What should I ask about a flooring company’s showroom samples and display stock?

Walk the showroom with the seller and list what you see: sample boards, full-size displays, flooring planks on racks and any fixtures. Ask which items are paid for and which belong to a supplier on a display program. Loaned samples may need to go back, and that changes what the store looks like on your first day.

Next, check how current the displays are. Styles change, and a showroom full of discontinued lines can mislead customers and may leave you with orders the supplier can no longer fill. Ask how often the owner refreshes samples, who pays for new ones and whether suppliers help with the cost.

Finally, ask how the display stock is treated in the books. Your accountant can tell you whether it is counted as inventory, equipment or written off, and how that should be handled at closing. Also ask whether any display items are sold at a discount at the end of a line and whether customers have ever received a sample as the final product. That detail often shows how the store handles complaints. Ask whether the lease or showroom layout would let you change the display, since that affects how much stock and fixtures you need to keep. Write the agreed treatment into the purchase documents so there is no argument over a sample board at the end.

Key takeaways

• List every display item and who owns it.
• Check whether the samples match current supplier lines.
• Ask your accountant how display stock should be counted.