Almost forgotten sawmill

[Peter Drouin]

We all try to do the best you can .But running any business is a crap shoot.  :D :D

[Cedarman]

For those in business, how many times have you beat the check to the bank?
And if the check beats you to the bank, you get to go to the penalty box.  Too many times in the penalty box and you lose the game.

[Magicman]

Often times the business overgrows the market, and with borrowed money, it is disaster.

Whether sawing, selling, or a combination of both, your market is the determining factor that will decide your future.  Not your sawmill or your ability/desire to saw.

[Peter Drouin]

Often times the business overgrows the market, and with borrowed money, it is disaster.

Whether sawing, selling, or a combination of both, your market is the determining factor that will decide your future.  Not your sawmill or your ability/desire to saw.

True, 
And the ability to get LOGS. Without logs you cannot go for more markets.

[Cedarman]

There are 3 things I have to balance.
1  log or material supply
2  processing equipment and labor
3 market
Right now log supply is somewhat of a problem of not enough to keep me happy
I have to turn away a considerable  number of customers since we cannot process fast enough.  This does allow me to raise prices, which allows me to pay more for logs.  So far, paying more for logs has not produced an influx.  My competitors say the same thing.
We could expand and hire more help, but without more logs, that is pointless.

[Ron Wenrich]

Many operations fail because of logs.  Most mills in my area buy standing timber and contract out the logging work.  Those that depend on buying logs can starve.  Even if there is an ample supply of logs in the area. 

[Peter Drouin]

That's one thing i'm doing Monday, go see a logger just started a mile away.
I have 3 loggers now and need more

[StimW]

Do not lay all the blame on the banks.  Lay the majority of the blame on Frank-Dodd banking legislation.  It required banks to drop many of their under and unsecured loans.  They pulled Arky's operating loan, which destroyed his business plan.  I understand because the bank pulled mine, too.  Dave had a plan, and was on his way to achieve it, but the guberment made certain that small town bankers cannot make judgement on the worth of a human being.

The law is/was Dodd-Frank (after the two senators who sponsored it).
I am a dealer for several brands of construction equipment. My biggest supplier with international sales in business for 39 years had a line of credit with their bank and was current with payments. After D-F the bank had to call their note because of reduced federal regulation limits.
The company could not meet the new terms and the bank foreclosed and sold the note to another large Corporation (think spanish bull??). The old company was employee owned and they walked away with nothing! (I was told by a senor employee)
The new company had me fill out a credit app (my credit is PERFECT!!) but because I don't have a Dunn and Bradstreet account they have put me on COD.
That company was about 80% of my business. I was able to change directions and switch to the other companies I am a dealer for and it really hasn't hurt me.
How does that saying go?- I'm from the government and I am here to help you!

[OneWithWood]

The banks had and still have a lot of choices on which loans they call, make or don't make.  The Dodd-Frank bill is just the convenient excuse.  The liquidity requirements can be met in any number of fashions.