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Looking at buying a Pepperidge Farm route does anybody have some advice.

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Answers (75)
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Does Pepperidge Farm manufacture raisin bread and bagels for Aldi,s grocery chain ? If so do they pay commissions to the distributor who,s territory that store is in ?

Mar 24, 2017
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I am a pepperidge farm independent distributor, let me break it down for you, If I didn't have my husband as a former Dsm for wonder bread hostess I would have sunk, these routes are not for your average person that just gets a whim and would like to be in business for themselves. You have to have knowledge of running routes. It by any means is not a bad company to work for, but you can't just walk in off the street and expect to prosper. The training is horrendous and will not teach you the fundamental tools you need to even make it week to week, so my answer is if your are not a former district sales manager or have never done route sales, stay away form these routes.

Nov 6, 2016
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Gulfstraw
fired every 4 months
Dougherty County, GA

Pepperidge Farm is very secretive. Not friendly to women or minorities at all. I waited months for a owner to split their route here in Georgia and let me tell you, between PF, him and the DM Dwayne Hild, I don't know WHO is the LIAR. There is a route available and I applied twice, never heard back from Mr. Hild. What are they paying him for? I don't know. Meanwhile, another distributor pulled his route off the market because he is anticipating more new stores to open up in his territory and didn't want to leave money on the table... that tells me about all I need to know right there. I have found that between PF dirty distributors, Campbells... its all dirty. They have SOMETHING to hide and at the end of the day I fear it may be Bank of America that gets the shaft, just like the housing crisis. One more thing, I was told by a Distributor that they are no longer going to pay new distributors for the pallet drops into the Sams clubs and certain stores. That is SUPPOSED to reduce the value of the routes, however, some are still going for 410k+... no way. I have reevaluted how I spend my money and I would never even think of buying a PF product. They are hiding way more than what meets the eye. If its this bad on the industrial side, imagine what goes on in the kitchen!!! Check out the Pepperidge Farm Owners Association website and see all the DRAMA that goes on between the distributors and CAMPBELLS... it is really really scary!

Apr 12, 2016
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Can someone tell me the percent amount that was required for your route. The website and the states 10%-15% but the District Manager or person over selling the site is asking for 15%-20%. Has there been a change? I can't find anything other than the original percent price.

Aug 16, 2015
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M P

Has anyone heard of The Route Exchange? I am looking into a Thomas's Route. Also, someone said not to pay more than 20-1. I assume that is based on the weekly gross?
Any input is appreciated

Jul 14, 2015
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I was a PF bread Distributor from 1994 to 2000, the main thing to concern yourself is not with the lawsuits but your area manager, he really determines the profitability of your route. If he is a good sales manager, the whole district will be growing. If the sales manager is not good then only his hand picked routes will be growing and the others will be suffering. Ask to ride with 3 area routes and get a feel for the sales manager's style. Does he work with the distributors or are exact numbers (sales and stale) his only concern. My email is benhwilson@yahoo.com.

Jun 30, 2015
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My question goes out to CG responce:
Instead of building up and selling your route for 35 to 1 ratio. With a 16000 route you could pay someone to run it, when your making $191360.00 23 % of weekly sales. Unless of course Its in your consignment agreement that you must be a " owner operator ' Which all new consignment aggreements by Pepperidge Farm require. At 35 to 1 its great profit for you but the guy that bought it, will most likley not be able to show a good return on his investment, let alone the work he needs to put in. I suggest you look at the most recent lawsuite of Hathaway v. Pepperidge farm. who ever bought your route at a high markup maybe will not be able to make it and could potentially sue you for Fraudulent inducement, if the numbers dont justify the investment. Also There is new ( Blue ) consignment agreements that restricts who can buy your route that Pepperidge farm must " ok " the sale or approve it.

