How do I find out whether a plumbing company’s best plumber would stay after a sale?
Ask the seller to arrange a respectful, confidential conversation with the plumber before closing. Learn what they value, what worries them and what would make them stay. Do not assume loyalty to the owner carries over to you. Put any agreed arrangement in writing.
A strong plumber often holds the customer relationships, so their decision shapes the business you are buying. Begin by asking the seller what keeps this person: pay, flexibility, tools, a vehicle, pride in the work or a long friendship with the owner. The last one is the hardest to carry over.
Ask for the plumber’s role in the files. Which customers request them by name? Which jobs depend on their licence or experience? Does anyone else do similar work? These questions show what the business loses if they go.
When you meet the plumber, listen more than you talk. Ask what they want from the next stage of their career and what they would change. Be careful about what you promise before closing. Anything offered should be agreed with the seller and put in writing, and your lawyer should review it. If the plumber is unsure, ask the seller to stay on for a transition and to introduce you around. Weigh the risk in your offer conditions rather than hoping it works out. Remember that the plumber may be weighing offers from rivals, so give them a clear picture of the future early instead of leaving a silence that others will fill.
Key takeaways
- Ask what keeps this plumber: pay, flexibility, tools or loyalty to the owner.
- Find out which customers request the plumber by name.
- Write down any agreement, with your lawyer’s review.
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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?
- 03Business Development Bank of CanadaGovernmentAfter buying a business, what is the next step?
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