How do I find out which restaurants carry most of a food distributor’s volume?

Ask for a customer report that ranks accounts by sales and by volume across a full year, and a second year if the records exist. Read down the list until you reach the point where most revenue is covered. Note how many accounts that takes, how long each has been buying and whether they buy steadily or in bursts. Match the report against invoices so you know it is real.

Next, ask what holds those accounts. Are they on written terms, or do they order by phone each week? Does an owner, a driver or a salesperson hold the relationship? Is any account part of a group, where one decision could move several locations? Ask about pricing arrangements and any delivery or payment terms that give them special treatment.

Finally, speak to the biggest customers if the seller permits it, ideally late in the process. Ask your accountant to check payment history and unpaid balances for the top accounts. A restaurant that pays late and orders heavily is a very different customer from one that pays on time. Ask also about seasonal swings among restaurant accounts.

Key takeaways

• Get a ranked customer list for a full year and see how many accounts cover most revenue.
• Find out which accounts are on terms, in groups, or tied to one person.
• Speak with the largest customers late in the process, with the seller’s permission.