What should I ask about a tow operator’s driver turnover and on-call schedule?
Ask how long each driver has been with the company, why former drivers left, and who is on call tonight. Look at the rota for fairness, and at how often the same few people cover gaps. A tow operation that burns through its drivers will struggle to answer its phones.
Begin with tenure. Ask for a list of current drivers with their start dates and a list of those who left, with the reasons if the seller knows them. Look for a handful of long-serving drivers, since they carry the local knowledge. Many short stays suggest a problem with pay, scheduling or management, and you will inherit it.
Next, examine the on-call schedule. Is it shared evenly, or do two or three people absorb the nights and weekends? Ask how swaps are handled, whether on-call time is paid and how the seller deals with drivers who refuse a shift. Ask your lawyer how employment standards apply to paid standby time, and have your accountant check how on-call pay shows up in the books.
Then talk to the drivers, with the seller’s agreement. Ask what they like, what wears them down and what would make them stay. Their answers will tell you how much the business depends on the owner’s goodwill. Also ask what licences and training drivers need, so a lost driver does not mean weeks of delay. Ask about fatigue and rest as well. A rota that looks fine on paper but leaves drivers short of sleep tends to end in resignations or accidents, and either one costs the company.
Key takeaways
- Get a list of drivers with start dates, plus those who left and why.
- Check whether the on-call rota is shared evenly and how pay is handled.
- Talk to the drivers about what keeps them there.
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Due diligence
Selling
Sources
This answer is checked against primary sources. Links were last confirmed on the dates shown.
- 01Business Development Bank of CanadaGovernmentHow to reduce employee turnover
- 02Transport CanadaGovernmentMotor carriers, commercial vehicles and drivers
- 03Business Development Bank of CanadaGovernmentHow to conduct due diligence when buying a business
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