Many party and event rental operators were having a banner year in 2019 and poised for even more growth in 2020. When the coronavirus (COVID-19) pandemic hit, forcing the cancellation of almost every conceivable event, these operators saw their bottom lines fall out from under them.

Arlin Sorensen, partner and founder, Oak Road Consulting, Harlan, Iowa, who participates in a peer group with Dan Crowley, founder and president, Peer Executive Groups, Coopersburg, Pa., recently highlighted in his “Thoughts from the Farm” blog items that a seller usually has that are “true” or “non-negotiable.”

When Josh Nickell, now American Rental Association (ARA) vice president, equipment segment, was looking to grow his family’s Georgia rental business, Nickell Rental, he didn’t know where the process would take him.

When Matt Mutton was a college junior, he made a major decision. He wanted to take over the family rental business, Mutton Rental Center d/b/a Mutton Party and Tent Rental, Fort Wayne, Ind., from his parents, Bob and Linda, who had started the business in 1985.

When the purchase of an existing rental operation is involved in either getting into or exiting the rental industry, a valuation of the business in question is one of the key ingredients to that process.