Jan 19, 2015
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C G

We've owned a PF route for over 6 years now. Bought it when it was doing 7K per week, built it up to 16K and split it and put over $250K in our pockets from the split sale two years ago. We're still building up the remaining portion of the route to now almost 11K per week (which at 33/35-1 is over 350K equity and $8800/mo gross) After paying expenses, we still make $70k per year. Is it hard work, yes. But we plan on building this one and flipping it and doing it all over again for the next five to ten years until we have close to a million in profit.

If you buy a PF route and you don't work it to the bone, you are wasting your money, and paying for a job. Bust your A**, double your numbers and you can retire comfortable after working for 10-15 years. It's a business, not a job. Treat it like that, and you'll do well. You get what you put into it.

Jan 16, 2015
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can you explain paying 20 to 1 what should I know when buying my route

Jul 25, 2014
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Before you buy I would google the case McKeever v. Pepperidge Farm this might shead some light on Pepperidge farm and what the business can intale, It goes back to getting involved with a business with alot of legal litigation goiing on. There must be a reason !

Jul 4, 2014
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Mr. Clyde Mumford,

I am currently thinking about purchasing a PF route and would like some insight from you. Could I have your e-mail address to further discuss?

Jun 3, 2014
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Clyde, can you give me your email address also?

Apr 21, 2014
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Clyde, can you give me your email address?

Apr 20, 2014
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I am a former PF dist as of last week.
Only owned route since last July,
You are not a Independent Biz Owner, but a Independent Liability Owner
ask me anything

Apr 20, 2014
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Mike Roy, is there a way I can possibly contact you by email ? I feel like I have hit a wall when it comes to trying to contact Pepperidge Farm about a route. No one calls back. I receive a generic email from them and they said to email if I have questions. I have and havent heard. I am sincerely interested in a route.

Apr 19, 2014
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@ Mr Merendino In reference to Pepperidge Farm distributors not having there contractual contract rights violated by the company, most distributors are not lawyers nor can afford legal opions. It should be the companys job ( cambell soup who is the parent company of Pepperidge) to implore a open simple and FAIR distributor consignment agreement that both they and the distributor are to follow and not fall back on protracted litigation to win there (Pepperidge) fight against a lone distributor who is just trying to eek out a living. That fact that these routes seem all to flipped or built up and sold to unsuspecting people tell me that this is about flipping a business and not running it for a life long income. Nobobdy sells a golden goose, unless there a up coming problem with it ! If you want to flip or as you would say build and sell then I would suggest buy homes an flip them. The numerous law suites against them from distributors should make anyone gun shy of beiing involved with Pepperidge Farm. There web sight has numerous routes avalable all over the contry, some have been on the market for a long time. This says alot. I would love to hear what a X- distributor would have to say about his experence with the company. I suggest you read the web sight Rip-off about other distributors experences with there routes and what they went through with Pepperidge Farm, or better yet contact one of them for a phone conversation. I did ! and ended up buying a Brownberry bread route. Bimbo seems to be in alot less dictoraial management style, and tend to not have the numerous lawsuites against them. This says alot. Good luck

Apr 16, 2014
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@ Joe Marino.... There's a Lawsuit because there's a Distributor Contract. Pepperidge would love for all their Distributors to do everything they want. This group of Distributors are just trying to assert their rights, under the contract. If you can find a better business, where you know what you own, how much business you'll do every week, and that it'll still be worth money when you retire, let me know.

Apr 4, 2014
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If these Pepperidge Farm routes are such a great deal and they treat there distributors so well, why is there been a class action lawsuit filed against Pepperidge Farm concerning employee Misclassification. This lawsuit was filed by numerous distributors in Boston, Ma ?

Apr 2, 2014
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Email me, Mark Allen. I'm a second generation Pepperidge route owner. We've owned our business for 40 years. If you're looking to make money, every day, there's no better business out there. I sold one of my routes in 2009. That guy saw the beauty of sales and equity growth. He's making a good living, with the opportunity to pass something of great value to his kids. When his route is paid for, it will be worth almost twice what he paid for it. If you're self motivated and energetic, you can make millions. We have. ( manic05gto@gmail.com )

Mar 20, 2014
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So, what would you recommend if not PPF? FedEx? What company is good to work for? What is a fair price for a route?

