How do I find a linen supply business for sale in Canada?
Find a commercial linen supply business by searching listing sites under several names, asking business brokers who work with route-based services, and talking to the hotels, restaurants and suppliers around the trade. These companies are sold quietly, so expect to build contacts before a lead appears and to ask what the listing leaves out.
A commercial linen supply company washes, folds and delivers tablecloths, towels, sheets and napkins to hotels, restaurants, clinics and spas. It is a different business from a coin laundromat or a dry cleaner, and few owners advertise a sale because their customers would notice. A buyer should plan to use public listings and personal contact together, and to be patient.
Search under every name the trade uses
Owners may call the business linen supply, linen service, textile rental, commercial laundry or hospitality laundry. Search listing sites under each term and save the searches so new postings reach you. Read the description closely, because a listing labelled laundry may be a plant that serves accounts on routes, or it may be a retail counter. The work described matters more than the label.
Ask brokers and people around the trade
Business brokers who handle service companies sometimes hear about a linen owner thinking of retiring before anything is posted. Equipment dealers who sell washers and folding lines, chemical suppliers and delivery vehicle dealers also know which plants are busy and which owners are tiring. Send a short, courteous introduction that says what you are looking for and how you would keep customers undisturbed.
Reading a linen supply listing
Look for the mix of customers, how long the main accounts have been served, and whether the plant and trucks are owned or leased. Ask how much linen is in circulation and who owns it. A listing that says little about the accounts, the plant or the staff is a prompt for questions to the seller. See how to assess equipment condition before you visit a plant.
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Sources
This answer is checked against primary sources. Links were last confirmed on the dates shown.
- 01Business Development Bank of CanadaGovernmentWhat are the steps to buying a business?
- 02Business Development Bank of CanadaGovernmentHow to conduct due diligence when buying a business
- 03Canada Revenue AgencyGovernmentBuying a business
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