How do I check a restaurant equipment distributor’s install and repair technicians?
Meet the technicians, ask how long each has been with the business, what they are trained on and how jobs are assigned. Read job records for callbacks and delays, and find out which of them hold the skills and customer trust that a new owner could not replace.
Technicians are often the part of a distributor that customers remember. Begin by asking for a list of who works there, what they handle (refrigeration, cooking lines, dish machines) and how long they have been with the business. Ask how they were trained and what manufacturer training they have received.
Next, read the job records. How many installs and repairs are done a week, how many need a second visit, and how are customer complaints handled? Look for jobs that run late or that go unbilled, because these show how well the work is managed. Ask how parts are ordered and stocked on the vans, and who carries the tools.
Then think about dependence. If the best technician left, what would suffer? Ask whether anyone has a side arrangement or a non-compete, and ask your lawyer to review the employment agreements. Speak with the technicians in a way the seller allows, and find out their pay arrangements so you can plan to keep them. Compare the service revenue with the cost of the people delivering it, and ask your accountant to test it.
Key takeaways
- List each technician, their skills and how long they have been there.
- Read job records for callbacks, delays and unbilled work.
- Find out who would be hardest to replace and how to keep them.
- Ask how the technicians are paid, and what it would take to keep the best of them after a sale.
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Sources
This answer is checked against primary sources. Links were last confirmed on the dates shown.
- 01Business Development Bank of CanadaGovernmentHow to conduct due diligence when buying a business
- 02Business Development Bank of CanadaGovernmentWhat are the steps to buying a business?
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