“Without Simple Commerce Solutions’ assistance, we may not have enacted such a departure from our original business model. Their efforts included:
a) exploring and articulating the various management issues associated with logistics, b) providing the economic analysis (cost savings), c) negotiating the outsourcing agreement, including costs, and d) facilitating the movement from our facilities to the third-party facility.”
PW Brands, LLC designs and sells RV and boat covers, water sports products including wakeboard towers, bimini towers, speakers and lights, fishing boat T-Tops and towable products. These products are sold to consumers via company branded web sites and directly to boat dealers and installers. The Company's web sites are aerialwakeboarding.com, safeguardcovers.com, and strykerttops.com.
PW Brands’ products are manufactured in China, shipped to its warehouse, then sold and shipped via common carrier. The Company’s rapid expansion resulted in operating 3 warehousing facilities in its first full year of operations. Also, the owners were required to assume additional personal liability exposure for the new leases.
The Company projected a more than doubling of revenues and volume over the ensuing twelve months and faced another warehousing expansion – which this time would require a complete termination of its current 3 leases and relocating to a much larger facility (3 times the current space) to accommodate the next year’s growth. This expansion, of course, would result in a tremendous amount of dead cost for the excess space until the Company’s volume grew into the new leased space. Another fixed cost was labor downtime while awaiting shipments in and out of the facilities.
