to support the potential.

You'll offer new "eyes" and energy. Some businessemen are just tired or have business they "don't want".

Usually a business can cover the costs, the profit portion is the kicker, more hours, effeciency, customers, you need to identify the potential and the cost of the potential.

blackchip · Apr 16, 2008

You could check on a route by riding along for a week. Do the number correlate with the deliveries/expenses?

What about something like a car wash or laundry? Those things are pretty liquid and easy to evaluate.

saxon22 · Apr 16, 2008

Quote from blackchip:

You could check on a route by riding along for a week. Do the number correlate with the deliveries/expenses?

What about something like a car wash or laundry? Those things are pretty liquid and easy to evaluate.

car wash would be perfect but here in NYC they go for 1 million + which is not in my ballpark by a long shot.

Laundrymat, I thought about it and it could be a cash cow.

TGregg · Apr 16, 2008

Quote from saxon22:

car wash would be perfect but here in NYC they go for 1 million + which is not in my ballpark by a long shot.

Laundrymat, I thought about it and it could be a cash cow.

I've thought about one of those Suds and Duds style ones that sells beer & wine by the glass. Wash yer clothes and tie one on.

saxon22 · Apr 16, 2008

Quote from TGregg:

I've thought about one of those Suds and Duds style ones that sells beer & wine by the glass. Wash yer clothes and tie one on.

Interesting concept.

nutmeg · Apr 16, 2008

Quote from TGregg:

I've thought about one of those Suds and Duds style ones that sells beer & wine by the glass. Wash yer clothes and tie one on.

I thought you were kidding. I checked this out on google.