The 7-Year Collapse of an SBA Acquisition

Participating in. Really?

Yeah.

Yeah. And by the Way, it's not like 22 was going well. We were dealing with, with still we were not profitable because of how bad some of these jobs were going that we had drastically underquoted. So I was still like pulling up on the joystick in hopes that things are going to turn around.

And by the way, it's really, it was a tough situation to manage with these massive projects because you're trying to communicate with your customer about when is this thing going to land, when are we going to do this project? Meaning, like when are we going to get the 50% upfront deposit for this? And they're saying, oh yeah, it's going to happen, you know, next month.

And then that month comes around and they don't know and it's somewhere else. The, the purchase order for this is somewhere else off in their organization and it lands on the desk of somebody who's responsible for approving it and they just wait because they're waiting to see what happens. So we had no idea what was coming when.

And especially in 2023, it just changed to this point where it didn't, it didn't make sense to reduce capacity to the point where it would make sense to break even or at least just service debt because had we done that, we never would have been able to do these jobs in the first place, you know, because we were, we were just so understaffed at this point in time and so unsure about what was going…

Okay, so let me make sure I understand. So you're in, it's 2023, you're in the new, the new building and you have more sales. You have too much in sales, right?

The $500,000 in orders a month. But you're holding back some of your capacity because of the uncertainty.

Sorry, I didn't explain that well. So we ended 2022 at that rate. Things probably, and I'm just, I'm guessing at what the number was.

We probably dipped down to three and a half million. We probably look like a three and a half million dollar a year revenue company by the end of 23. So that's significant.

And it wasn't, we weren't, we weren't modulating our capacity. Our customers were holding back on purchase orders because they didn't to want know if they were going to be buying this stuff because they still had tons of inventory. And then let's run a hypothetical, let's say that in with this uncertainty going on, I, as the manager was sitting in the seat, faced with the decision of do I reduce…