Feb 2, 2014
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Does anyone know of where to find Kellogg/Keebler routes for sale ? They seem hard to find. Is Kellogg's direct-store delivery fully company owned or are there still some independent routes out there?

Dec 27, 2013
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The reason Nick not everyone is doing this is because not everyone has 20 to 50g's to invest. I just boughtanother Pepperidge Farm Route and I plan on flipping it in a year after I get a full 52 week sales average. Been doing this for 15 years, buying a route, building it up and selling. I've had routes with BIMBO (Thomas, Arnold brand) and Pepperidge Farm. Pepperidge is definitely the way to go because they have a higher resale value. And its like Mike said, you get out what you put in.
Chris

Jul 8, 2013
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As a owner of 3 routes and purching another one in near future, i think its the way to go. Routes are only worth what u put into it. Its all a hustle. The more displays u set up more $$$$ u make.I took a route with a average of 9000 a week to 17000 curently. almost double.compay wants me to split it and maybe sell off half of it. original investment... paid in full..again if u lazy... dont want to push sales even on weekends...this is not for u.... if u have a hunger to make $$$ pepperidge will work with to make$$
Mike

Jul 3, 2013
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As a owner of 3 routes and purching another one in near future, i think its the way to go. Routes are only worth what u put into it. Its all a hustle. The more displays u set up more $$$$ u make.I took a route with a average of 9000 a week to 17000 curently. almost double.compay wants me to split it and maybe sell off half of it. original investment... paid in full..again if u lazy... dont want to push sales even on weekends...this is not for u.... if u have a hunger to make $$$ pepperidge will work with to make$$
Mike

Jul 3, 2013
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I have a chance to buy a PF combo route and now a Snyder-lance route has come up.
Upstate NY
Any current I/Os have a suggestion on who to go with.
Thx

Mar 27, 2013
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I'm in NY. I've applied several times for a PF route and haven't heard back from anyone. Does anyone know the name and number for the regional director in my area? Thanks My email is kirby730@gmail.com

Mar 26, 2013
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I have owned a Pepp Farm route for 4 years now...the reason they take so long to sell is once people realize they have to actually work for a living they back out... also very few people have the $$ to put down...they want something for nothing...I whine about certain things at Pepp Farm just like everyone at every job on the planet...What I do know is I bought a route during the worst economic downturn in 80 years...I make roughly 42K per year, my loan goes down 30K per year, and my sales growth is 15-20K per year....so I'm actually making 87 to 92K per year....It's about building your future..Read "Rich dad, Poor dad and you'll understand

Mar 11, 2013
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Ask the following BEFORE buying any Pepperidge Farm route
1. Who pays for stale charge backs ?
2. Where is your load going to be picked up at everyday ? factor in your cost to get there and your time.
3. Do you have to carry items( new items) that dont sell in your marketing area ?
4. How often are store audits done buy District Sales Managers and what are they going to mandate you to do with YOUR business, If you dont agree will you be terminated, thus lose all your investment.
5. How often must you service a low volume store, which cost you money in terms of fuel and time to get there, which can lead to a loss.
6. How many distributor lawsuits are out there, and who are, and for what causes ?
7. Talk to a few old timer Pepperidge Farm distributors, they will give you and idea what really goes on.
8. Ask about how much distributor turnover there has been nation wide, that alone says alot.
9. Does Pepperidge Farm cover 100% stale like Brownberry ( competing brand ) ?
10. Are they allowed to drop ship products into your stores and charge you a pallet charge which significally lowers your commission.
11. Will anyone cover your route if you should need time off ?
12. Are you paid on a 1099 or are you a statutory employee with Pepperidge Farm matching S.S. FICA and state tax, and will they allow you to be apart of there insurance and employee pension program.
13 READ READ READ about other companies and distributor lawsuits says alot about people who put up there life's investment to in effect buy a job with no security that they can take away with little or no regard for your efforts.
There are many questions you should consider before investing in one of these routes, be aware.
Many companies dont tell the complete truth about these distributorships, or the mandated rules they impose on distributors, that effects your success or financial failure.

