WHAT WOULD YOU DO IF YOU HAD A CO. THAT YOU KNEW WOULD GO DOWN?greenspun.com : LUSENET : TimeBomb 2000 (Y2000) : One Thread
Here is a very good question?
You have a company that is just staying ahead of wages, taxes,benifits, and have enough profit to stay ahead with min. inventory.
Your IT man comes and tells you that he needs to hire 21 programmers and purchase some new computers and he might get by with $900.000.00 and all your customers are in the minimg industry Coal, Gold, Silver etc.
All this happened in mid 1996 and you are learning that Y2K could turn out to be maybe real nasty 60 % with odds not in your favor according to wall street.
What are you going to do after you have called your bank and they ask if you will be fully compliant by 12-31-99 and submit all your information to that effect. Guranteed compliance , Money, no gurantee no money.
What will be your decision? Struggle along untill the lid blows, look for a way out, You are wondering how many others are in your shoes?
Rummors and heresay is the talk you hear. Make a decision.
-- Lon Brock (Lon1937@aol.com), February 27, 1999
Easy question. Easy answer. Find a buyer. Given 'em a deal. If they ask about Y2K, show 'em your 10-Q. Sell. Cash out. Take early retirement. Move to the country. Let someone else worry about the consequences.
-- Arnie Rimmer (Arnie_Rimmer@usa.net), February 27, 1999.
I know you didn't mean that. Rainy day there, is it? :)
I do own a company which will fail if y2k is anything but a non-event. Not because my company's marginal (in fact, it's stout as bear's breath - no offence, GB), but I really don't know how to answer this question. I have been struggling with it for months. I guess that even though I consider myself a GI, I just can't let go of that last vestige of hope.
And I'm afraid it's too late to try selling out anyway. Try to borrow speculation capital nowadays. Make no mistake, the bankers are slowing becomming GI's, too.
-- Lon Frank (firstname.lastname@example.org), February 27, 1999.
Lon, I work for a small electronic publishing company that employs fewer than 10 people. It is not as solvent as your company. It goes month to month, often times operating in the red -- and this is in "normal" times. What's going to happen in "abnormal" times? Owner and manager don't quite see the severity of y2k problems that I do. I fully expect for the company to fold within the next 12 months. Especially since the company bases a fair share of it's business on the daily receipt of government data. If you have a chance to sell, I'd take it if I were you. I'd also prepare your employees for y2k disruptions.... Good luck!
-- Libby Alexander (email@example.com), February 27, 1999.
Very good point. If you are a GI business owner, and don't think you'll be around, post y2k, then you have a moral obligation to help your employees to prepare, or at least see that they are informed.
As for the situation of an emplayee with a DGI company, sit tight if you have to, and sharpen up your gardening skills.
-- Lon Frank (firstname.lastname@example.org), February 27, 1999.
Lou Brock; Your concerns are morally right,both to yourself and your employees. Depending on how many employess you have, have a company meeting,everyone,open with your concerns and your decisions with your companies not being up and running after Jan 3,. Let your employees talk about the situation openly w/o having any repercussions too them. If you decide to close and sell the company,determine how much you would get for the company. Decide how much money your family will need and then calculate how much each employee would recieve from the sale. That way they would be your friend for life,and know your concerned with their survival. After this situation of Y2K is becoming a thing of the past, you could restart another company if needed,and you would have very loyal employees to work for you. You might be the very first to do it but it's worth considering.
-- Furie (email@example.com), February 27, 1999.
Lon -- Have resigned myself to not having a job soon (fortunately for me it's part time, but other employees rely on it. 3 of them are newly weds and have just started buying houses). Just started some seeds this weekend for a very big garden!!! :-)
With a nod to that great bear -- got canning jars?
-- Libby Alexander (firstname.lastname@example.org), February 28, 1999.
Let's see, now. Sell my company, and give the money to the employees, in order to assure myself of future friends?
Well, that's a thought that in other times would only get you a laugh, at best, and just maybe a visit from the leage on Anti-American Activities.
But we are not living in "other times". We are facing a potential disaster that can disrupt all of our established patterns of thought and of actions. I'm giving you a gold star for compassion, and another one for being able to think outside the box.
Just for the record, I did shut down a venture once, and helped find new positions for all the employees before the paychecks stopped comming. Not only did I keep my friends, I taught my kids (and reassured myself) that people are more important than profits; friends more treasured than finances; and trust, like love, is sacred.
I proved myself right, when a few years later, some of my former employees had the shoe on the other foot, and saved my butt.
Desperate times call for desperate measures, eh? Maybe it's time for unorthodox thinking.
-- Lon Frank (email@example.com), February 28, 1999.
Is it dishonest to sell a lemon to a sucker?? I don't think I'd hesitate, but it is a bit shifty. But hey, that's commerce.
-- humptydumpty (firstname.lastname@example.org), February 28, 1999.
Lon...Good for you that you are thinking of your employees. I own and operate a health care company in the SE. Started in 97 and have about 53 employees at present. ALL of my income comes from the State of South Carolina. Do you think that they will be compliant? Word has it that the state is ranked in the bottom 5 for preparedness. (This came from a state employee friend of mine that should know). What the heck do you do with this? I have some tentative sniffers about buying---If they make anywhere close to a halfway decent offer, I'm gone.
We gave a 15 minute lecture to our people last in-service. Emphasized the possiblities but tried not to panic them. About 10% GI. Those folks I'm trying to help with "advances' and information. I don't ever expect to be paid back (but I'll sleep better). If I do sell, they will still have their jobs with the new company but i'm betting they will continue to prepare. Since about 20% live within 10 miles, maybe it will help this area survive a little longer and again I'll sleep better. Let you know how this works out. Lobo
-- Lobo (Hiding@woods.com), March 02, 1999.
Lon Frank; Thank you for the comments. I try and see other persons problems and suggest options that would be from "other times" but are we not in those "other times now" ??? My address is real ,so keep me informed with your decision, I'd like to know what your employees will say. Good luck to you and your employees. Furie...
-- Furie (email@example.com), March 03, 1999.