Window Cleaning Business Buyer Checklist (Australia)

Window Cleaning Business Buyer Checklist — Australia

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Phase 1: Initial screening (before you sign the NDA)

Use these checks on the information memorandum and listing details before committing any time to the process.

• Revenue split confirmed: what percentage is commercial (contracted) versus residential (ad-hoc)?
• EBITDA or SDE figure stated — not just revenue. Flag any listing that only quotes revenue.
• Number of active clients disclosed, with breakdown by client type.
• Geographic area of operations — is the client base dense enough to route efficiently, or scattered?
• Years the business has been operating (under 3 years requires significantly higher scrutiny on client retention).
• Reason for sale noted and plausible (retirement, health, relocation — not "pursuing other opportunities").
• Asking price and implied multiple calculated: if SDE is stated, divide asking price by SDE to get the multiple. Flag anything above 3x for a small owner-operator.
• Any franchise arrangement? If yes, confirm head franchise fee structure and whether the territory is transferable.

Decision point: Does the business pass basic commercial sense? If revenue is purely residential, the asking price is above 2.5x SDE, or the reason for sale is vague, consider whether to proceed.

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Phase 2: Financial verification

• Request three years of profit and loss statements (prepared by an accountant, not owner-drafted).
• Request the last two BAS lodgements — verify GST turnover matches the P&L.
• Request the ATO income tax return for the business entity for each of the last two financial years.
• Verify revenue trend: is it growing, stable, or declining? If declining, get a written explanation.
• Identify and verify add-backs. Common legitimate add-backs: owner's salary above market rate, personal vehicle costs, one-off capital purchases. Reject any add-back that represents a genuine ongoing business cost.
• Calculate normalised EBITDA or SDE after add-backs. Confirm the multiple you're paying is based on normalised earnings, not the seller's preferred version.
• Check debtor ledger: are there outstanding invoices more than 60 days old? Pattern of slow-paying commercial clients is a risk.
• Check for any outstanding ATO debt, payment arrangements, or director penalty notices.
• Review any equipment finance or vehicle loan obligations — these affect the true cash available to a new owner.
• Confirm GST registration is current and the business has no outstanding BAS debt.

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Phase 3: Client base and recurring revenue assessment

This is the most important phase for window cleaning acquisitions.

• Request a client list with revenue per client for the last 12 months. Flag any single client representing more than 25 percent of revenue.
• For each commercial client: is there a written contract? What is the remaining term? What is the notice period?
• Ask the seller how each major commercial relationship was established. Relationships sourced through personal networks (former employer, family, friend) are higher transfer risk.
• Confirm commercial clients are billed to the business entity, not to the owner personally.
• For strata or building management clients: confirm the contract is with the property management company, not with an individual property manager who may move roles.
• Calculate recurring revenue percentage: contracted commercial revenue divided by total revenue. Under 30 percent is a red flag.
• Understand cancellation history: have any commercial clients cancelled or reduced scope in the last 24 months? Get the explanation.
• For residential clients: what is the average booking frequency? Clients who book more than twice per year represent the highest-value residential base.
• Ask whether the seller has introduced the business to any key commercial clients as part of the handover — and whether that's feasible before settlement.

Use the Recurring Revenue Assessment Checklist to score the client base formally before making an offer.

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Phase 4: Owner dependency assessment

• Does the owner personally service the majority of accounts, or do staff or subcontractors complete the work?
• For each major commercial account: has the client ever been serviced by someone other than the owner? How did they respond?
• Does the CRM or job management software document client preferences, access codes, and job notes — or does this information live with the owner?
• Is the owner's name or personal brand (e.g. "Dave's Window Cleaning") core to the business identity? If yes, assess whether a rebrand is feasible.
• What does the owner's role look like day-to-day? Owner doing all the physical work versus managing a team are materially different acquisition profiles.
• Is there an employee or subcontractor who has an existing relationship with key commercial clients? Could they become a risk (defecting to start their own business) or an asset (retained as part of the deal)?
• Negotiate a genuine handover period — for a commercial-heavy business, 4 to 8 weeks minimum of joint client visits.
• Consider requesting a restraint of trade clause preventing the seller from operating a competing window cleaning business within the service area for 2 to 3 years.

Score the business using the Owner Dependency Scorecard. A score below 60 out of 100 warrants price renegotiation or walk-away.

