What should I check before buying an appliance repair business?

An appliance repair business works in customers’ kitchens and laundry rooms, not behind a counter. Its assets are vans, tools, trained people and the systems that send them to the right house with the right part. That makes it different from a store that sells appliances. These are the areas to look at first.

Manufacturer authorizations

Some of the work may come from manufacturers who pay authorized service companies to repair appliances under warranty. Ask which brands the business is authorized for, how long it has held them, and whether the manufacturer will accept a new owner. Do not assume the approval moves with the sale. Ask for the manufacturer’s answer in writing before you rely on that income.

Vans, tools and parts accounts

Check the age and maintenance record of each van, who owns it, and whether any are leased or financed. Ask what diagnostic tools and software the technicians use and whether licences transfer. Find out which parts distributors supply the business and on what terms. This page on checking shop equipment explains how to think about worn gear.

Booking, dispatch and technicians

• How calls are taken, booked and routed, and who owns the phone number and booking system.
• Which brands and appliance types each technician is trained to repair.
• How many repeat visits a repair needs, and how return trips are handled.
• Whether technicians will stay with a new owner.