Mar 3, 2013
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Sales Manager
Wake County, NC

Find out who the local DM is for your area by touching base with the grocery stores receivers

Feb 21, 2013
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Sales Manager
Wake County, NC

P.S. don't buy a route that has a broker involved

Feb 21, 2013
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Sales Manager
Wake County, NC

John this message is for you, your right the stupidest investment ever...You sound just like some of the dumb@sses that work under me. Just don't get involved and stay far far away...as well as you bad opinion

Feb 21, 2013
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Sales Manager
Wake County, NC

Daniel don't listen to these people that are on the outside looking in and that don't understand how a distributorship program works. I've be involved with this business for over 10 years and I have owned two different routes with two different company's. I made over six figures each time as well as sold my routes for over 30k more than what I paid for them by building the equity. I am now a sales manager with a company that sells IO routes and each of my 19 routes that I oversee their equity as well as their weekly income has increased every year. I have 5 routes that make over 6 figures. I myself am getting ready to buy a Pepperidge Farm route and I can't wait to get started. You just need to be smart with your money and ALWAYS put money in the bank for taxes, expense and repairs to your vehicle. If you know retail, merchandising and have work eithic it could be a wonderful investment for you. Just don't pay over 20 to1 on a route and you can be very succesful.

Feb 21, 2013
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After having a relative as a P. Farm distributor, I was aware of some of the companys rules requarding distributorships, it hardley seems as they are really self-employed due to the companys frequency of store service along with there stale policys ( You pay ) If you dont follow all company madated service rules requardless if you profit or not, they can terminate you. Kinda scary after youve invested alot of time and money. I have also noticed alot of distributor lawsuites posted. that says alot. Its more like your buying a job, and working every weekend, no thanks

Nov 22, 2012
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The 1st time I was interested in a Pepperidge Farm route was September of 2010. The routes I inquired about are still on the market today (for roughly the same price). That's 19 months on the market (that I know of). None of the those routes (in Southern CA) have been sold and the broker (George Massalas) keeps changing the listing date every 2 months just so it looks fresh.

THERE'S A REASON IT'S BEEN ON THE MARKET THAT LONG FOLKS!

Apr 30, 2012
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Breslaw Enterprises, LLC
Baltimore County, MD

Just got done my taxes so my 2011 numbers are quite fresh in mind. Pepperidge Farm bread route in the mid-Atlantic area. Route did a weekly average of $9600 last year, 1099 was $99k. Bottom line of my schedule C was $52k. Is it the greatest paying job in the world? No, but after 4 1/2 years owning the route I have well over 120k in equity. Is it hard work and stress? Yes, but show me any business that is not?

Apr 11, 2012
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how do these people live like docters! after crunching numbers well let me tell you really get screwed.

Jan 12, 2012
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Then wouldn't more people be doing it?? Why aren't more people buying these routes? Many are siting on the market for months & months. I looked into a few and if you look at the financials (don't believe any of the puffery you hear from sellers or brokers) it comes to just under minimum wage. You never recoup your investment

RE:I have been with the Farm 27 yrs and was scraed to death when i purchased my route as a 20 yr old...its made me live like Doctors and lawyers and a net worth in the millions.....NEVER had any problems and anything they ask you to do only puts money in your pocket...David in Ga

Jan 1, 2012
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I have been with the Farm 27 yrs and was scraed to death when i purchased my route as a 20 yr old...its made me live like Doctors and lawyers and a net worth in the millions.....NEVER had any problems and anything they ask you to do only puts money in your pocket...David in Ga

Dec 29, 2011
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This question goes out to Mike Miller. How do you have a protected territory when PF is selling product to all Drug chains and most convienience stores and shipping pallets of product into your major accounts whenever it feels like at a reduced commission. This certainly does not sound like a business that should be going for top dollar, especially after the math that was just provided for us by Mr. LIn. Yes at one time these routes were valuable but that was in the 90's when we all made money hand over fist but PF is a greedy company and now a days you do not own a business but you basically have bought yourself a VERY EXPENSIVE JOB. IF you would like to refute this, feel free because I have a lot more info.