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Phase 5: Equipment, vehicles, and assets

• Obtain a complete asset register listing all equipment, vehicles, and tools included in the sale.
• Confirm asking price is asset or share sale — and which assets are included in each scenario.
• For WFP (water-fed pole) systems: age, condition, purification system type (RO/DI), and whether replacement parts are readily available in Australia.
• For vehicles: year, odometer, service history, roadworthy status, and any outstanding finance. Get a mechanical inspection on any vehicle over 150,000km.
• For ladders and elevated access equipment: confirm compliance with Australian Standards (AS/NZS 1892 for portable ladders). Equipment that fails a safety audit is a liability, not an asset.
• For rope access or elevated work platform equipment: confirm current certification and inspection dates.
• Inspect all equipment in person before settlement — photos in the information memorandum are not a substitute.
• Get a written schedule of equipment included in the sale price attached to the contract.
• Identify any equipment due for replacement within 12 months and factor the cost into your offer price.

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Phase 6: Licensing, insurance, and compliance

• Confirm all operators hold current Working at Heights certification (RIIOHS204A or current equivalent).
• For rope access work: confirm IRATA or equivalent certification is current for relevant staff.
• Verify public liability insurance — minimum $10 million cover, and confirm it's current and paid up.
• If there are employees: confirm workers' compensation insurance is current.
• If the business uses subcontractors: confirm each has their own current public liability policy and ABN.
• Confirm the business ABN and GST registration are active.
• Check ASIC records if buying a company: confirm no outstanding ASIC compliance issues, director penalty notices, or deregistration risk.
• If the business holds any high-rise or government contracts: confirm any additional licensing requirements (e.g. security clearances, site-specific inductions) are transferable.
• Check for any WorkSafe, SafeWork, or equivalent agency notices or investigations against the business.
• Confirm the relevant state's work health and safety obligations apply and have been met (Safe Work Australia framework, state equivalents).

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Phase 7: Staff and subcontractor assessment

• List all employees with their employment type (full-time, part-time, casual), tenure, and weekly hours.
• Verify entitlements owed at settlement: annual leave, long service leave (if applicable), personal leave. These are liabilities that reduce effective purchase price in an asset sale — confirm how they're handled.
• Review employment contracts. Check for any unusual terms — non-compete clauses, commission arrangements, or informal agreements not documented.
• For businesses using subcontractors: assess the risk of sham contracting. If subcontractors work exclusively for this business, follow set hours, and use owner-provided equipment, the ATO may reclassify them as employees — and that's your problem post-settlement.
• Key person check: is there a staff member or subcontractor who holds most of the commercial client relationships? That person is either a retention priority or a flight risk. Know which.
• Confirm staff are aware a sale is being considered (or have a plan for disclosure at the appropriate time).

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Phase 8: Offer preparation and valuation

• Calculate your normalised SDE based on verified financials (not the seller's stated figure).
• Determine your multiple range based on client quality: 1.5x for purely residential, 2x to 2.5x for mixed with some commercial contracts, 2.5x to 3x for a strong commercial book with multi-year contracts and staff.
• Calculate equipment value separately and add to business value — don't assume the asking price includes fair market equipment value.
• Factor in working capital required post-settlement (staff wages, insurance renewals, consumables float).
• Apply a discount for any identified concentration risk (single dominant client, owner dependency score below 60, equipment requiring near-term replacement).
• Prepare your initial offer with conditions precedent: satisfactory completion of due diligence, finance approval, and confirmation of key client retention (where feasible).
• Include a handover period in the terms — specify number of weeks, what joint activities are expected, and whether the seller is compensated during this period.
• For businesses above $300,000 in value: engage a solicitor to review the sale contract. This is not optional.

For the comprehensive due diligence framework that covers the financial and legal steps in detail, use the full due diligence checklist.

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Post-settlement: First 30 days

• Contact each major commercial client within the first week — by phone or in person, not email.
• Service key accounts yourself (or attend with the outgoing owner) during the handover period.
• Set up or migrate the job management system — ensure all client data, access codes, and preferences are captured before the seller's involvement ends.
• Update public liability insurance into your name.
• Register as the new operator with relevant licensing authorities.
• Introduce yourself to any key subcontractors and confirm their ongoing availability.
• Complete the equipment audit and book any outstanding maintenance.

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This checklist covers the core due diligence steps. For the full framework on evaluating any small business acquisition, see Module 5 of the Playbook and the comprehensive due diligence checklist.