Automotive & Location-Based · Seller readiness
Selling a Towing & Roadside Assistance business
Published · Reviewed by The Diligence Standard Team · Updated
Owners should prepare fleet condition, dispatch-source economics, contracts, insurance history and driver records before a buyer prices the risks.
How the business works
Dispatch sources, municipal/police contracts, fleet uptime, driver availability and insurance costs determine durability.
Issues to resolve
- Fleet condition is overstated
- Loss runs are not organized
- Contract renewals are uncertain
- Driver records are incomplete
- Owner is central to local relationships
Evidence to request and reconcile
- Call and dispatch history
- Fleet schedule and maintenance
- Loss runs and insurance
- Driver roster and MVR/compliance
- Municipal/police/motor-club contracts
- Revenue by dispatch source
Decision questions
- What percentage of calls come from the top two dispatch sources?
- What trucks need replacement soon?
- How will insurance pricing change after ownership?
- Are key contracts assignable?
- Who maintains municipal and dealer relationships?