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Help! Issue with Mcleod Design in MI!!

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Old 05-17-2010, 10:33 PM
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He is NOT working out of the Sunsation factory. And from what I know anything from his daughter is questionable at best. Have someone stop in and check. I just saw him a few weeks ago still peddling and selling... didn't remember me from last yr when I told him his chit was overpriced and marginal
Overpriced and over the top customer service I don't get it I can't treat my customers this way in fact I have been going further over the top these past few weeks to spread the word of great service (not that I have not in the past, just going over the top) to build more business and save for the next boat. Not to mention I quoted a job and got the job done and they asked if the total was the same I was shocked! I said yes I quoted you a price and it stays that way!!!!

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Old 05-18-2010, 07:35 AM
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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!
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Old 05-18-2010, 07:49 AM
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Originally Posted by Jupiter Sunsation View Post
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!
Understood, but why make your customers part of the problem? Simple communication solves most issues. A phone call or email stating that the order is a bit late but still under production would alleviate a problem on the other end. However, if anybody ever asked me to pay for a service in full prior to building the product would just get a "no thanks" from me. It's just an indication that there's problems with that company, been there done that...never again.

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Old 05-18-2010, 08:05 AM
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Originally Posted by Jupiter Sunsation View Post
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!
I too know nothing about Mike or his company's operations but believe his problems are probably worse than your example. He is likely an excellent designer/builder of these seats/interiors.......but a lousy businessman. When his business drops, he doesn't alter his personal finances and soon he's sucking money out of the business to pay for his customary way of life...eventually even the business runs out of money and customers start seeing the effects.

It's unlikely there was any intention of screwing customers, but desperate people do desperate things. When I see someone doing these types of things it suggest to me that they are in deeper than the rest of us realize.
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Old 05-18-2010, 08:06 AM
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Originally Posted by POWERPLAY J View Post
He is NOT working out of the Sunsation factory. And from what I know anything from his daughter is questionable at best. Have someone stop in and check. I just saw him a few weeks ago still peddling and selling... didn't remember me from last yr when I told him his chit was overpriced and marginal
I dont know where his at now ,when I said last I heard that was back in september of 2009,
thats when I got a price for 2 front bolsters for my Powerquest,$6.800.00 Plus the cost of the frames
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Old 05-18-2010, 08:30 AM
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Originally Posted by Jupiter Sunsation View Post
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!
I've met the guy on several occasions. I know how he handled the task of designing the interior for the F-4. Don't be making excuses for him. He's a world class tool.
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Old 05-18-2010, 08:56 AM
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I totally understand how he can fix the customer service issues by simply picking up the phone. In my example I suspect he is the captain of the Titanic right now and he is re-arranging the deck chairs despite the ship taking on water!

Knot

I suspect he may have an "artist" complex being the all knowing designer..... Tough spot to put yourself in for sure. I hope he didn't let go too many key employees that remember how to sew and return phone calls. It could have spawned some new aggressive competition with in-house experience!
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Old 05-18-2010, 09:54 AM
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T500s/Indy

I totally understand how he can fix the customer service issues by simply picking up the phone. In my example I suspect he is the captain of the Titanic right now and he is re-arranging the deck chairs despite the ship taking on water!

Knot

I suspect he may have an "artist" complex being the all knowing designer..... Tough spot to put yourself in for sure. I hope he didn't let go too many key employees that remember how to sew and return phone calls. It could have spawned some new aggressive competition with in-house experience!

We seem to have the same opinion....and I like that Titanic reference, sounds appropriate.
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Old 05-18-2010, 01:54 PM
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Word on the street is that next week may come to quick for this "BOAT" to stay afloat and employees are owed a lot of money. Mike needs to go back to the old days when I (only employee) worked for him doing interiors in a small rented garage back in 1977.

Mike does has a lot of talent ..........but his people and business skills are way off base.
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Old 05-18-2010, 02:51 PM
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Word on the street is that next week may come to quick for this "BOAT" to stay afloat and employees are owed a lot of money. Mike needs to go back to the old days when I (only employee) worked for him doing interiors in a small rented garage back in 1977.

Mike does has a lot of talent ..........but his people and business skills are way off base.
Not good for anyone if this proves to be true, I don't like to start rumors but we have heard this same thing in the past and he is still in business and I hope he pulls out of this and gets things turned around.
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