How do I show a buyer my packaging plant’s paperboard supplier relationships?
Put the relationships on paper. Prepare a list of each paperboard supplier, what you buy, how long you have dealt with them, and your payment terms. Add your backup sources and how you handled past shortages. Buyers want proof that supply continues after you leave.
Start by gathering purchase records into one clear summary. Show which grades of board come from whom, how pricing has been set, and how often the shop switches. If most of your board comes from a single mill, say so plainly and explain why. A buyer will find it anyway, and it reads better coming from you.
Then show resilience. Describe a time supply tightened and what you did about it. Name the alternate suppliers you have quoted or used, and whether any of them already know your plant. This is the same thinking behind diversifying a supply chain, and it answers the question buyers are quietly asking. Finally, deal with the handover. Ask whether any supplier terms are personal to you or would carry over to a new owner, and offer to introduce the buyer to the main contacts. Let your lawyer review any supply agreement for change-of-ownership wording before you share it. Buyers trust sellers who volunteer the weak spots. Prepare for the buyer’s own calls to suppliers. Tell your contacts in advance what you plan to share, and agree when the introductions will happen, so the conversations help the sale instead of surprising anyone on either side.
Key takeaways
- Summarize suppliers, grades bought, terms and history in one clear document.
- Name your backup sources and describe a past shortage honestly.
- Offer introductions to key contacts, and have your lawyer check agreements first.
Related reading
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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 diversify your supply chain
- 02Business Development Bank of CanadaGovernment7 steps to increase your business’ value—before you sell it
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