Archive for May 4th, 2009

SBA Details New Alternative Loan Criteria

May 4, 2009

Average  After Tax Income Less Than $3 Million? You May Qualify

Two Methods To Figure Eligibility Now Available

The Small Business Administration today clarified its new guidelines for loan guarantees as they apply to small business such as powersports dealers and manufacturers. The alternate company size standards announced May 1, 2009, apply to motorcycle, ATV, and personal watercraft firms. This updates an earlier post  here with additional information.

The SBA has created a second, more liberal, alternate standard for small businesses that couldn’t qualify for an SBA-backed loan under the original standard.

These are not NEW standards, an SBA spokesman told me, they’re alternative standards designed to expand the program to smaller businesses that have been seriously affected by the current economic downturn.

(more…)

Corbin-Pacific Up For Sale

May 4, 2009
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Mike Corbin

Editor’s note: The following info is from Dealernews senior editor Guido Ebert.

Mike Corbin, founder of seat and accessories supplier Corbin-Pacific Inc., has put the company up for sale after 42 years in business.

Corbin says he’s ready to retire and sell Corbin-Pacific for $11.5 million, the company’s headquarters and manufacturing facility in Hollister, Calif., for $7.2 million, and a retailing facility in Daytona Beach, Fla., for $3.2 million. He’s also offering to work with the new owner for up to two years to ensure a successful transition.

The company is listed with a Los Angeles-based sales and acquisitions firm, Business Team.

Visit Dealernews.com for further details of the sale and a candid conversation Dealernews contributor Joe Delmont had with Corbin about how he built the company, how he sees changes in the marketing of motorcycle products, and what he plans to do in retirement.

CPSC Issues Enforcement Stay

May 4, 2009

The Consumer Product Safety Commission (CPSC) said today that its two commissioners had voted May 1, 2009, to hold off enforcing the lead content provision of certain components in kid’s ATV, dirt bikes and snowmobiles for two years. The provisions were part of the Consumer Product Safety Improvement Act (CPSIA) passed last year. The ban on machines for youths 12 and younger became effective Feb. 10, 2009.

This means that the CPSC won’t enforce the ban on the sale of these machines and related parts, garments and accessories, although it’s unclear exactly what impact this action might have for powersports dealers who have not been selling the banned machines or for manufacturers that have stopped producing and selling kid’s machines. The ban still could be enforced by state attorneys general and other local officials.

Many dealers are selling kid’s machines that have been modified to meet the standard or that have been reclassified as being designed for kids aged 12 and older.

Look for more information on this site later today. JD

Contact me with news tips and story ideas
at 952/893-6876 or joe@powersportsupdate.com.