How do I check a key cutting shop’s repeat customers such as landlords and dealers?

Begin with a list of the commercial accounts: names, what they order, how often, and how they pay. Match it to invoices and bank deposits rather than accepting a summary. A handful of large accounts can be a strength, but it can also make the shop fragile if one is lost.

Ask how each relationship started and who holds it. A property manager who calls the owner by name may not stay with a stranger. Find out whether there are contracts, standing orders or only habit, and whether pricing for these customers was agreed by handshake.

With permission, call a few of them. Ask what they value, whether turnaround or price matters most, and whether the change in ownership concerns them. Notice how they talk about the current staff. Check for dependence on a single account or a single employee who handles it. If an agreement exists, have your lawyer read it before the purchase agreement is drafted, so a transfer clause does not surprise you. Also look at seasonality, since property turnover and dealer activity can follow the calendar. Ask what happens to these accounts in slow months, and whether there are customers who pay late or ask for special pricing.

Key takeaways

• Match the account list to invoices and bank deposits.
• Find out who personally holds each relationship.
• Call a few accounts, with the seller’s permission, before you commit.