Not defending Mike or his company but I would think the turmoil in the boat business has affected the operations at McCleod. Lack of demand and the fact subcontractors are less likely to take orders on credit or orders that are not paid in full prior to processing (completely the opposite of what standard practices were only a couple years ago) has probably disrupted day to day operations.
Think about his business model from 2005, 500-700 pairs of bolsters could be ordered from boat manufacturers, materials could be ordered on credit and he would only have to pay the labor (his employees) and overhead. Boat companies pay him and he pays off the suppliers then keeps the profit for himself.
Now, MAYBE 50 pairs of bolsters, materials must be paid for C.O.D., overhead is the same as 2005, employee payroll is down. Now is operating at a loss if the overhead stayed the same from the high of 2005......and their is no light at the end of the tunnel!