#'s to ask for

[DogChic]

when buying an existing grooming business ... what bills/recepits/questions, etc do you ask for? anything that i missed???

i have compiled this list much through petgroomer.com & from problems to profits.


Rent
utilities (water/electric)
phone
security system
internet

taxes - payroll
employees - commission rates/hourly rates
insurance - liability & worker's comp
licences - dues/fees
trademarks

receipts: (this is for equipment that I know they have)
bank of cages (about 18?)
kennel dryers (2)
4 grooming tables
stand dryer
hv dryer
tubs 2
grooming supplies /office
computer/printer/fax
software
washer/dryer
any retail purchased (?)

outstanding bills (?) if any
veterinary bills
all leases/contracts
repairs and maintainence (bldg & equipment)

Advertising

client list & history (grooming/dog boarding/cat boarding)
bank accounts
supplier list

Anything else ..........?

[Woof_x_2]

Garbage bills?

What about possible maintainence like floor cleaners or window washers?

[Admin]

This is a pretty good list but there are more things. Be sure to check Startup Costs Menu at www.petgroomer.com/mainmenus.htm

However, there is an Excel spreadsheet for this IN GREAT DETAL inside Pet Grooming Business Plan Helper & Sampler, a Grooming Business in a Box product. You make up an entire shopping list for leasehold improvements, even vans, trailers for mobile, down to shampoo, blades and cotton balls, really. Includes licenses, fees and more startup related costs in the Startup Cash Requirement area.

You note vendor name for the source, cost each, how many you want, it extends it into a line cost and total cost for build out of a commercial, home or dept, or a mobile operation to SBA standards. It also uses those figures by transposing them into a complete set of financials required for loans (balance sheet, cash flow etc)...words cannot describe here...but this is truly PRO level made easy. You don't have to do calculations, you simply fill in the blanks.

So if this is important to you, it could be worth the purchase.

[Dexy]

Tax records and P/L for the last 3 to 5 years to compare against a client list.

Run a check for liens and lawsuits against both the shop and owner.

Check vendor payment history - if it is bad you may have a hard time getting credit with them. Many shops are COD only because of late payments.

[Gracy Rose]

Also, check with employees. I can't tell you HOW MANY groomers who apply at my shop because their paychecks kept bouncing at their former salon.

Get a list of any improvements done in the last 3 years, get names of contractors and make sure they have been paid. Becuase these people can put a lien for up to 3 years.

[Gracy Rose]

also, do they have any gift certificates outstanding? You would hate to buy the shop and find out they have $1000 in gift certificates that have yet to be cashed.


If it were me, I WOULD NOT BUY THE BUSINESS, instead I would buy parts.

Meaning... Buy the client list, Buy the equipment, assume lease. This will hold you harmless for past bills, taxes, etc.

You will have to get your own business license, tax id, and change the name. But you are safer.