Notice for All...

[makoshark]

Boy this is getting ugly and too frequent these days. These type of frequencies with so many different businesses going under and leaving customers out to dry is going to hurt the remaining companies still in business. I know, now, I'm going to be a lot more careful in the future making internet purchases.

[Tony_SS]

Originally Posted by makoshark

Boy this is getting ugly and too frequent these days. These type of frequencies with so many different businesses going under and leaving customers out to dry is going to hurt the remaining companies still in business. I know, now, I'm going to be a lot more careful in the future making internet purchases.

Exactly, there are countless other vendors that operate with honesty and integrity. It's too bad that a few liars and thieves could ruin that for the rest of the people who are trying to make an honest living.

Travis if you weren't ever the owner you should have never pretended to be it.

[andrewb70]

Originally Posted by Tony_SS

......

Travis if you weren't ever the owner you should have never pretended to be it.

I would like to make a point, but please know that I have never met any of the parties involved, nor have I purchased any products from them. What I am about to say should not be seen as defending anyone.

It is not uncommon for a company to announce new ownership prior to the actual legal standing of "ownership." Many companies do this to facilitate a smooth transition because changing ownership is not like flipping a switch. It is also entirely possible that once a potential buyer digs deeper into the workings of a business, they realize that things are not as they were initially presented to them. Thus, in any deal, be it the sale of a car, house, or business, it is not done, until it is DONE! Intent to purchase is not the same as the act of purchase.

Andrew

[novanutcase]

Originally Posted by andrewb70

I would like to make a point, but please know that I have never met any of the parties involved, nor have I purchased any products from them. What I am about to say should not be seen as defending anyone.

It is not uncommon for a company to announce new ownership prior to the actual legal standing of "ownership." Many companies do this to facilitate a smooth transition because changing ownership is not like flipping a switch. It is also entirely possible that once a potential buyer digs deeper into the workings of a business, they realize that things are not as they were initially presented to them. Thus, in any deal, be it the sale of a car, house, or business, it is not done, until it is DONE! Intent to purchase is not the same as the act of purchase.

Andrew

Most companies that understand how business is SUPPOSED to be will NEVER introduce any change in ownership until it is LEGALLY transfered. Sounds like our boy jumped the gun. I don't have a dog in this fight but it sounds to me that maybe Jon "overstated" some of the virtues of the company and when Travis got in there and was able to really see what was going on he backed out.

My question is why would you even get close to closing a deal and announcing that you are the new owner without having audited the books in a way that would confirm moving on with closing said deal? Obviously the ownership change was done prematurely although there are certain disturbing timeline issues that don't bode well for Jon.

I don't think he intentionally tried to rip people off but then again, when you're drowning, many times you'll cling to whatever just to keep your head above water rationalizing that once you get back on track you'll make good on the deal. Not making excuses for the man but I've seen this scenario play out many times.

Do I think he should pay back every penny that was taken from customers that never received product? Of course, but as mentioned, you can't squeeze blood from a stone. I would hope that if NewGen takes off, I doubt it but if it does, Jon would have the integrity of making good on his debts even if, legally, he is not beholden to them.

Another question I have is where did the money end up? There seems to be some confusion as, supposedly, monies were being deposited into Mr. Hensons account even though the ownership and account transfer had already been done and should have, by Jons own account, been deposited into Driverz's account which, supposedly, had been already transferred into Travis's name. So who got the money? My guess is Travis bought the business from Jon and, after having seen how things really were, decided to pull his money back out and the only way he could do that was to raid the coffers. Who loses? The customers. Why? Because they gave their money to people who don't know how to run a business. JMO.

John

[onevoice]

Originally Posted by novanutcase

Most companies that understand how business is SUPPOSED to be will NEVER introduce any change in ownership until it is LEGALLY transfered. Sounds like our boy jumped the gun. I don't have a dog in this fight but it sounds to me that maybe Jon "overstated" some of the virtues of the company and when Travis got in there and was able to really see what was going on he backed out.

My question is why would you even get close to closing a deal and announcing that you are the new owner without having audited the books in a way that would confirm moving on with closing said deal? Obviously the ownership change was done prematurely although there are certain disturbing timeline issues that don't bode well for Jon.



