5 Reasons to NOT Invest in the Amazon Delivery Franchise (DSP Business)

I work for a DSP and this is all true. All of it. You nailed it perfectly. I actually feel bad for my boss considering how much he risks every day and how little he stands to gain. Since day one it is clear that Amazon uses my boss and other DSPs as what I call “shells” to protect them from accidents, injuries, damages and health care. At the end of the day I feel like I have it better than my boss and trust me my days can be pretty bad too.

I own and operate a courier delivery service for ten years. thanks for the info! i was considering this as my next investment

Great video with mind opening insights . I like how you looked at the numbers , the highest potential annual earnings to daily earnings . It makes sense why they want to distance themselves from all the trouble . I have just leant a lot on how to make a sober risk assessment and analysis for a new business venture .

Great information. Glad I saw this. All information is valid. Thanks!

Logistics is a headache for Amazon, the reason they transfer the same headache to contractors.

I will like to inquire. I own a logistics company in Cameroon and at least 30 percent of the country buys from Amazon but Amazon delivers to third parties and those people find ways for the packages to reach Cameroon. Is this also a high risk idea?

Thank you for showing other side of the picture.

So go into it with your own vans. Amazon allows the dsp’s to use personal equipment if it’s up to amazons DSP guidelines. (strict)
Then use those vans and pick up some other business’s. Instead of this fast hire bs. Find people you know. I know of at least 30 people who would drive for me & i wouldn’t have to worry. Minor damages are fine.

There’s a way of doing this. It’s not easy but that’s how you get that big reward you see on the cover.

Seems like risk Everywhere!

I guess if you want to look at the absolute worst case scenario then don't invest but my DSP owner works hard and manages well with less than 40 vans and is making more than 300k a year

😂😂😂😂 Logistics is not for Beginners.

From my experience being an Amazon relay partner and also performing flex or of my truck, it seems as though amazon has positioned themselves in every category to reduce any risk in their business. The same could be said for my relay Account. Small profit margins is what made me get out of it. I could barely pay my drivers minimum wage, let alone pay myself or my commercial insurance provider. And we all know diesel ain't cheap.

i loved your business advise 100% from the get go. Greatly appreciated !!!

has anyone on here actually owned a route? I have 2 friends with routes over the past 2 years and they are doing very well. you need to manage it like any other business, manage employees and profit margins and you will make money.

Wow great information, at this point I think it's better to just buy trucks at your own pace, go through Amazon relay and contract with various companies. Another important point that wasn't mentioned in this segment was having the owner tied to the day to day activities. As a business owner I need to keep multiple streams of income rolling and don't want to be tied contractually to just one venture. I also prefer to deal with subcontractors vs employees.

A successful businessman is asking me to start an Amazon DSP with him. He says I'm a great candidate because I am a veteran and have great credit. It will require no capital from me. I have to pass an interview process and submit a business plan with Amazon which he says can be challenging. Then be part of a quarterly meeting.
He owns a few of these DSPs. What is the catch?

Thanks a lot, this was amazing advice. Always suspected that Amazon was trying to dump the risk and liabilities to individual business owners

Its a win-win situation for Amazon....

Finding fleet repair is no walk in the park. Large enough fleet to be expensive, not large enough to afford or even acquire a mechanic. They don’t come cheap or quickly.

I wanted to start a amazon business but not now thank you for the lnfo

I worked before for an Amazon DSP in Germany, Europe.I can confirm all of things you said.And yes,all the time i urinate in a can inside the van because no time.