The Amazon Freight Partner program is an evolving program, and, as discussed further below, the startup costs, annual revenue, and annual profit figures are estimates only for partners operating day cabs only. We do not guarantee results of any kind, including that a company’s earnings will exceed the company owner’s investment in his or her business. A company’s actual startup costs, annual revenues, and annual profits will vary, and will depend on a number of expected and unexpected factors, including but not limited to, for example, the company’s size, location, and the company owner’s efforts and management of expenses.
The startup cost figure is an estimate of reasonable expenses incurred before a company’s first revenue-generating trip and is based on procuring 5 day cabs. The startup cost estimate considers, for example, costs payable to third parties associated with insurance down payments, basic office supplies and technology, driver onboarding and initial training, and implementing an accounting and payroll infrastructure. Importantly, the startup cost figure assumes that a company takes advantage of all third-party deals impacting startup costs that have been negotiated by Amazon in connection with this program. While a company is not required to pursue these third-party deals in order to participate in the program, a company may not be able to achieve the startup cost figure estimate without doing so.
The annual revenue and profit potential ranges are estimates for companies operating 10 to 20 day cabs, with the low end of each range representing an estimate for companies operating 10 day cabs, and the high end of each range representing an estimate for companies operating 20 day cabs. The revenue and profit ranges reflect Amazon’s estimates of reasonable fixed and variable costs that a company may incur, including costs associated with complying with all of Amazon’s contractual requirements and program policies. These costs include but are not limited to, for example, procuring day cabs and insurance, maintaining day cabs, driver labor, and obtaining professional services associated with running a company. As with Amazon’s startup cost estimate, Amazon’s estimates of reasonable fixed and variable costs assume that a company takes advantage of all third-party deals impacting costs that have been negotiated by Amazon in connection with this program. Again, Amazon does not require a company to pursue these third-party deals, but a company may not be able to achieve the revenue and profit estimates without doing so. Amazon’s revenue and profit ranges are supported by actual, annualized financial performance results from 2020 and 2021 volunteered by a subset of companies operating in the program that operate at least 10 day cabs.
A company’s actual annual revenues and profits will vary based on a number of expected and unexpected factors, including but not limited to, for example, management effectiveness, day cab fleet size, regional operational cost differences, the number of hours a company operates, and whether there is variability in any of these factors over the course of a year. Again, because the revenue and profit ranges are figures based on companies operating with 10 to 20 day cabs only, a company may not achieve results within the ranges until it operates with 10 to 20 day cabs only for a full year, if ever.
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