Authors: Golf Buzz
It’s Official – Yes! Golf Is Dead…But Just For Now
If you’re a regular reader of the MyGolfSpy Forum…you already knew that Yes! Golf was in trouble. MyGolfSpy got the exclusive on
the story back in late October. But for those of you that don’t frequent the forum…I am sure this comes as shocking news to you. Yes! Golf had one of the most popular putters not only on Tour but also in stores. YES! Putters had over 60 Tour wins & were played by over 200 tour pros!
So What Went Wrong?
I mean they had some good technology with the C-Groove face…hell Jim Furyk just won the Tour Championship and FedEx Cup with a Yes! Putter just a couple months ago. They had the tour guys playing and winning with it too. So why did yet another popular golf company meet its demise?
Well it is a combination of factors in my opinion. But one of the biggest was they had too many putter models. It’s expensive to go from a small putter company to a big brand putter company. Their business model seemed to follow the Odyssey model closest….where they hoped a buyer would come in after building up the brand and buy them up…but this is high risk/ high reward. There aren’t many Callaway’s anymore buying up putter brands like they did Odyssey years ago. And with the amount of models and overhead for advertising, tour exposure and debt they had it just seemed to be too much for a buyer to come and swoop them up before allowing them to go into Chapter 7 Bankruptcy (as you can see below) where they could almost surely get them for a better deal.
Another issue with brands like this is having big accounts that make up a huge % of your revenue stream…sounds like a good thing right? Well it is often times but when you put a lot of eggs in one basket it can hurt you just as much. Because if one of these big accounts stops taking in your product, goes under themselves or refuses payment on an order like happened with Yes! Golf it can be the club that broke the golfers back.
One client, for example, ordered $1 million worth of putters but refused to take delivery on them. “That left us holding the bag for $1 million worth of product,” said Yes! Golf President Francis Ricci.
- 2008 Losses = $215.942
- 2009 Losses = $1,804,713
- 2010 Losses = $1,248,170
- Amount Owed To Secured Creditors = $668,226.78
- Amount Owed To Unsecured Creditors (Over 200) = $2,000,000+