What should I ask about a fabrication shop’s mobile welding trucks and field work?
Ask how many mobile rigs the shop runs, who owns them, what they carry and how much of the work is on customer sites rather than in the shop. Then ask who staffs them, how field jobs are quoted, and what happens when a truck is down.
Field work runs differently from shop work. Ask how jobs are won, whether pricing is by the hour or the job, and how travel time and materials are charged. Ask for a few recent invoices so you can see what a field day actually brings in.
Look at the rigs. Ask for the age, the repair history and the equipment installed on each truck. Find out whether any are leased or financed, and who owns the welders and tools on board. If a rig is down, ask how the shop keeps promises to customers.
Then ask about people and risk. Which welders work alone in the field, and who is trusted with the larger jobs? Ask about site safety practices, incident records and the insurance carried for work on other people’s property. Ask which customers hire the shop for field work and whether those relationships belong to the shop or the owner. Your accountant and insurer can help you weigh costs and cover. Finally, ask how much of the field work comes from repeat customers and how often a rig sits idle. Compare the earnings of field jobs with shop jobs after travel, fuel and set-up time, so you know whether the trucks are a profit centre or a convenience.
Key takeaways
- Ask for recent field invoices to see how jobs are priced and paid.
- Check each rig’s condition, financing and the tools it carries.
- Review safety records, insurance and who holds field customer relationships.
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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 conduct due diligence when buying a business
- 02Business Development Bank of CanadaGovernmentWhat are the steps to buying a business?
- 03Business Development Bank of CanadaGovernmentWhat is a demand loan and how it works
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