From Portland Business Brokers Group.
Show what the shop earns on repeat work
Split repeat production from prototypes and one time jobs. Explain setup time, scrap, rework and outside processing so a buyer can follow the margin.
A full order book needs context. Identify confirmed orders separately from forecasts, and show whether the work depends on one customer or program.
Put the technical handoff on paper
- Document production scheduling and inspection routines.
- Identify who owns drawings, tooling and programs.
- List machine condition, service needs and finance obligations.
- Explain customer qualification and contract requirements.
Do not assume a customer's approval of your shop automatically covers a different owner. Check the contract and the actual change being proposed.
Account for the owner's work
If you quote every job or solve every difficult setup, explain the role. Earnings should reflect the cost of replacing work that will still be needed after you leave.
Equipment and real estate may need separate treatment from operating value. Make the boundaries clear before comparing offers.
Keep production stable during diligence
Buyers will keep watching results while reviewing the business. Maintain customer service and normal maintenance rather than postponing costs to improve a temporary snapshot.