How do I prepare a forklift or material handling business for sale?

Buyers of a dealer, service shop or racking installer will ask the same questions again and again: who are the customers, who does the work, what do you own and what does the manufacturer think. You can start preparing months ahead, and most of it is housekeeping rather than anything dramatic.

Service contracts and customer records

Gather every planned-maintenance agreement in one place, with dates, renewal terms and the customer contact. Make sure work orders and service histories are complete and easy to search. A buyer will want to see how much of your work repeats and how much depends on a few warehouses. Our page on getting ready to sell over a year gives a wider plan.

Fleet, parts and tooling

Prepare lists of the used trucks, rental units, service vans, tooling and parts you hold, with serial numbers and ownership. Mark anything consigned, leased or financed. A clean list shortens the buyer’s inspection and avoids disputes later. See also our page on preparing an equipment rental business.

The manufacturer and your technicians

If you sell under a dealer agreement, talk to the manufacturer early, since it will want to approve a new owner. Think about your technicians too. Ask your lawyer whether and how to offer them a reason to stay through the handover, and tell them at a time you choose.

Separate what you own personally

Owners often hold the building, or some equipment, in their own name. Decide what is included in the sale and what is leased to the buyer, and put it on paper. Your accountant can explain how the structure affects your tax position.