How do I check the shred trucks before buying a shredding company?
Check the chassis and the shredding body separately, since they wear differently. Look at shredder hours and cutter or hammer condition, the lift and hydraulics, any on-board cameras and logging, maintenance and downtime records, and whether each truck is owned, financed or leased. Have a mechanic who knows shred bodies inspect them.
For a mobile shredding company the trucks are the plant. A shred truck is a vehicle and a shredder in one, so check both. Each can fail on its own, and each is expensive to repair. Treat them as separate items on your inspection list and ask for separate records for both.
The chassis and the shredding body
Ask for the maintenance file on the vehicle: service history, brake and tire work, repairs after incidents, and any inspection results. Then ask for the same on the shredding body. The two often have different dates, different suppliers and different problems. A newer chassis with a worn body, or the reverse, changes what you will spend soon after closing.
Shredder hours and cutting parts
Ask how many hours each shredder has run, when cutters or hammers were last replaced and how often. Ask to watch it work and listen for strain. The lift that raises bins and the hydraulic system behind it also wear with use, so ask about leaks, repairs and any time a truck stopped because of them.
Cameras, logs and custody
Many trucks carry cameras or logging equipment used to show chain of custody to clients. Check that it works, where footage and logs are stored and who can retrieve them. If clients rely on that proof, a failed system affects the business as well as the truck.
Ownership and independent inspection
- Confirm whether each truck is owned outright, financed or leased, and what happens to those arrangements on a sale.
- Ask how many days each truck was out of service recently, and why.
- Hire an independent mechanic who knows shred bodies, not only trucks.
- Read the report with your lawyer or advisor before relying on it.
Our page on assessing equipment condition covers the general approach.
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Sources
This answer is checked against primary sources. Links were last confirmed on the dates shown.
- 01Transport CanadaGovernmentNational Safety Code
- 02Business Development Bank of CanadaGovernmentEquipment valuation: How to do it
- 03Business Development Bank of CanadaGovernmentHow to conduct due diligence when buying a business
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