Harbor Freight Billionaire

[3baygarage]

Just read this article on MSN and thought I'd pass it along for those who haven't seen it.

Nothing much to say other than I've never looked into the store's history.

http://www.msn.com/en-us/money/markets/billionaire-owns-a-beverly-hills-xanadu-thanks-to-dollar50-chainsaws/ar-AAmUFWA?li=BBnb7Kz&ocid=iehp

 

[woody 73]

Darn you beat me to it by seconds...

 

[3baygarage]

That is the first time I have ever beat anyone to Harbor Freight Woody.

You set me up for that one. Anyway with that said, those guys did quite quite well.

 

[tdellenburg]

Those guys are living a life of debt, financed on the backs of their stores. One or two bad quarters and they will fold like a cheap suit and leave their customers holding the bag.

 

[CobraRed]

Those guys are living a life of debt, financed on the backs of their stores. One or two bad quarters and they will fold like a cheap suit and leave their customers holding the bag.

Cheap suits are stiff and difficult to fold, expensive (i.e Super 150's) fold and drape very easily

 

[JR 42]

You can tell the multi-million-dollar estate must be fancy... it has more than one outhouse.

 

[The Tool Tyrant]

I believe Trump could rain on his parade.

 

[tvtaurus]

I believe Trump could rain on his parade.

I can see how a tariff on Chinese imports could really hurt a store like HF. If such a thing does happen it may help bring tool manufacturing back to the US.

I do shop at HF, I had no idea about the owner or history of the company though.

 

[zendriver]

I can see how a tariff on Chinese imports could really hurt a store like HF. If such a thing does happen it may help bring tool manufacturing back to the US.

I do shop at HF, I had no idea about the owner or history of the company though.

They will probably remain just ducky!

Tariff costs are usually passed on to the consumer, which is us.

 

[oldtools]

I can see how a tariff on Chinese imports could really hurt a store like HF. If such a thing does happen it may help bring tool manufacturing back to the US.

I do shop at HF, I had no idea about the owner or history of the company though.

HF will just switch suppliers from China to India.

 

[tvtaurus]

HF will just switch suppliers from China to India.

Probably right. Lowest bidder kind of place.

 

[kythri]

Those guys are living a life of debt, financed on the backs of their stores. One or two bad quarters and they will fold like a cheap suit and leave their customers holding the bag.

Riiiiiiight...

 

[jakemac]

At first I was thinking he screwed his father out of the business, what an a.....e.
Then I read what his father did. The apple doesn't fall far.

The problem with expanding as fast as they are is, eventually the house of cards falls in on itself from its own weight. Just ask the owners of Woodworker's Warehouse, too much too soon.

 

[ex-x-fire]

HF must be doing good, they are building one from the ground up in Sheboygan. I always thought they took over existing buildings to get into an area quick & cheap..

 

[jd_1138]

HF will just switch suppliers from China to India.

Radioactive little people work for cheap.

 

[Empty Pockets]

Whoda thunk that you could get THAT rich selling imports.

 

[Empty Pockets]

At first I was thinking he screwed his father out of the business, what an a.....e.
Then I read what his father did. The apple doesn't fall far.

The problem with expanding as fast as they are is, eventually the house of cards falls in on itself from its own weight. Just ask the owners of Woodworker's Warehouse, too much too soon.

I used to like Woodworker's Warehouse. When they left the market, I have more money in my account, ever since

 

[jakemac]

I used to like Woodworker's Warehouse. When they left the market, I have more money in my account, ever since

Same here. If they had just slowed their roll, they could have stayed solvent and lasted longer. I used to not mind traveling a bit to check them out, but then they started popping up everywhere, like wallet sucking land mines. Next thing I know they're gone, and I was left with withdrawal symptoms and cash in my pocket.

 

[PFSard]

The problem with expanding as fast as they are is, eventually the house of cards falls in on itself from its own weight. Just ask the owners of Woodworker's Warehouse, too much too soon.

How do you perceive Harbor Freight's expansion as a house of cards? I know nothing about its business, nor Woodworker's Warehouse' fate. But I'd be interested in learning more.

