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BIZBITE

Amazon Delivery Service Partner

Own Amazon's last-mile network — they built the demand, you run the trucks

Bottom line

Accessible entry point; validate local supply before buying.

Amazon's Delivery Service Partner (DSP) program lets entrepreneurs own and operate Amazon delivery businesses. You hire 20-40 drivers, manage a fleet of Amazon-branded vans, and exclusively deliver Amazon packages in an assigned territory. Amazon provides the packages, the routes, and app technology — you run the P&L. With e-commerce volumes growing and Amazon unable to expand its in-house fleet fast enough, DSPs earn $1M-$4.5M per year in revenue. Amazon officially reports profit potential of $75K-$300K per year. The dirty secret: the real value is in the multiple. Routes sell for 40-50% of annual revenue — meaning a $2M/year business might sell for $800K-$1M, implying acquisition multiples well below 3x EBITDA.

Acquisition score
Margin · multiple · SBA data
54Strong
Avg revenue
$2.5M/yr
$1M–$4.5M range
Profit margin
12%
~$300K SDE
Multiple
2–3×
of SDE
Est. buy price
$600K–$900K
startup: $30K–$100K

How It Works

You apply to Amazon's DSP program, receive approval, and operate an assigned delivery territory. Amazon provides the vans (leased through the program at preferred rates), the routing app, and a constant stream of packages. You hire, train, and manage 20-40 drivers who deliver 150-400 packages per day per route. Revenue is paid by Amazon directly based on delivered package volume. Existing DSP businesses are regularly listed for sale by operators looking to exit.

BizBite verdict

Watch / verify

Amazon Delivery Service Partner has enough high-level data for a first look, but BizBite has not assigned a category-specific operating model yet. Treat the score as preliminary.

54Strong
low data confidence · 40/100medium financing fit

Why it may work

  • No strong positives yet. More verified data needed.

Be careful

  • !Source link status has not been verified yet
  • !No last-checked date yet
  • !No SBA category enrichment yet
  • !No category operating model yet
  • !Low data confidence

Deal Calculator

Priced off $300K SDE — can this deal service its own debt?

2.74×
DSCR · Lender-comfortable
Purchase multiple — 2.5× SDE ($750K)
Category range: 2×–3× SDE
Down payment — 10% ($75K)
SBA minimum equity injection is 10% for change-of-ownership
Interest rate — 10.50%
Typical SBA 7(a) range: 9.5–12% (prime-based)
Loan term — 10 years
Standard SBA 7(a): 10 years for business acquisition
Purchase price
$750K
2.5× of $300K SDE
Cash to close
$98K
$75K down + ~3% closing
Debt service
$9K/mo
$109K/yr on $675K loan
Cash-on-cash
196%
cash back in ~7 mo
Debt service coverage · what the lender sees
2.74×+$16K/mo after debt
Most SBA lenders want ≥1.25× coverage; 1.5×+ is a strong file.

SDE = revenue × margin estimate for this niche; it includes owner compensation, so budget your salary out of cash flow. Excludes working-capital injection, capex reserves, and taxes. Actual SBA terms vary by lender and borrower.

Pros

  • +Amazon provides packages, routes, and technology — no customer acquisition needed
  • +Revenue grows automatically as Amazon's volume increases
  • +Low startup cost relative to revenue potential ($30K entry vs. $2M+ revenue)
  • +Existing routes sell for 40-50% of annual revenue — very low acquisition multiples

Cons

  • -Entirely dependent on Amazon — they set rates and can terminate agreements
  • -Managing 20-40 drivers is operationally intensive and demanding
  • -Thin margins (10-15%) on high revenue — net income is $100K-$300K range

Best For

Operators who excel at logistics and team management and want massive revenue with modest margins

Operating Costs

Driver wages are the dominant cost (50-60% of revenue). Other costs include van leases, fuel, insurance (high), uniforms, and operational software. Amazon's packaging fees and compliance costs add up quickly.

Where to Buy

Route Advisors

Specialized brokerage for Amazon DSP and delivery route acquisitions

Route Consultant

DSP and delivery route marketplace with vetted listings

BizBuySell

General marketplace that lists DSP businesses for sale

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