What should I check before buying a boat dealership?

Boat sales concentrate in a short season, so the books can look very different depending on the month you open them. Ask for a full cycle of statements, not just the latest quarter, and pair them with a walk through the yard and shop. The checks below cover the main areas.

Inventory and floor plan

Walk the lot with the inventory list in hand. Note how long each unit has sat, what is on consignment, and what is a trade-in that was taken in at too generous a figure. Then ask which lenders finance the stock and what each one holds. Floor plan financing usually has to be replaced or approved anew when the owner changes.

Service, storage and winterization

Repeat work often steadies a dealership between selling seasons. Ask how much comes from service, parts, storage and winterization, and how many customers return each year. Check the shop’s capacity, the technicians’ certifications and whether the key people plan to stay. A dealership that depends on one senior mechanic carries a risk you should weigh in your own planning.

Premises and brand agreements

Find out whether the dealer owns the yard or waterfront or rents it, and read the lease for term and renewal rights. Then read every manufacturer agreement. Many require the manufacturer’s consent to a change of owner, and they may set standards for facilities and stock. Ask for that consent process in writing early, because it can set your timeline.

• A full cycle of monthly statements, tied to bank deposits.
• An aged inventory list and the floor plan lender statements.
• Service, storage and parts sales reported separately.
• Manufacturer agreements and the consent steps for a new owner.