John

Not trying to defend this fiasco but this just isn't true in the real world. In 1998, Martin Marietta was in the process of buying a division of Northrop Grumman. Obviously both huge companies. All the announcements had been publicly made, even the name was changed on my building, and the whole deal fell through. Big companies occasionally get it wrong, and the small businesses that make up the vendors we deal with are even more susceptible. Doing due diligence on a small business is always somewhat of a crapshoot, because many non-public companies do not have accountants on staff, nor truly audited books. A previous owner could have been hiding things that would not be found until a new owner delved into the actual workings of the business.

[Flash68]

Originally Posted by musclecarjohn

You can say that again...the foundation of this community is very fragile about now.

Completely the opposite... the fat is being trimmed. The foundation here is rock solid.

Originally Posted by novanutcase

My question is why would you even get close to closing a deal and announcing that you are the new owner without having audited the books in a way that would confirm moving on with closing said deal?

That's a reasonable question but these people are kids. Maybe not with respect to age but with respect to any business acumen whatsoever.

And so this unfolding is not that big of a surprise to me.

I do agree with barraza's post about sometimes needing to take over a business before ownership is transferred and the sale consummated. I've done that before and it was a little rocky, but it worked out and was the best way to transition the sale.

But still, these guys just didn't know what the fock they were doing.

[Tony_SS]

Originally Posted by Flash68

Completely the opposite... the fat is being trimmed. The foundation here is rock solid.



That's a reasonable question but these people are kids. Maybe not with respect to age but with respect to any business acumen whatsoever.

And so this unfolding is not that big of a surprise to me.

I do agree with barraza's post about sometimes needing to take over a business before ownership is transferred and the sale consummated. I've done that before and it was a little rocky, but it worked out and was the best way to transition the sale.

But still, these guys just didn't know what the fock they were doing.

I think Jon knew exactly what he was doing... criminals are brazen like that.

[tones2SS]

Originally Posted by musclecarjohn

You can say that again...the foundation of this community is very fragile about now.
To say I'm shocked would be a huge understatement...

Originally Posted by Flash68

Completely the opposite... the fat is being trimmed. The foundation here is rock solid.

I would completely agree with you Dave.

[novanutcase]

Originally Posted by barraza

Not trying to defend this fiasco but this just isn't true in the real world. In 1998, Martin Marietta was in the process of buying a division of Northrop Grumman. Obviously both huge companies. All the announcements had been publicly made, even the name was changed on my building, and the whole deal fell through. Big companies occasionally get it wrong, and the small businesses that make up the vendors we deal with are even more susceptible. Doing due diligence on a small business is always somewhat of a crapshoot, because many non-public companies do not have accountants on staff, nor truly audited books. A previous owner could have been hiding things that would not be found until a new owner delved into the actual workings of the business.

Hmmmm...strange...I've never heard of a company announcing they're the owners until they are but then again I don't know it all so you're probably right. Just doesn't seem sensible to me.

John

[Tony_SS]

Originally Posted by andrewb70

I would like to make a point, but please know that I have never met any of the parties involved, nor have I purchased any products from them. What I am about to say should not be seen as defending anyone.

It is not uncommon for a company to announce new ownership prior to the actual legal standing of "ownership." Many companies do this to facilitate a smooth transition because changing ownership is not like flipping a switch. It is also entirely possible that once a potential buyer digs deeper into the workings of a business, they realize that things are not as they were initially presented to them. Thus, in any deal, be it the sale of a car, house, or business, it is not done, until it is DONE! Intent to purchase is not the same as the act of purchase.

Andrew

"Companies" perhaps, but as two individuals, it sounds like Travis is very green and eager while Jon was being deceitful. His old business partner Justin even passed on the deal! Sounds like Jon was hiding a mountain of debt with outstanding orders in that company and he tried playing hot potato with it. As soon as Travis announced 'ownership' I bet he got flooded with 'where's my order??' calls and bailed. !

I could be wrong... but I doubt either one will set the record straight since the courts are involved now.