What should I look at in a dock installation company’s winter removal contracts?
Read a sample of the winter removal contracts and the customer list. Check what each promises, when work is due, what happens if conditions stop the crew, and where docks are stored. These contracts are repeating work, so you want to know they can be delivered with the crew and equipment on hand.
Start with the contracts themselves. Does each customer have a written agreement? What does it cover: removal, storage, reinstalling in spring? Look at how pricing is set and whether it changes each year. Ask what customers can do if the work is late or damaged.
Then check the schedule. Removal often has to happen in a narrow window before the water freezes. Ask how many docks the crew can pull in a day, what equipment that takes and what happens in a bad autumn. A company that books more than it can do will create unhappy customers.
Look at storage. Where do the docks sit over winter, who owns or leases the space, and is it insured? Docks that are damaged in storage become a dispute you inherit. Finally, ask about the crew. Skilled installers are hard to find, and some contracts depend on particular people. Find out who they are and what would keep them. Your lawyer can tell you how the contracts pass to a new owner. Ask whether the company has the vehicles, trailers and lifting gear needed for the contracts. Equipment that is old or borrowed is a hidden cost. Make a note of anything that needs replacing before the next removal season starts.
Key takeaways
- Read the contracts for scope, timing and what happens when work is late.
- Ask how many docks the crew can realistically pull before freeze-up.
- Check winter storage space, ownership and insurance.
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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
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