What if the trucking company I’m buying depends on one dispatcher?
Treat it as key-person risk. Find out how much of the load planning, shipper contact and driver scheduling runs through that one person, get the process written down, and ask about their willingness to stay. A transition or retention arrangement, drafted by your lawyer, can reduce the risk but not remove it.
In many small carriers one dispatcher knows which shipper wants what, which driver suits which run and who to call when a load goes wrong. If that person leaves after closing, the knowledge goes too. A buyer should find this out during diligence, not afterward. The steps below help you size the risk. For the driver side, see keeping drivers after buying.
Finding out how much runs through one person
Ask the seller to describe a normal day. Who books loads, who talks to shippers, who assigns drivers and who handles problems? Then ask the same of the dispatcher, separately if you can. Look at whether shipper emails and calls go to a shared inbox or to one phone. The answers show how much is written down and how much is in someone’s head.
Getting it documented
Ask for the process in writing: customer notes, preferred lanes, driver strengths, standing instructions and the software or spreadsheets used. If little exists, ask your lawyer whether building it could be part of the deal terms. A second person who has shadowed the dispatcher is one option, since they have seen the work done.
Retention and transition
Talk with the dispatcher early, with the seller’s consent. Ask what would make staying attractive. A retention arrangement or a period of paid transition help from the seller are options. Your lawyer can draft either, and your accountant can tell you how it affects the books.
If the answer is “everything”
Then the business is the dispatcher, and you should weigh that openly. Your options include more training time built in, or stepping back; discuss them with your advisers.
Related reading
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Due diligence
Buying
Brokers
- Expert answerWho does what in a business sale — lawyer, accountant, broker?
- Expert answerCan I sell my business without a broker?
- Expert answerHow do I choose a business broker?
- Expert answerWhat should I ask a broker before signing with them?
- Expert answerCan I buy a business without a broker?
- Expert answerWhat does a buy-side advisor do?
- Expert answerDoes a business broker represent the buyer or the seller?
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 CanadaGovernmentUnderstanding post-merger operational integration
- 03Business Development Bank of CanadaGovernmentWhat are the steps to buying a business?
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