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Re: Drag Strip Business Opportunity
[Re: bigdad]
#160414
12/03/08 11:57 AM
12/03/08 11:57 AM
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Joined: Jan 2003
Posts: 19,599
Las Vegas
Al_Alguire
I Live Here
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I Live Here
Joined: Jan 2003
Posts: 19,599
Las Vegas
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I kind of like the shares idea, HOWEVER the possibility of 699 other partners quite frankly scares the heck out of me...Been there done that with partnerships. Heck I used to be a partner is a Comp car, it was only 4 guys and it ended pretty ugly...
However I would not be opposed to buying a place like this and issuing shares to others, while maintaining a majority share. Of course I am not sure it can be made profitable for any of the share holders. One of the largest issues right now is MONEY is extremely tight right now, especially for business ventures.
"I am not ashamed to confess I am ignorant of what I do not know."
"It's never wrong to do the right thing"
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Re: Drag Strip Business Opportunity
[Re: Al_Alguire]
#160415
12/03/08 12:04 PM
12/03/08 12:04 PM
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Joined: Feb 2004
Posts: 35,155
S.E. South Dakota !
bigdad
Still Posting A Lot
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Still Posting A Lot
Joined: Feb 2004
Posts: 35,155
S.E. South Dakota !
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Thats how the Green Bay Packers are ..
I don't think there would be 700 owners either
more like 250 maybe (or less)
Just like buying stocks in any venture on a much smaller scale
Majority rules --2 years everyone wants to sell
it goes ..simple as that really
The lips of fools bring them strife, and their mouths invite a beating.Proverbs 18:6
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Re: Drag Strip Business Opportunity
[Re: Al_Alguire]
#160420
12/03/08 12:41 PM
12/03/08 12:41 PM
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Joined: Apr 2007
Posts: 871
WA 98043
thecarfarmer
super stock
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super stock
Joined: Apr 2007
Posts: 871
WA 98043
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Quote:
Well you have hit on some of the "issues"  Although so far it looks like they are really not going to be issues. The place is kind of isolated surrounded by farms. Gilliam is the closest town and it is relatively close but not much else around. Our guy is trying to get a feel for how the city "fathers" feel about the facility...
Bad news for large events is there is no place nearby to stay really. The pits are fairly small as well..Not sure it can be a big money maker ever but worth a look and maybe a run at it..
That's a real concern. Anybody who's interested should talk to the city/county planning dept; ask what their view is for the future of the area.
My dad bought a commercial building just outside of Seattle for the same price as that dragstrip; has a $6000 payment every month.
Seems that the city planners really want to see a retail establishment instead of a food processor. Even though his business fits the zoning, he's got all kinds of problems with parking, building permits, etc...
People putting in retail stores (which pay more taxes than wholesalers) aren't having these problems w/ the city hall.
If the local municipality is cool, then on to the next issue: why were the previous owners shrinking the business as opposed to growing it? Not saying it can't be turned around, but there has to be a real good plan in place to do so. We're heading into a temporary financial downturn, which will likely be very hard on a thing like a drag strip which lives or dies by peoples' discretionary income.
One more 'buzzkill' point... in the likelihood that this would take more capital to get it profitable, where would the money come from? Getting a group of guys to put the purchase price together really wouldn't be that hard. If it would pay for itself. But, if it loses money, someone's got to foot the bill. Otherwise, all the guys who put up $1000 for a piece of the action lose it when the place gets closed back down due to not being profitable, and then have to sell or be foreclosed upon.
Not trying to bash this idea; I love land, I love business, and I love racing. I think it's a REAL shame whenever a drag strip closes. But IMHO, buying into a business for emotional reasons is a good way to lose money.
Hopefully interested parties will be able to solve these problems and keep a strip open!
-bill
Seduce the attractive, and charm the rest.
******
489 C.I.D., roller cam, aftermarket heads, tunnel ram, stock '54 Dodge rear axle assembly: which of these doesn't belong?
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Re: Drag Strip Business Opportunity
[Re: rt66jim]
#160422
12/03/08 12:46 PM
12/03/08 12:46 PM
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Joined: Apr 2007
Posts: 871
WA 98043
thecarfarmer
super stock
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super stock
Joined: Apr 2007
Posts: 871
WA 98043
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It would give you a built-in count of neighbors who won't snivel about the dragstrip being there when a community starts to build up around it!  -bill
Seduce the attractive, and charm the rest.
******
489 C.I.D., roller cam, aftermarket heads, tunnel ram, stock '54 Dodge rear axle assembly: which of these doesn't belong?
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Re: Drag Strip Business Opportunity
[Re: Al_Alguire]
#160425
12/03/08 02:08 PM
12/03/08 02:08 PM
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Joined: Jul 2008
Posts: 30,632
Florida STAYcation
IcorkSOAK
Financed his waterbed
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Financed his waterbed
Joined: Jul 2008
Posts: 30,632
Florida STAYcation
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Quote:
Well it is 156.98 acres of land. If it is not sold it WILL NOT be re-opening for the foreseeable future. Leasing the facility is NOT an option either, the Wilhite family want it sold as they want/need to focus on their main business. Cant really blame them for that.
THIS is a very unusual attitude ....something does not "smell right" here.
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Re: Drag Strip Business Opportunity
[Re: RodStRace]
#160429
12/03/08 02:56 PM
12/03/08 02:56 PM
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Joined: Feb 2004
Posts: 35,155
S.E. South Dakota !
bigdad
Still Posting A Lot
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Still Posting A Lot
Joined: Feb 2004
Posts: 35,155
S.E. South Dakota !
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Quote:
Bigdad, I remember the other track in east TX on the other site. It also started out okay, but nothing ever went further.
I'm in for 2K, and I've never been as far east as NM!
In the case of Hallsvile track
A few that shall remain nameless ..
Took a offer of $390k to them ( that was asking price of it), it was was tangled in a web of murder, theft, etc
County did not want it to be used as a track, would not issue release of tax debt and so on
it sold on county courthouse to be used I'm told as homes ..
I did not go to auction guy I know did, he said it brought allot more than asking price
Soooooooo ..
There is all I know about it
The lips of fools bring them strife, and their mouths invite a beating.Proverbs 18:6
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Re: Drag Strip Business Opportunity
[Re: HEMIDARTS]
#160432
12/03/08 05:12 PM
12/03/08 05:12 PM
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Joined: Jan 2003
Posts: 2,333
Kalamazoo, MI
StrokedW7
top fuel
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top fuel
Joined: Jan 2003
Posts: 2,333
Kalamazoo, MI
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Quote:
I would be interested under the right terms.
I guess i would like to see what Al and everyone find out. 
I agree... Under the right terms, I would be interested. I would even be willing to review the financials, etc. to determine if it would be a viable option. There are obviously reasons, why they are selling. We would have to make sure that the proper managment team is in place to overcome what ever hurdles may come.
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