DPD Driver Franchise

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  • Hi my best friend has bought into the franchise it means u are odf your self employed and usually work 5 days a week but it all depends if u actually get your own route as that’s how u make the money if u don’t u are sent here there and everyway which costs money in fuel say u put £80 in fuel in your rented van it costs u around £60 for the £80 fuel you rent the van from them mind this is where a lot of your money goes a month rented the van and the insurance is reduculas think my friend pays out £2000 a month before pay that covers fuel renting the van which u take home at end of the day which helped us out advice we moved house so huge mecedies sprinter helped a lot also covers the insurance which is bulk of your outgoings because as of the parcels u carry every day are worth thousands of pounds obviously off u have a good manager on site then thhats another’s job Made easier because so many have left because Managment was not up for the job if u can handle the job for 4 weeks your on your way but not many can u usually pay £300 deposit to buy into the franchise think that’s the least u have a credit check also so if u what to earn £2 k a mob take home then u need to earn at least £4K a month it’s do able I just need to be very hard working unsure about holidays as far as I know your not entitled to any u have to pay for agency to cover your route unless dpd have drivers who can cover for u that is
  • So are we any nearer to deciding if dpd are the way to go? I'm interested but I've heard nothing that sways me either way. Are they the best out of all of the outfits to work for? I've enquired with parcelforce and they have advertised between £45k and £70k, but it would mean living away from home for 6 days a week and I can't justify that at the moment, unless we get divorced first!!!!
  • WeeManMike
    WeeManMike Posts: 23 Forumite
    Eighth Anniversary 10 Posts Photogenic Combo Breaker
    So are we any nearer to deciding if dpd are the way to go? I'm interested but I've heard nothing that sways me either way. Are they the best out of all of the outfits to work for? I've enquired with parcelforce and they have advertised between £45k and £70k, but it would mean living away from home for 6 days a week and I can't justify that at the moment, unless we get divorced first!!!!

    Remember that £ figure is total turnover. Out of that you'll have to pay for all expenses for your van, insurance, fuel etc. Assuming you own one already of course, if not then you'll have to hire one or have the cash up front to buy one.

    Similar figures were quoted to me when I joined dpd. In the 2 years I was there I barely turned over £50k each financial year and my take home (before tax and ni) was around £28k.

    So £28k for 11hr days 5 days a week, with 1 in 3 weekends thrown in.

    No holidays as I couldn't afford the time off and when I was off sick a few times I didn't earn obviously so I returned to work sooner than I should have and made myself worse and ended up having more time off, unpaid again obviously.

    I left recently due to being threatened with losing my contract one too many times and I'm now employed with another parcel company and suffice to say much much happy. The pay is only slightly less than I was earning at dpd but im working slightly less hours and more importantly I can finally take some paid holiday! 😎
  • jaykay11
    jaykay11 Posts: 17 Forumite
    WeeManMike wrote: »
    Remember that £ figure is total turnover. Out of that you'll have to pay for all expenses for your van, insurance, fuel etc. Assuming you own one already of course, if not then you'll have to hire one or have the cash up front to buy one.

    Similar figures were quoted to me when I joined dpd. In the 2 years I was there I barely turned over £50k each financial year and my take home (before tax and ni) was around £28k.

    So £28k for 11hr days 5 days a week, with 1 in 3 weekends thrown in.

    No holidays as I couldn't afford the time off and when I was off sick a few times I didn't earn obviously so I returned to work sooner than I should have and made myself worse and ended up having more time off, unpaid again obviously.

    I left recently due to being threatened with losing my contract one too many times and I'm now employed with another parcel company and suffice to say much much happy. The pay is only slightly less than I was earning at dpd but im working slightly less hours and more importantly I can finally take some paid holiday! 😎

    Hey just wanted to know if you can help me out I have a dpd driving test next week and soon start after that. Do you know what this test consists of?

    Also I’ve been offered either a ODF with no real benefits like paid holidays etc but the rates they pay per drop for it is higher than the other position which is a “ODW” (owner driver worker) which has 22 days paid holidays, !!!! pay, pension etc but the rate per drop is about 50p less.

    From your experience would one be better off with the odf or odw in the long run? My plan is to lease the van from dpd for a few months and then if I find the job good I will get my own van which would save me a considerable amount of money. Thanks
  • WeeManMike
    WeeManMike Posts: 23 Forumite
    Eighth Anniversary 10 Posts Photogenic Combo Breaker
    jaykay11 wrote: »
    Hey just wanted to know if you can help me out I have a dpd driving test next week and soon start after that. Do you know what this test consists of?

    Also I’ve been offered either a ODF with no real benefits like paid holidays etc but the rates they pay per drop for it is higher than the other position which is a “ODW” (owner driver worker) which has 22 days paid holidays, !!!! pay, pension etc but the rate per drop is about 50p less.

    From your experience would one be better off with the odf or odw in the long run? My plan is to lease the van from dpd for a few months and then if I find the job good I will get my own van which would save me a considerable amount of money. Thanks

    The driving test isn't like an actual car driving test, it's just to see if you can handle the 3.5 ton vans safely.

    You will probably just be taken out for a 30 minute basic drive and they'll check you on your road safety and vehicle handling, probably a reversing manoeuvre chucked in too.

