noobinsf 

He’s calling it the Hail Mary to help with cash flow, and the ask arrived via his email blast. Whatever you think of Grant, I found him personable and helpful when I came across him in the store and asked for advice. I just bought mine...

https://www.rivbike.com/products/hail-mary-store-credit

shelbyfv

Bummer. Cycling hobby would be diminished w/o Riv in the mix, IMO.

CliffordK

It sounds like they have a short-term winter cash flow problem, and a major bill coming due.

Bike Friday has done a couple of things in the last couple of years. They introduced two new products using Kickstarter, getting some hype and pre-orders for those products.

They also decided to sell stocks. Kind of an odd idea, but I think it was designed to support their winter cash flow, and perhaps a major management change.

rshelton

I agree. Whether I use it our not, I just bought a gift card.

merziac

In

bikor 

In. Plus I'd been meaning to pick up a couple of Zefal pumps anyway...

Piff 

Here's another happy to help support.

Aubergine 

Thanks for mentioning this. I bought a few.

bikiola

Anyone else have an issue with essentially giving an interest-free loan to a private company for no reason?

prathmann

Presumably those choosing to do so have a reason - they see a benefit in having that company survive. Similar to those willing to pay more to buy their bicycling supplies from the LBS instead of online.

bikiola

This is a great point and but it is not a interest-free loan. There is a crucial difference here.

bikemig 

No. I have no interest in telling people how they should spend their money.

bikiola

Cool, will you give me 50k interest free and I'll return you 50k in 3 years?

bikemig 

That's a complete non sequitur. To be blunt, I don't give a damn about you and I have no interest in lending you a plugged nickel.

Why would you care that some people like the company and want to buy a store credit to help the company out? I would hope that there more important things in your life to get pissed off at.

bikiola

I'm not pissed at all. I'm merely raising a point about a phenomenon in current business life - from kickstarter to "service plans" to this kind of thing - its about providing working capital, for free, to private entities. I apologize if that observation makes you angry...

bikemig 

lol, it doesn't make me mad. I just can't figure out why you get bothered by what people do with their money. You still haven't even tried to answer that question. Your previous response--that someone willing to give up $10 to Rivendell should be willing to give you $50k--is a way of making fun of those people but it is unresponsive to my question.

Why is this any different than people putting up money for causes they believe in? That's obviously why people are putting up $10 here.

RECfromPA

I think cash flow is an issue at many bike shops, in general.


From the website in noobinsf's message:


We’ve always provided special gear and encouraged any kind of riding that doesn’t require training, conquering nature, or beating others. We’ve designed and made good gear that enables a personal approach, as opposed to a sports-approach, to riding your bike. Going on 24 years.

We’re struggling now, though. Not with design, sourcing, marketing, but with cash flow. That’s always been the monkey on our back, but now it’s more like King Kong.

Bad planning and over-optimism—both my fault—and some unfortunate timing that was out of our control, have created a threat we might not be able to ride out unless we chuck up a Hail Mary that works, so here it is.


We hope two-thirds of you will buy a $10 credit—for $10—to be used whenever you want. And there’s a bonus: A new printed frame and bike catalog will be at the printer by the end of March (it’s too late to pull out now). We’ll print one for every $10 credit sold, plus 250 extras, and we’ll send it with the first order you place after April. Of course we’ll put it online too, so the information will be available to you regardless, but it seems right to offer a paper catalog option for our analog bikes.

Will you, before Monday, buy a $10 credit toward a future purchase and a paper catalog? Just add the "Catalog Cashflow Special" to your cart. You'll receive a code you can use immediately. Onward ho?

-Grant, on behalf of me, Robert, Jenny, Spencer, Mark, Dave, Will, Roman, Corey, Harry, Mary, Vince, and Rich.

VRC

Obviously you do so don't. But people do this every time they buy a "gift card".

bikiola

Its not making fun at all. Say you gave me 50K. I invest it - or gamble it, whatever - and get $150k in 3 years. Then I return your 50K. You've made zero money, in fact lost money, while I've made $100k. That to me is a little ingracious. You are losing money here because during that three years, with a 3% inflation, your $50k you gave me is now 48k...

Other companies that have done similar things - eg Outlier's "upfront" campaign - at least gave a future discount on a product. So. I gave them $200. I "received" $220 back (in credit after a certain date). That makes much more sense to me.

Also, how is different from donation? Thats obvious. Those are companies whose "product" is activism; you're paying for their staff and their advocacy and transportation and whatever, transparently.

bikemig 

Of course it is making fun of people to say that if they are willing to buy a $10 gift card from Rivendell, they are stupid enough to give a complete stranger on the 'Net $50k

By the way, you obviously haven't read the posts here as to why people think Rivendell is worth supporting if you think there is no element of "activism" here.

bikiola

Fair enough. I think gift cards are an insane grift and should come with a warning from the CFPB based on how transparently its a redistribution of wealth to corporations...

bikiola

In fact, I have, and in fact, I've bought more than a few things from Rivbike over the years. Doesn't change my opinion on this.

9volt 

This. And to support the cycling community.

dedhed

I have a problem with others giving my tax dollars interest free to corporations and sports arenas.

gugie 

Back to the main event, I ran down to the savings and loan and deposited some cash, because I like George Bailey, and I think the world is a better place with him around.

Besides, I could use a few things, and decided to spend it there rather than with Mr. Potter.

But really, I've known Grant since before Rivendell, and ridden a few times with him. A friend in need, I have no problem helping out.