Jun 21, 2011
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What are the tax benefits like? Are you officially a small business?

Jun 20, 2011
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Mike,

I am currently looking at a PF cookie route in Florida, If you would be so kind to e-mail me at tonyvaf@gmail.com a contact # so I may ask you some questions as well, I would really appreciate it. The deal looks like this 7200/week, asking $320,000.

May 30, 2011
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Pepperidge Farm Independent Dis
CA

Debra- That's the problem- You'll get a mix of replies or recommendations based on that person's experience. Half will say it was the best thing they ever did, and the other half will tell you the exact opposite. The upside is that PF does all of the national advertising and marketing/promotions and you do have a defined (protected) territory.

That said, things were pretty lean the first few years. The increased volume helped out and life became more comfortable. Paying off the loan is the main thing, but once that's taken care of life is good. Take the word "salary" or "pay" out of your vocabulary if you do buy any route... You need to think in terms of profitability and lose the employee mentality... or the PF reps. will treat you as one.

As far as multiples go, they vary. I personally wouldn't sell my route for less than 5x, but that's just me. I could hire someone to run it and still net a figure that would make it stupid to sell for less.

May 26, 2011
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Orange County, CA

We are also looking into route ownership and have some genuine concerns over cash flow and owner salaries. All of you who posted, please answer these questions -
Are you netting the income you thought you would?
Are you working more hours then you thought you would?

Thank you for your help

May 26, 2011
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The BAF Group LLC
MD

There is a lot that goes into pricing decisions. If it is a protected area, then it may be worth more. If there is a great brand, it may bring a higher price. But potential is a dirty word, in buying and selling businesses. If the business has potential, how is that potential to be realized? If it is a McDonald's, signage, traffic patterns and advertising have an incredible amount to do with growing the business. Some of that is a function of McD's history in brand building and national advertising; a lesser amount is the Operator's own advertising and personal efforts.

But how is growth in a Pepperidge Farm route conducted? Did the Company do the promotion and sales, or did you, Mike? Most route sales are grown by the Route Owner, which means that there is a much lower price that is normally paid for such businesses. The Buyer takes the position that, if it is through my own efforts that the business can be grown, then why am I paying a premium to the Seller? If the growth comes to the Buyer without his effort, then the premium pricing can be higher. I am not expressing an opinion, one way or another for the multiples one might use in purchasing or selling a Pepperidge Farm route. All I am saying is that there is a careful balancing of these issues that normally comes into play. For one thing, multiples frequently break down, and more detailed analysis is what needs to be employed, in determining real value.

No matter what the business, no matter how you calculate it, no matter what price the Seller puts on it, the market will ultimate be the judge of the final sale price.

May 26, 2011
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Pepperidge Farm Independent Dis
CA

It has to be the right scenario. The one you describe wouldn't make sense. I also wouldn't look at a route stictly as an investment. In my particular case it made sense. The route had a lot of growth potential and that's where you see the increase in equity. I do get your point though, in all honesty if I did sell my route I don't think the person who buys it will see the same increase, but I could be wrong. I think I do a good job of maximizing the volume, but then again I probably don't push as hard as I could.

May 26, 2011
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Mike, great response but......... to reiterate; why would anyone pay 5 times cash flow for any biz? It just doesn't seem like a good investment to me.
So if you are making 100k and you sell the biz for 500k the scenario would play out like this:
20% down and finance 400k at say 8.99% over 7 years. Your payments would be 77k per year leaving you with 23k per year. If you shave 2 point off the interest , you are still paying 72k per year for seven years, leaving 28k per year OR------- you pay cash and say you settle for 450k. I would leave the money in the bank or invest in something SUPER easy.
Routes don't make sense to me. I guess I don't get it.

