How do I tell if an elevator service company relies on one or two skilled technicians?
Ask who actually performs service calls, repairs and inspections, and who the building managers ask for by name. Review the schedule to see how many jobs only one person can do. If a few technicians hold the knowledge and the client relationships, plan for their departure.
In a service business built on technical skill, a few people often carry the company. Ask for a list of technicians with their training, certifications and the kinds of work each can do. Then look at the call records for the past year and count how often the same names appear.
Talk to the technicians if the seller permits it. Ask what they know that is not written down, such as quirks of particular buildings or special equipment. Ask whether they have taken on-call duties, and whether they would stay under a new owner.
Ask building managers, if you can, who they trust and who they call first. A client attached to a person rather than a company can leave when that person does. Look at the pay of key staff and whether they have any written arrangement to remain. Finally, ask what happens when a key technician is away. Does the company bring in subcontractors, turn work down, or hold off? The answer shows how much resilience the business has and what a new owner would have to fix first.
Key takeaways
- List technicians by skills and certifications, then review who handles which jobs.
- Ask building managers whom they call first, if the seller allows it.
- Find out what each key person would need to stay after a sale.
- Learn what happens to service when a key technician is away.
Related reading
15 pages on the same subject, grouped by topic.
Buying
- Expert answerHow can I learn if an HVAC company’s technicians hold their own customer relationships?
- Expert answerWhat if the technicians leave after you buy an HVAC company?
- GuideBuying an elevator service company in Canada
- Expert answerHow do I read an HVAC company’s mix of installs, service and maintenance plans?
- Expert answerHow do I tell what an HVAC company owner actually takes home?
- Expert answerHow do I tell if an MSP’s help desk ticket backlog is a warning sign?
Due diligence
- GuideElevator service company due diligence
- Expert answerHow do I tell how much a towing company relies on one roadside assistance program?
- Expert answerHow do I check how many IT clients depend on one technician at a managed service provider?
- Expert answerHow are a pool service company’s weekly routes divided among technicians?
Financing
Selling
Sources
This answer is checked against primary sources. Links were last confirmed on the dates shown.
- 01Business Development Bank of CanadaGovernmentHow to conduct due diligence when buying a business
- 02Business Development Bank of CanadaGovernmentWhat are the steps to buying a business?
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