High fuel prices = less 4x4 orders

[EMrider]

Originally Posted by daveb

I’m glad I bought my rig when I did even with the fuel prices this year. Wouldn't change a thing. People are freakin out and holding back. I understand this. If this economy would have hit before my purchase I might of made a grave error and missed out on what I have now. But who knows what the future will produce. The way it looks now a SMB seems like a good value if you have the cash. Still it might be kind of a gamble, I'm just glad I've got what I've been able to get with my purchase; Great times.

I have similar feelings about my SMB. IMHO, the enjoyment it provides is well 'worth' the investment made.

My big concern is SMB's viability as a company and I'm surprised this has not come up as a discussion topic already. Or maybe I just missed something. An SMB is a very discretionary purchase and the off-road/RV industry is highly cyclical. These are the sort of companies that are most vulnerable in the sort of deep recession we're having now, no matter how unique their product may be. SMB may need to take some steps to protect itself that may not be popular with owners and employees, but I'm very sympathetic knowing how brutal business conditions are today. When survival is at stake, you do what you have to do. Since they are a private company information is scarce, but I'm hoping they have little or no debt.

Rob

[jage]

I don't know about SMB per se, but the local 4x4 shop that I've had do some of my work is back to booming. Well, it's not quite a $15,000 lift a week like it was 2 years ago, but they definitly have gone back to not having time for the minor work I bring like slapping 9000s (which they did) on my van or making a $50 spacer plate for my new tires (which they didn't, despite my buying the tires through them ).

They also moved into a huge new shop a few months ago. But who knows they could be belly up next week.

[BroncoHauler]

The guy I know in AZ who owns a 4x4 shop say business is definitely down, but he say it's always been very seasonal as well. His biggest time is Spring, as people get their rigs ready for wheeling season, and as people spend their tax refunds.

hmmm... I wonder if I can pay my SMB's DMV renewal fees with the IOU I'm going to get from the state of California instead of a tax refund? If it's good enough for the state to give to me, it should be good enough to give back to the state, right?
Yes, in California, the budget is so bad, they will be issuing IOU's instead of tax refunds. I wonder how much all the corresponding lawsuits will cost the state? OK, I've wandered far off topic.


Herb

[daveb]

Herb I'll put you back on topic a bit. I plan to use my IOU for future additions to my ship if they ever honor it. Probably have SMBW do some work on her.