Contracting Delivery Drivers

[stand856]

Anyone ever thought or did contract drivers for delis, pizza shops?
IE, you have a contract with a pizza shop and provide them with your drivers, who you also contract.

[rogercbryan]

It's a simple enough idea... hmmm... you would think it has been done before. Not sure you could margin a profit after vehicle expenses and insurance... but still its a simple decent idea.

[stand856]

ANYONE CAN RUN WITH THIS BUSINESS IDEA, more power to you

What I'm saying is:
Pizza shop doesnt deliver, on the average delivery is like 30% of business if not more.
You make a contract with them for a year. $5 per delivery.
Then you contract a driver, pay them $2 per delivery plus the tips they get.
The driver doesnt work for you, but is an owner operator, so there's no liability on your end.

[rogercbryan]

A $5 delivery charge seems high considering that the average order is under $20. That would be a 25% mark-up. Don't get me wrong.. I like the idea... I just can't seem to get my hands around the margins...

[stand856]

Yea $5 might be too high, rating a delivery charge depending on a purchase might work better, but if it increasing business 30% they might not mind.

[pentupentropy]

it's not too high. people are paying for convenience. There's a taxi in my tiny little town that will deliver just about anything locally from local stores and he charges $5.00 for the delivery unless you need it that moment, in which case he charges $10.00

[stand856]

Is a Taxi company or a delivery service? Any idea what the name is?

[pentupentropy]

he has a taxi license. can't think of the name of it off my head cuz I've never used it but I know the guy who runs it. def taxi though, not a livery

[stand856]

anyone else wants to chime in?

[The Stealthy One]

Hmmm.....most likely would depend on demographics and population. You would need to implement this in upper-middle-class+ areas with lots of residents.

How are you going to find a pizza shop that does not already deliver? And how will you ensure that you meet their quality guarantees?

[stand856]

The shops that I have in mind are in the upper middle class area that you have mentioned. They do not deliver for whatever the reason might be, (Im guessing insurance, liability, etc), I believe they would not be opposed to their product being delivered since everyone knows them already, and as long as they are out of responsibility picture. The problem is what I would need to be responsible for. Unless a contract would state and be enforceable, that the driver as owner operator is the ONLY responsible party.