What should I ask about a refrigerated delivery company’s backup plan for unit failures?
Ask what happens, step by step, when a unit fails with a load on board: who the driver calls, where the load goes, which spare trucks or partners exist and how the customer is told. Then ask for the last few real failures and how they were handled.
Start with the plan on paper. Ask whether it is written down, who knows it and when it was last updated. Does a driver know whom to call and what to do in the first minutes? Are there spare units, a partner carrier or a cold storage site to move to? A plan only the owner can recite is a weakness in itself.
Then ask for evidence. Request the last few real failures and read how each one played out: time to react, what happened to the load, who paid and how the customer reacted. Look for repeats. If the same truck or unit fails often, ask why it is still in service. Ask the shop lead what warning signs they look for.
Finally, check the backing. Ask how units are serviced, who handles the repair after hours and whether any customers have written terms about failures. Ask your insurer what they expect and how past claims affected cost. Ask your lawyer to read customer contracts for any promises about failures. Notice also whether staff speak openly about the last failure, which is a good sign.
Key takeaways
- Ask for the written plan, and check that drivers can describe it without notes.
- Read how the last real failures were handled, from first call to customer contact.
- Ask why any repeat-failure unit is still running.
- Check customer contracts for promises the plan must keep.
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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?
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