powerplay
 

If a company has filed for chapter 11 bankruptcy how does it have money to build and display boats at a boat show?
The NY show is no cheap venue, how do the people and vendors owed money feel about this?
When a company is in bankruptcy, who gets the deposit money on any sales that are made?
Curious...:crazy:

Tough call. I could understand the frustrations by those owed money. But aren't the chances of getting your money back better if the company can pull through and turn a profit again? Cuz they sure aren't going to get it if they go belly up.

Brian

Not unusual for a company to prepay certain expenses prior to filing. Trade shows & advertisements aren't unusual in this regard. If they didn't pay show orgainizer, they couldn't be in the show. Most prepayments of that type are not refundable, hence can not be recovered as an asset in bankruptcy.

Cutting to the chase, the funds used to prepay the show expense may have been someones deposit on a new boat.

RE ORGANIZATION TYPE---STILL ALLOWS COMPANY TO RUN

Chapter 11 is used by a company to allow it to re-organize its affairs. It can continue to do business either as a debter in possession or via a trustee. It allows the company to get back on the right tract economically and avoid closing its doors. it is probably best for its creditors too....By appearing at the boat show, the company can obviously market its product and help itself come out of bankruptcy.

Question for "TheDonz"...
 

How can it be better for it's(PowerPlay) creditors? Ed

It will allow the company to continue to operate and generate sales. Increasing sales will allow the company to continue to operate with the intent to pay debts and other obligations, if those creditors and customers stick around. Just watch those out of state bank acounts under a different name!

QUOTE by Ed "How can it be better for it's (PowerPlay) creditors? Ed"
Good Question - if the company could not make it during their hey-day of when they had more orders than they could build, how can they do it now with a slightly tighter economy and a greater list of debtors? If there are 6 boats waiting to get built and there is no money to do it, and they go to the show that they paid for with the money to build these boats, then they accept deposits on 2 boats at the show, what happens? Not trashing them, not trying to start arguments, just looking for a REAL answer. What happens? Do the boats ordered get built? or do the first ones waiting in line get built then hope for more deposits to catch up?

Caveat Emptor...
 

"Let the buyer beware"...One buys at his own risk. Ed;)

Ed,AKA Edgar Heinrich, AKA Gar, AKA A**hole,

It's a shame when a disgruntled ex-employee can use this venue to slander.

When are you going to get a life?

Is it true you are working at McDonald's now?:D

Chapter 11 enables them to use the money they have to try to pull themselves out of bankruptcy. It is usually run through a trustee who is supposed to approve all spenditures. It will benefit the creditors IF they are able to pull out. You can believe if they go chapter 7, all the creditors will be screwed. It's kind of like your money is already on the table and you are best off to let it ride, because you'd most likely get zip right now.

That being said, twice companies that owed me money went chapter 11 just to give them more time to hide assets and such, then went chapter 7. Oh yeah, the trustee thing is a joke too.

Hey, I know Gar. He used to work for me, too. He's at McDonald's now?

Bosco...

I purchased a Powrplay from you and Dan a few years ago....was very pleased with the boat and enjoyed working with both of you. Gotta tell you, since you left Powerplay I've been very disappointed in your continually blasting Dan. Whatever gripes or issues you may have are between you guys. It serves no useful purpose to bad mouth him especially since we have no way of knowing where the truth really is. I'm sure you could have gotten your "questions" answered by someone locally rather than using this forum.....that was your purpose wasn't it....or.....as I suspect, you were just trying to put private issues in the public eye. I thought you were better person than that.

Skip

Get one of the lawyer's input on this board, I know there is one on this board that knows bankruptcy and secured transactions. If you are doing business with a company in chapter 11, file , file, file (Article 9 UCC), for creditors. Consumer's ???

I just love it when there is a whirling cauldron of ****! And whomever dips their paddle in and stirs, inevitably gets the **** splashed on themselves! Like Sgt Shultz said: I know nothing! NOTHING!:D

ask em at the show

Aggravation 28 I totally agree with you. It's like a bunch of old ladies in a hair shop!!

Gentleman, I do beg to differ on opinion and expertise, I would hope that after $85,000+ of law school education I might be able to pass the bar exam, and know a little, not a lot, just a little about Chap. 7, 11, 13, and UCC 2, and 9, not much, just a little, and provide some insight to this issue. I guess you are right I am sounding like an old bitty at a beauty shop- enough said! I know nothing is right!

its a shame that people that have left powerplay have
to always bash the company. the bottom line is dan
builds a great boat, he has a new partner now and is
digging his way out of a hole a lot of companies get
into. i have been selling offshore boats since 1985
i was one of the original cigarette dealers and have seen this before. danny will come through this and
frankly after the miami show there will be some
good marketing going on. i will be in the booth to
help him out. i like his boat and his prices when you
compare them to cig or outerlimits both apple to apple
boats