May 25, 2011
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Pepperidge Farm Independent Dis
CA

Hey Robert,
I'm not going to post my number here, but send me an email to my yahoo account and I'll reply with a number: rdbg1313@yahoo.com I'd be more than happy to spend some time answering any questions you have and giiving you my perspective on owning a PF route.

May 25, 2011
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Clackamas County, OR

Mike Miller,
I'd like to give you a call if you furnish a phone number for me.
Thanks,
Bob

May 25, 2011
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Clackamas County, OR

Thanks Greg, but I'll have to pass on any tool opportunities.

Anyone else out there have any ideas?

May 21, 2011
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Clackamas County, OR

Is there anyone out there who has identified any companies that offer a solid opportunity in the route business? Please weigh in here.

May 16, 2011
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Sorry Robert, I don't play tennis at all.

May 9, 2011
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Clackamas County, OR

Tim Lin,
You mentioned Southern California. Are you the tennis playing Tim Lin I know from years gone by? If so, send me your phone number, I want to speak to you. You can reach me at 2robertnewman@ccwebster.net.

May 7, 2011
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Clackamas County, OR

Bob Jones, what did you identify as a profitable replacement for the PF business you sold? I'm researching making a move into this area of business, a little advice from an experienced individual would help.

May 4, 2011
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If the PF route is selling for 5-6 times the annual commission, DON'T buy it.

Like the poster indicated below, never buy a route unless you can recover the $ within 2 years. If you have enough cash to buy the route, you're better off investing in something else. Even in the inflated real estate market that is Southern California, you can invest the same amount of money in a small apartment complex and clear the same amount of money as you would from PF. Less hassle, far less work, and same $.

May 4, 2011
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The BAF Group LLC
MD

J. Anonymous, I don't know your deal, your Broker or you; however, damning all Route Brokers is something that I would suggest is not any more reasonable or rational than your particular Broker's attempt to keep your deposit. As a general Broker, I am exceedingly critical of SOME actions of SOME Brokers. I can also be critical of SOME Buyers and SOME Sellers. SOME is the pertinent term. In more than ten (10) years of operation, I have had two (2) Buyers lose their deposits.

One was represented by an Attorney BEFORE he submitted a deposit, and the loss of the deposit was attributable to the Attorney. In that case, we warned the Buyer and his Attorney on several occaisions that if they did not take action, they would in fact lose the deposit. BOTH the Buyer and his Attorney ignored the warnings, resulting in the loss of the deposit, and the loss held up in court. The judge also specifically blamed the Attorney.

In the other case, I personally warned the Buyer to get an Attorney, BEFORE submitting an offer with a sizeable deposit. The specific Letter of Intent HE had written gave him no out, in terms of retrieval of his deposit without further liability. When he continued to move forward without counsel, I went so far as to provide him the name of three (3) Attorneys he could contact, if he did not know one. He ignored the advice, went ahead with a Letter of Intent that was deemed to be written in such a way that eventually caused him to lose his deposit - again, a loss that held up in court.

Should I damn ALL attorneys? ALL Buyers?

May 4, 2011
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DON'T TRUST THE ROUTE BROKERS!!! I had a deal with them that fell apart and they initially tried to keep my deposit after the distributor informed me that the route they were selling wasn't worth the money. After a year and a lot of legal persuasion, I got my deposit back. Unfortunately, the lawyers bill chewed through half of it (in the low five figures). OUCH!

May 4, 2011
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What company is your new route with??

May 3, 2011
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Absolutely not, these are the ratios the routes are selling for. What I am trying to say that these PF routes are no longer worth these ratios due to New contracts and company interference. if you buy one you become a company puppet and not a business man. I was a business man who knew how to do business and control costs which these guys are unable to do because they have to listen to the new regime at PF, who most just graduated college and if its not on a memo they don't have a clue. To me it was like selling a house before the market goes down, a very smart business deal.

