How do I find out if a welding shop’s repeat work comes from one plant?

Start with the invoice list. Group by customer name, then split a large customer by site and by the person who raised each purchase order. A shop that says it serves several customers may in fact serve one plant under different names or departments. Ask about the share each plant represents and how that has moved across the years.

Next, understand how the work arrives. Is it released through a blanket order, quoted job by job, or given on a handshake? Ask whether the plant has approved the shop as a supplier and whether that approval transfers to a new owner. Ask who inside the plant likes the shop and what they would say if asked. A maintenance supervisor who is about to retire is a risk.

Finally, think about how the plant could change. It may bring welding in-house, move production, or choose another vendor. Ask how the shop has dealt with that risk before. Your accountant can help test how the business would look if the largest site vanished, and you can use that when talking to a lender. Ask also whether the shop has ever tried to win work from nearby plants, and what happened, since a failed attempt can say as much as a quiet one.

Key takeaways

• Split invoices by site and purchasing contact, not just by company name.
• Find out how the work is awarded and whether supplier approval carries over.
• Test the numbers as if your biggest site left.