This auction might be of interest.

[tomatwark]

This is the remains of my business after we went under at the end of last month

https://www.sweeney-kincaid.com/Sales/S ... aleId=3535

I am not making anything out of this, the creditors will take it all, but there is quite a bit of small stuff that could be if interest to folks on here.

 

[Buckeye]

Sorry to hear about that

 

[woodbutcher2]

+1

 

[AJB Temple]

Very sorry to hear that.

 

[basssound]

Sorry to hear about this, hope you have other work in the pipeline.

 

[jimmy_s]

Sorry to hear this - really sad news.

 

[doctor Bob]

I'm really sorry to hear that.
I think unless you actually run a woodworking business people don't understand the overheads and running costs and the fine line we sometimes tread.
There is some excellent kit there.

 

[Trevanion]

I think unless you actually run a woodworking business people don't understand the overheads and running costs and the fine line we sometimes tread.

I think one of the worst holes you can get yourself into is having a lot of machines on finance. I've seen quite a lot of fresh start-ups bring in a lot of Felder or SCM kit on finance without really having enough guaranteed work down the line or enough reputation to get work and end up going bust within a year because they couldn't keep up with the payments on the machines. I don't think it's a business you can hit the ground running with, it takes years to build up the reputation and workflow so it should take years to build up the kit necessary, not a 30-minute conversation over the phone with a Felder rep. I've seen quite a lot of these liquidation auctions and the one thing most of them have in common is all the kit is usually under 3 years old and looks barely used, which is a bad sign.

There's really not enough profit margin in the job to climb the ladder quickly, the ones I've seen go big quick usually come right back down just as quickly.

 

[Phil Pascoe]

I think unless you actually run a woodworking business people don't understand the overheads and running costs and the fine line we sometimes tread.

I suspect the same can be said for most businesses.

 

[tomatwark]

I think unless you actually run a woodworking business people don't understand the overheads and running costs and the fine line we sometimes tread.

I think one of the worst holes you can get yourself into is having a lot of machines on finance. I've seen quite a lot of fresh start-ups bring in a lot of Felder or SCM kit on finance without really having enough guaranteed work down the line or enough reputation to get work and end up going bust within a year because they couldn't keep up with the payments on the machines. I don't think it's a business you can hit the ground running with, it takes years to build up the reputation and workflow so it should take years to build up the kit necessary, not a 30-minute conversation over the phone with a Felder rep. I've seen quite a lot of these liquidation auctions and the one thing most of them have in common is all the kit is usually under 3 years old and looks barely used, which is a bad sign.

There's really not enough profit margin in the job to climb the ladder quickly, the ones I've seen go big quick usually come right back down just as quickly.

It is also bad business practice to run a business based on assumptions, I thought you were in business based on you other posts.

I have only been in business 13 years, not 3 as you said.

 

[Stanleymonkey]

So sorry to hear about your business.

I hope you and your family are as well as can be in the situation. Best wishes for the future.

 

[Trevanion]

It is also bad business practice to run a business based on assumptions, I thought you were in business based on you other posts.

I have only been in business 13 years, not 3 as you said.

My apologies, I didn't mean yourself when I said 3 years . I was more referencing a local joiner who went from himself and 2 boys in a shed to a large factory environment with 12+ employees, CNC machines and all new kit on finance only to end up back down to himself and 2 boys in a shed after a couple of years, when I asked him about it he said he wasn't making any more money when he was a larger business than when he was running a smaller one and it wasn't worth all the stress and hassle and loss of reputation due to producing lower quality work because of low skilled employees.

I didn't mean to offend with my post!

 

[tomatwark]

It is also bad business practice to run a business based on assumptions, I thought you were in business based on you other posts.

I have only been in business 13 years, not 3 as you said.

My apologies, I didn't mean yourself when I said 3 years . I was more referencing a local joiner who went from himself and 2 boys in a shed to a large factory environment with 12+ employees, CNC machines and all new kit on finance only to end up back down to himself and 2 boys in a shed after a couple of years, when I asked him about it he said he wasn't making any more money when he was a larger business than when he was running a smaller one and it wasn't worth all the stress and hassle and loss of reputation due to producing lower quality work because of low skilled employees.

I didn't mean to offend with my post!

That's OK things are a bit raw just now, I was a bit blunt .
Making the call was the hard bit, as I could of raised the money to carry on, but was not prepared to get in any deeper.
It is the 5 employees I feel for, although some have already got work.

 

[tomatwark]

I'm really sorry to hear that.
I think unless you actually run a woodworking business people don't understand the overheads and running costs and the fine line we sometimes tread.
There is some excellent kit there.

It is Brexit that has killed us, had lots of quotes well over £130k and work planned for the spring into early summer, but the next 3 months there was not going to be enough big stuff, so I decieded to make the call myself as we would not have been able to cover the overheads and I was not prepared to extend things further, and end up having the call made for me.

People are just not committing at the moment up here, it does not help with the SNP ranting on about another referendum either.

 

[tomatwark]

So sorry to hear about your business.

I hope you and your family are as well as can be in the situation. Best wishes for the future.

Thanks for yours and everyone else's good wishes, we will be fine, one of the upsides is that there is more time now to spend with my wife and daughter.

 

[sammy.se]

Very sorry to hear this. You are right that new opportunities open up (like time with the wife and daughter).
The best is yet to come, in whatever you choose to do next.

 

[screwpainting]

I have been there, no one else cares, no one else will save you and yours, no one will give you any credit for trying and you will instantly be forgotten, unless you come into some money.

You are a lucky man, you still have your main wealth intact (wife and kids) and you stopped on your terms by the sound of it.

You have my very best wishes.

Good luck mate.

 

[jimmy_s]

I've noticed it slowing down as well. Our business hasn't been hit as bad as it was in 2008, which was the worst year I have ever been through, this is my 15th year in business. During the start of the financial crisis our turnover dropped significantly. over a 3 month period we went from being busy to having virtually nothing on the books. Turnover dropped to about 30% of the previous year. It was extremely difficult to adjust to the change in income and then having to pay corporation tax etc for the previous year was the icing on the cake.
After the financial crisis I remember it being said that it could take up to 10 years for buisiness to recover. In my line of work it was just starting to get back/ slightly ahead of pre recession levels in 2016/17 but new projectshave certainly slowed down over the 2nd half of 2018 and I can't see this year being any better.
As I said, its terrible news. I hope you are coping ok with it all and everything gets sorted out as best it can.

 

[custard]

I'm so sorry to hear this. If it's any consolation there seems to be a shockwave running through the furniture and custom joinery businesses right now, so unfortunately you're certainly not alone.

I heard last week that Cimitree has just gone bankrupt. They were a business that I had a lot of respect for, one that seemed to have a sensible strategy and was navigating around most of the usual pitfalls.

https://vimeo.com/127909685

The message I'm hearing is that Brexit nervousness is making clients reluctant to finally commit to projects, and lots of businesses I know are really struggling as a consequence. I hope you come through this horrible experience stronger and wiser.

 

[tomatwark]

That is what I am hearing speaking to contacts I have in the trade.

It is time to work for someone else get a steady wage, a pension and spend time with the family.