May 3, 2011
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To the last respoder, Bob Jones: Am I reading yur post wrong (which I might be); but the way it sounds is that you suckered someone badly into a very egregious deal and are very happy about it.
As a biz owner and someone always on the lookout for new opportunities I would NEVER pay more than 2x cash flow for anything. I don't care what the industry "multiple" is. If routes are getting 6 times cash flow I will pass and not even entertain thoughts of buying one.

May 2, 2011
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I sold my PF route about one year ago and I am laughing all the way to the bank. I was with PF for 20 years and always thought there is nothing better than PF. Boy was I wrong!! I put over 600,000 in my pocket, bought another route for 120,000 and make the same money with no interference from management and actually get a lot of help because they really care, not like PF. Now for the gentleman who bought the route, he had to get another job to help pay his bills. The route averages 12,000 per week and he paid a ratio 50-1. I used to do the route in 3.5 days with no stale at all. The new guy is out there 6 days a week because the company is dictating to him that he needs to create more invoices and with that mentality has created a lot of stale, which he does not get 100 per cent credit. He tried to cut back to 5 days but was written up. With gas prices the way they are he tried to save on expenses but PF does not care and the way the new contracts are structured there is no way you can fight them. Yes at one time a PF route was the best but the contract has diluted the value SEVERELY. There are numerous lawsuits pertaining to these issues, so I would think twice before ever even entertaining the idea of even buying one.

May 2, 2011
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S D

Do your homework before buying one of these routes!
if you don't you can end up in the poor house and Pepperidge Farm can care less.
Figure out how much your expenses will be before you buy and consider the worst case scenario because it could happen!!! Some of there DSM are very incompetent and will stab you in the back and pretend their your best friend when they do a route ride with you.I would stay away unless you get a great deal on the route.

Apr 27, 2011
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Well
Looks like there a lot of people who really don't understand business, or for that matter how to run one. Pepperidge farm routes are expense, so is living on the main line. If you are buying a route for $200,000 your required to put down 10% or $20,000. The remaining $180,000 is financed over a 10 year period. So what do you get for your investment, an income with unlimited potential (20% of all sales), a business for life (not a 7 to 10 year contract), no advertising fees, no franchise fees, no royalties. Also every payment you make towards your loan (can you save $180,000 in 10 years) you will get back when you sell your business. Why wouldn't you want to buy something that has increase in value and holds it value. Are there minor issues, sure but nothing like other ventures. If you want to know the truth it's the best keep secret out there.

Apr 8, 2011
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American Realty Brokers
AZ

Like the other people that answered your question, these routes are way over priced. The main reason that you pay such a heavy price is because you end up subsidizing the previous owner's retirement. There are many other routes that actually make sense, I suggest that you look into a Bon Appetite Pastry route. They sell for 1 to 1& 1/2 annual cash flow( a much better deal).

Feb 27, 2011
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I have owned a Pepperidge Farm route for 27 yrs. BEST THING IVE EVER DONE...I live like a doctor or lawyer and work only 4 mornings a week....You just have to be honest and a little common sense...DW

Feb 3, 2011
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At one time PF was the best, now you are paying a lot of money for a job. The new regime at PF wants to control everything you do, from the products you sell to the days of the week you work. They are nothing but bullies and once you have signed on the bottom line there will be little you can do to stop them. In the old days everyone made 20% and then some. Now no one makes that. With pallet fees, stale charge backs, fines and whatever they think up at the time your percentage is now inthe 16 -18% range. These routes are not as valuable as they once were and I would suggest looking elsewhere for a business because to pay 40-50 to 1 is absurd!!

