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?