 

[gdocktor3]

Ummmm.. If this is true, that's pretty scary...

Since 2016, a new store opens roughly every three days.

 

[Eric29]

I won't be holding my breath.

I believe Trump could rain on his parade.

 

[Franz1.0©]

It's far easier to get $100 standing on the corner and asking everyone going by for a buck than it is to ask each passing person for $100.

 

[LXCam]

What a great business plan. Compile so much dept their financers can't afford to allow them to fold. Then he'll be able to negotiate his debt for pennies on the dollar and restructure the business model. And in the meantime his personal wealth won't be touched.

 

[Roberts210]

Ugh. That's all I can say. Think how many U.S. tool makers this guy has personally put out of business, and how Horror Freight has enriched the ChiCom "Peoples Liberation" Army. Yeah... People's Liberation... don't tell that to the millions of Tibetans who've been euthanized by the PLA.

 

[Tonellin]

Gotta love all the armchair CFOs on a tool forum...stick to tools you grease monkeys

 

[zendriver]

HF must be doing good, they are building one from the ground up in Sheboygan. I always thought they took over existing buildings to get into an area quick & cheap..

They are going main-stream.

Craftsman is out to lunch and people cannot afford Snap On, when they work for minimum wage.

People line up with carts full of tools at HF, for good reason. Same reason they are now offering more "brand names" at higher prices and no 20% off coupon.

We better get the cheap HF prices - while we can.

 

[moron88]

How do you perceive Harbor Freight's expansion as a house of cards? I know nothing about its business, nor Woodworker's Warehouse' fate. But I'd be interested in learning more.

i would assume it'd be a case of market saturation. just look at kmart. used to have 3 here plus the sears at the mall, which was built prior to the buyout. now all we have is sears.

 

[tvtaurus]

I don't even have a sears near me anymore.

 

[Mickey O]

Another reason not to buy that junk.

 

[tvtaurus]

How is sears junk?

 

[Climatecreator]

They will probably remain just ducky!

Tariff costs are usually passed on to the consumer, which is us.

Which will raise prices of tools which will make us go elsewhere..... Especially if buy America makes one feel better when the prices are closer.

Sent from my SM-G930V using Tapatalk

 

[kythri]

How is sears junk?

It's usually better not to engage the COO trolls.

 

[PugetDude]

Gotta love all the armchair CFOs on a tool forum...stick to tools you grease monkeys

 

[dogdog]

Same here. If they had just slowed their roll, they could have stayed solvent and lasted longer. I used to not mind traveling a bit to check them out, but then they started popping up everywhere, like wallet sucking land mines. Next thing I know they're gone, and I was left with withdrawal symptoms and cash in my pocket.

I think they are taking the opportunity to capture the potential void and the expectation of sears leaving the mid-end market... but that is just business. I sense a lot of baseless hater here just because their tools COO same thing with sears.

 

[dogdog]

I believe Trump could rain on his parade.

Only raise the price of tools.... and manufacturing moving to another lower labor cost country to off set the tariff...... because Price point is priority not quality for certain markets. With or without trump, this move had already begun.

 

[dogdog]

Gotta love all the armchair CFOs on a tool forum...stick to tools you grease monkeys

Never knew CFO runs the company....Never knew what they do.... I just think their title sounds cool.

https://en.wikipedia.org/wiki/Chief_financial_officer

 

[jeeper46]

You have to admire the vision and drive that built HF into what it is now. I remember back in the '90s when you would see an ad in the paper for a 3-day tent show in a parking lot somewhere, and there would be all these Chinese tools for sale. Most of it was pretty basic back then-mostly hand tools, and heavy cast-iron stuff like vices. I still have a big swiveling vice and a bench grinder I got at one of those sales.

 

[Empty Pockets]

What a great business plan. Compile so much dept their financers can't afford to allow them to fold. Then he'll be able to negotiate his debt for pennies on the dollar and restructure the business model. And in the meantime his personal wealth won't be touched.

Are we talking sears, Harbor Freight or both?

 

[tvtaurus]

Are we talking sears, Harbor Freight or both?

We are talking harbor freight here.

 

[dkroth]

That's the American Dream right there. Good for him.