Aug 24, 2010
Katie Shugert
Niche Marketing 247
Owner

There are better alternatives with much higher potential. Work from your home. Call to discuss. 518-956-4651 kshugert@yahoo.com

Jul 29, 2010
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Pepperidge Farm Routes are NOT Franchises. Law suites have already settled that issue so don't assume you will be protected by Franchise or Business Oppertunity laws because you will not be. The Distributorship is defined in your contract as "the rights contained in the contract". Various lawsuits have shown that it is a one sided contract and you may find out the hard way that you have no rights only obligation. Investigate the multitude of law suits before you invest and realize most issues never get to court and if they do they seldom win. If you have a problem after you buy it you have no recourse and could loose everything. Pepperidge Farm does not sell the distributorship the Distributor sell it (legally). Pepperidge Farm receives no money (it matters when you go to court). Talk to lawyer before you even consider the purchase

Jul 28, 2010
ROUTE BROKERS®, INC. * * * * * * * * * * * * * * * * * * F R E E * CONSULTATIONS

Hi Daniel,

In answer to your request, we would be pleased to assist you in your search for a Pepperidge Farm route. We are Brokers that specialize in the Route Distribution Business. Some examples would be Snapple, FedEx, Boar's Head, Pepperidge Farm, etc.

Our firm, RouteBrokers.com has the largest selection of ESTABLISHED distribution businesses in the United States. These are NOT Franchises. We currently have NATIONWIDE over 250 businesses for sale. We have been in business for over 25 years and have sold THOUSANDS of businesses.

Our goal with any client is to develop a long term relationship. You can only do that if you listen to your clients and assist them in moving through the maze of legitimate questions needed to be answered before a business transaction can be consummated. Most of our new clients are referred to us by our existing clients. We would be pleased to work with you and truly believe that soon you will be referring new clients to us also.

Look forward to hearing from you soon.
Ken Sussman
Route Brokers, Inc.
516-482-8250
1-877-4-ROUTES (1-877-476-8837)
www.RouteBrokers.com

Jun 18, 2010
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Dan,
I've owned a route for ten years. I've had no problems. Its just the bozos they cant figure out how to carry an inventory that screws it up. There are always people that have bad experiences but you'll get that with anything. Believe me call actual distributors in your area and speak with them one on one. I have a bakery route and am actually looking to sell to buy a biscuit route. Good luck in your quest. Dont let a few bad apples ruin the bunch

Feb 26, 2010
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DON'T BUY INTO THE FARM!!!! their accounting is a disaster, if you like a balance sheet that is always tilted toward Pepperidge Farms pockets.. go for it. There is also some floating magic dollar (I.R.= inventory reconcilation) that you will never see. Sometimes in the thousands... and more than to often weekly, a hundred here a hundred there. I have owned a route for over two years had problems with accounting since day 1, six weeks later i was in the whole by $2500, two years later, well lets say a whole lot more, i almost lost everything, including my wife. I finally, walked off my route. The future of the Farm will not be green grass in a few years, the truth will provail, and voices will be heard and filnally NOT settled out of court to shut you up

Jan 1, 2010
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m g

i know some folks that own these routes-and all seem to do well

Sep 25, 2009
Salvatore B. Urso
Florida Business Acquisitions, Co.
FL

Daniel,

You should ask to speak with existing franchisees. I suggest you compile a list of questions prior to calling them. Make sure to ask each one if he would do it again, knowing what he knows... Insist on talking to multiple franchisees.

Jul 3, 2009
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Broker Consulting Services
Sr Broker
New York County, NY

I have a route for sale, no brokers please

Jul 3, 2009
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Dan - I have two cousins that each own Pepperidge Farm routes. One is in Indiana and the other Illinois. Both have had the routes for 15-20 years. Both are very successful and have no problem supporting a family. Good Luck.

Jun 28, 2009
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DON'T DO IT. YOU WILL GET SCREWED!!!!!! MY FAMILY ALMOST WENT BANKRUPT BECAUSE OF THE WAY THEY DO THE ACCOUNTING. THEY ALWAYS TAKE WHAT IS THEIRS BUT DON'T GIVE YOU YOURS IN A TIMELY MANNER. THE ACCOUNTING DEPT IS RETARDED AND CAN'T TELL THEIR HEAD FROM THEIR ASS.

Jun 27, 2009