How do I tell a handyman company’s maintenance accounts from one-off fixes?

Ask for the invoice list for the last full year, with customer names and dates, and sort it by customer. Customers with visits spread through the year, a regular cycle or a standing request are maintenance accounts. Those with one invoice and no follow-up are one-offs. Mark the groups and see how the revenue splits between them.

Dig into the strongest accounts. Is there a written agreement, a standing order or only a habit? Who at the property makes decisions, and how long have they used the company? A property manager who gives dozens of jobs is valuable, but only if that relationship passes to the buyer. Ask whether the customers are paid up, using the accounts receivable list.

Then check the other side of the books. If many customers rely on the company, the money owed to suppliers and subcontractors matters too, so look at accounts payable for late bills or disputes. Your accountant can tell you how the repeat revenue looks over time, and your lawyer can advise on any agreements and how they pass in a sale. Talk to a few of the main contacts if the owner allows.

Key takeaways

• Sort a full year of invoices by customer to find repeat patterns.
• Separate accounts with agreements from those based on habit.
• Review receivables and payables for late payments or disputes.
• Speak with main account contacts if the owner allows it.