How do I check an arcade’s prize counter stock and its supplier?

Begin with a physical count. Ask for the inventory list, then check a sample of items against the shelves and storage. Look for faded packaging, damaged goods and quantities that seem too high or too low. Prizes that never sell are money tied up, so ask how they are cleared.

Next, review how the counter works. Ask how tickets are valued, how the prize mix is chosen and which items are most popular. Check whether pricing is consistent with what guests see. The inventory guide explains how stock appears on the balance sheet, and your accountant can advise on how to treat it.

Then turn to the supplier. Ask who they are, how long the arcade has used them, what minimum orders and delivery times apply, and what happens when an item runs out. A single supplier can be a risk, so ask whether alternatives exist, and see what the supply chain guide says about diversifying. Finally, ask your lawyer to look at any written supplier agreement and whether it passes to a new owner. Ask the seller what they would reorder first. Ask how prizes are priced against tickets and whether recent supplier price changes have been passed on, since that affects the counter’s margin.

Key takeaways

• Count a sample of prizes from list to shelf and back.
• Ask how unsold and outdated items are cleared.
• Review supplier terms, delivery reliability and whether alternatives exist.