Did anyone watch "The Profit" this week?...

[royster13]

The business featured was Artistic Stitch  http://www.cnbc.com/live-tv/the-profit/full-episode/artistic-stitch/345882691507

[bulldog]

I watched it after I saw it in the shoutbox. Was pretty interesting. Made for TV? Or could those two really be so out of touch with reality?

2 million a year in revenue and you have financial problems...ouch.

[Fresh Baked Printing]

The sale guy was pretty worthless.

[GraphicDisorder]

I thought it was interesting. Screen printing and embroidery were only doing 1.3m and they had been around a long time. With it being located in NY I would have suspected larger sales number than that. Really crazy was the rent being 17k a month. I would be curious to a update on that one later on and see if/how it turned around. 

[mooseman]

along the same lines here is a pretty neat calculator site not the least interest of which is a margin calculator.
mooseman

http://www.calculatorsoup.com/calculators/financial/margin-calculator.php

[Mark @ Hurricane Printing]

The sale guy was pretty worthless.

i know...what a joke.....he is just riding the coat tails......a total leak in the payroll...and he is working on commission now...he must be starving.

[Shanarchy]

I haven't seen it yet, but I bought my automatic off of him earlier this year. My friend who went with me to help me disassemble/load it/etc called me on Tuesday, "That guy Sal is on the Profit!!!"

It was a very unique business to say the least.

[bulldog]

Haha no way! So were they getting rid of the auto because they were closing?

[GraphicDisorder]

I would think that with the investor behind it now it would be less likely to fail as that guy probably doesn't like loosing money but if it was really loosing money maybe they are closing it. 

Annual sales of 1.3 mil for a 18 year old business in NY with 17k a month in rent sounds terrible to me.

[mk162]

crap, rent alone is over $200k, and I am sure utilities are crazy as well....

[Shanarchy]

No, they just got a new 10 color sportsman (I think).

It was a very impressive looking place, beautiful building, until you got to the screen print shop which had a leaking roof. It was a very rainy night. There was water leaking from the ceiling into inked screen on manual presses, etc. They used office chairs to cart the shirts around and to load off of.

I'm not bashing the guy in any way, but my immediate thought was spend a couple of bucks down here and you will run more efficient. You can tell in every other area of the business he spared no expense.

His office was just amazing. It is all marble and looks like a sky box.

I'm very interested in seeing this episode as I'd really like to hear the story.

[GraphicDisorder]

Ya the embroidery area and everything else looked really good.  They spent very little time showing the screen print area I assume because it was messy.  All I know is I felt better about our situation after watching that and hearing his numbers. 

[bulldog]

Yeah, all you see of the screen printing is a flash shot of what I assume is now your press.

The front part of the building looked immaculate, over the top.

The idea of the building, as it was presented in the show, is he has an option to buy that building after 5 years I think for 2.5 mil and it would be worth 5 mil or something along those lines. So he was trying to fill up the building with stuff he thought would generate enough revenue to cover his rent until he could cash out. In theory, it was pretty smart...just the execution of it left a bit to be desired.

Hindsight is always 20/20 though!

[GraphicDisorder]

Yeah, all you see of the screen printing is a flash shot of what I assume is now your press.

The front part of the building looked immaculate, over the top.

The idea of the building, as it was presented in the show, is he has an option to buy that building after 5 years I think for 2.5 mil and it would be worth 5 mil or something along those lines. So he was trying to fill up the building with stuff he thought would generate enough revenue to cover his rent until he could cash out. In theory, it was pretty smart...just the execution of it left a bit to be desired.

Hindsight is always 20/20 though!

He lost the right to do that I believe in the show (purchase the building).  Was behind on rent and prop taxes.

[royster13]

He lost the right to do that I believe in the show (purchase the building).  Was behind on rent and prop taxes.

I am pretty sure "The Profit" researched that very well before getting involved....They made it look bad but I am sure Marcus knew there was a way out all along...