What should I ask about moulding suppliers and stock at a frame shop?
Ask who supplies the moulding, how long orders take and what terms apply. Then look at the stock itself: how much is current, how much is old or discontinued, and how the shop counts and values it. Leftover lengths can look like inventory but may never sell.
Begin with the suppliers. Ask which companies provide most of the moulding, glass and mat board, how orders are placed, how quickly they arrive and what happens when a profile is discontinued. A shop that depends on one source deserves a closer look at how easily it can switch.
Then walk the stock. Frame shops collect corner samples, odd lengths and half-used boards. Ask which of these are still usable for jobs and which are simply stored. Check whether the owner counts stock regularly and how it appears in the statements.
Finally, ask about customer behaviour. Do customers choose from sample corners and wait for special orders, or does the shop sell from stock? That shapes how much inventory you really need. Compare supplier invoices with the accounts, and ask your accountant how stock is valued on the books. Consider the effect of a change in ownership on supplier accounts. Ask about glass and mat board storage as well, since these need flat, dry space and careful handling. Look for damaged sheets and unsold offcuts. If a lot of stock is stored for a few big jobs, ask whether those jobs were paid for, finished and collected.
Key takeaways
- Ask who supplies each material and how easily the shop could switch.
- Separate usable stock from old lengths and discontinued profiles.
- Ask how stock is counted and recorded in the statements.
Related reading
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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 is inventory
- 03Business Development Bank of CanadaGovernmentHow to diversify your supply chain
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