    I wouldn't bother with odw myself, I too was offered it but refused it as I would've been earning less even with paid holidays.
  • Hi,
    Bad timing with all that's going on but does anyone have any ODF experience out of the Ipswich area ?
    Looking into this as a 1st timer so would like some 'local' views.
  • Quassi75
    Quassi75 Posts: 205 Forumite
    Part of the Furniture 100 Posts Combo Breaker Debt-free and Proud!
    Bit of an old post, but I’ve just had my first ODF call and going in for my business meeting on Monday. I’m currently been given an at risk of redundancy letter at work, which realistically will turn to redundancy, so need work. I’m used to working hard as I also used to be a chef and worked in kitchens and in my current job I worked on average 11 hour days, but only got paid for 8, so need something new anyway. I’ve read all the posts, some are against and some are for it. What are the things people suggest I could ask when I discuss this on Monday? Ie any particular questions that would be good to ask and know, so I’m ready?

    cheers
    Debt free from January 2019 - Paid off £31,161.70 in 7 years.
    10 year anniversary
  • Quassi75 said:
    Bit of an old post, but I’ve just had my first ODF call and going in for my business meeting on Monday. I’m currently been given an at risk of redundancy letter at work, which realistically will turn to redundancy, so need work. I’m used to working hard as I also used to be a chef and worked in kitchens and in my current job I worked on average 11 hour days, but only got paid for 8, so need something new anyway. I’ve read all the posts, some are against and some are for it. What are the things people suggest I could ask when I discuss this on Monday? Ie any particular questions that would be good to ask and know, so I’m ready?

    cheers
    Hi 
    How did your meeting go 
    i have applied for the pack as well still waiting for a response 
    how long after you filled your application did they reply back?
  • Quassi75
    Quassi75 Posts: 205 Forumite
    Part of the Furniture 100 Posts Combo Breaker Debt-free and Proud!
    I applied on Tuesday the 23rd of June through the DPD site and had an email for a video call the next day. At the end of the initial video call, with multiple applicants being shown a presentation by a DPD trainer, I was asked when I’m free for a face to face meeting, which will be coming Monday at the depot. I can’t make a decision on anything just yet, as I won’t know 100% if I get my redundancy money, until end of August, so when that all goes through it’ll cost me the £1300 to sign up and get started. But I’ll see how the meeting goes on Monday and I’ll let you know if you want. Send me a PM and I’ll keep you updated 
    Debt free from January 2019 - Paid off £31,161.70 in 7 years.
    10 year anniversary
  • Hi all, I have recently had a meeting at my local DPD. I have read all of the comments on this post, I think one of the main factors seems to be the route and distance, one guy saying he can complete 130-150 stops a day with time to spare and others saying they have 100 drops and work 13 hours. I personally used to work for Yodel for a few months years ago and I personally used to take out 150 parcels a day, my friend who worked there (aged around 24) was taking out upto 230 a day.. one day I went with him and we took out about 230 drops, left the depot at 7am and still got back for 6pm and he was paid stop rate, he was literally raking it in we did 6 days a week sure he was taking home £1200 plus a week. Don’t get me wrong there was no break it was drive, out, deliver, in, drive, run to door, probably spent 30 seconds on each delivery, a minute if you had to knock on a neighbour.. I’ve just turned 30 and I’m physically fit, now i know Dpd are stricter with time slots but back then yodel was a free for all just go as quick as you could and get them delivered. However I can’t imagine somebody fit and hard working couldn’t manage 100 parcels a day.. even if you work 10 hours that’s only 10 parcels an hour.. I could deliver 10 parcels in 25 mins if you’re on an estate,, so that doesn’t worry me at all tbh. I’m sure I’d ask for more to cover the cost of my fuel and insurance.. they’re offering me £1.70 per delivery and £2.20 per collection. He said if I want more stops they will take them from the employed drivers and give them to me. Now he has given me the last 2 months figures on the route he is offering me. 

    1950-2050 stops a month over 20 days, this depot doesn’t work Saturdays. I have worked out my van lease (550) fuel (550) insurance (van, good in trans and liability) total £180) 

    so outgoings of around £1300 a month. 
    So let’s just say I said give me another 10 stops a day, that’s £17 a day, £85 a week.. £340ish a month.. there’s 70% of
    your fuel paid already just for 10 extra stops.

    They have set it out like this ..
    2000 stops a month 
    they will pay me..
    £3360
    plus vat of £670
    total - £4040

    my costs
    van hire 540
    insurance 180
    fuel 530
    vat £213
    total inc vat - £1480

    Total cash flow - £2500
    Deductible vat - £670
    add reclaimable vat - £213
    total earning net of vat £2k (roughly)

     it says about being vat registered and says I can claim back £210 in vat leaving me with monthly total earnings net of vat of roughly £2000. This is based on around 100 stops a day 5 days a week. 

    However my questions is.. they have told me to set up a ltd company and it basically goes into paying yourself a salary of £8k out of your 54k annual salary, 37k once you’ve taken costs away, 23k once you have taken away 8k salary and 20% corporation tax which is 19% 

    54k
    - 16k costs 
    - 8k salary (paid to me)
    - 5k (corporation tax) 
    =£24k (Left as dividends in company) 
    average annual earnings after tax £30k (Roughly).

    the thing is I have no idea how to run a ltd company and am told you’re probably going to need an accountant and probably
    will cost you £1500 a year and also you have to pay monthly to have a ltd company so take off another £1000. This probably leaves you about £28k 

    does anybody have experience of this as my friend told me to just go sole trader and it will be much easier for me as I can just fill out a tax return each year and I can use all my money as I want, it probably means I’ll end up with about £25k instead but I’m not that fussed I’ll do another 20 stops a day if I need to and make that up no problem. 

    Bare in mind all of the above is based on what they have given me In terms of figures on this route. I am not a Dpd driver so I don’t know if this is realistic or it’s a stitch up. They’re not asking me to pay a franchise fee I don’t have to pay anything. Just lease the van get insured and pay my fuel and away I go.. 

    any information on any of the above would be Massively helpful as I have not yet set up as sole trader or ltd company and would like to know more than anything which will be best in terms of least stress but also best deal. 

    I know this is probably a massive ramble so apologies for that lol! Not usually a forum poster! Thanks! 


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