How do I plan the exit from my tire shop to a long-time employee?

A good technician or counter lead is not automatically a good owner. Owning means ordering stock, handling cash flow through the slow months, setting prices and managing people who used to be peers. Before you plan the sale, talk openly with the employee about what they want and what worries them.

Then hand over pieces of the job step by step. Let them run the seasonal tire order, meet the main suppliers and handle the fleet or dealer accounts. Watch how they make decisions when you are not in the room. This gives both of you real evidence about readiness, and it shows the customers who will be in charge.

Plan the money side early, since an employee rarely has the full amount ready. Ask your accountant how the sale could be structured over time and what a lender may want to see. Build a simple cash flow forecast together. Also write down how the shop runs, from supplier terms to warranty practice, so knowledge does not stay in your head. A continuity plan protects the shop if you are away. Be ready for the possibility that the employee decides ownership is not for them, and keep a second option, such as an outside buyer, open.

Key takeaways

• Ask the employee what they want before you design anything around them.
• Hand over ordering, suppliers and key accounts gradually and watch how they handle them.
• Involve your accountant early on how the employee will fund the purchase.