Exiting for Millions vs. Long-Term Hold

The businesses had very different characteristics.

And the re. They were highly synergistic together under one factory. Okay. Why? The kayak business added scale to the factory and could be grown. The custom business was very profitable, but only within the context of a factory that operated at scale, meaning, you know, you're running at 80% of capacity.

Okay. If you're running a custom business at 50% of capacity, doesn't matter how much margin you have in your jobs, You're. You're not going to make money. But if you have a factory that's running 80, 90% of capacity and you have the kind of margins that exist in custom, it's very profitable.

Okay.

So the kayak business got us to scale.

Okay.

The custom margins then appeared. Does that make sense?

It does. And it, and it sounds like the. So the, this custom business can't really be looked at on its own.

On its own, it's hard to grow custom. It's really hard to go. The custom business is great in that it has repeat customers.

Like once you have a customer, you have a customer for life. Or until that. Until that part gets obsoleted. As long as they're making whatever they're making, it's really hard to lose that business.

You have a mold, you have expertise, it's in your factory. They don't want to shop it out every year. It's a lot of work for them to do it.