Understanding the Market:
– **Asset-Based Business:** Revenue is generated from renting out assets.
– **Market Demand:** Demand for rental items affects business value.
Key Considerations:
– **Asset Condition:** Well-maintained rental items are crucial.
– **Inventory Diversity:** A broad inventory can attract a wider customer base.
– **Customer Contracts:** Long-term rental agreements enhance stability.
– **Insurance and Liability:** Proper coverage is necessary.
Preparation Tips:
– **Financial Records:** Provide detailed rental income and expenses.
– **Maintenance Logs:** Show regular upkeep of rental items.
– **Market Trends:** Highlight growth opportunities in the rental market.