How do I check a sign shop’s electrical sign and lighting repair work?
Ask who does the electrical work, how each job is recorded and what happens when a repair fails. Look at a sample of service tickets and visit a few installed signs. A shop that tracks its repairs and callbacks, and uses qualified people, is handling this part of the business well.
Electrical sign repair is a different skill from fabrication. Ask who does it, what training they have and whether anyone outside the shop is hired in. If the work depends on one person, that is a point you want to understand before you commit. Ask also about supplier relationships for transformers, lamps and modules, and how easy parts are to get.
Read a sample of repair tickets. Look for a clear description, the date, the person who did the work and the customer’s sign-off. Count how many jobs came back as callbacks and what the shop did about them. Visit a few installations to see how they look, especially ones that were repaired.
Ask about the equipment: lifts, bucket trucks and test tools, and how they are maintained. Ask how safety is managed for work at height, and what the shop’s insurance covers if a repair causes damage. Your insurance advisor can review that coverage, and your lawyer can review any promises made to customers in writing. Ask which customers rely on repairs rather than new signs, and how quickly the shop responds when a sign fails, since steady repair customers are a part of the business you would inherit.
Key takeaways
- Find out who does the electrical work and whether it rests on one person.
- Read repair tickets and look into callbacks.
- Ask your insurance advisor to review coverage for repair work.
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Due diligence
Selling
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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