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Commercial Forklift Sales and Service

A Phoenix-area forklift sales, leasing and repair business with multi-year service contracts and equipment leases producing recurring revenue.

Business Highlights

  • Forklifts need ongoing maintenance and repair, so demand is essential rather than optional
  • Multi-year service contracts and equipment leases produce recurring revenue
  • Revenue has grown steadily over the last three reporting years
  • Mobile repair service across the Phoenix metro

Considerations / Questions to Ask

  • What share of revenue is contracted service and leases versus one-off equipment sales?
  • How long do the service contracts run, and are they assignable to a new owner?
  • Who does the mechanical work, and how many qualified technicians are there?
  • Equipment on lease is capital tied up. How is it financed, and does it come with the sale?
  • The owner offers to stay in business development. What does that role cost?

Opportunities

  • Phoenix warehousing and distribution keeps growing, and every warehouse runs forklifts
  • Service contracts renew without being resold
  • A fleet maintenance operator could add this line with little new overhead
  • An owner willing to stay in sales reduces the handover risk on customer relationships