What's the big idea?
The big idea is to bring a high-end canoe manufacturing business to Grand Rapids, Michigan. This business designed, manufactured, and sold world class canoes worldwide since 1988. However, after a 2006 acquisition and a poor business model from the parent company, they discontinued production in 2011, and it is now for sale. The plan is to purchase the company and relocate the manufacturing facility from Wisconsin to the banks of the Grand River in Grand Rapids - merging the paddling heritage of the area with the fine craftsmen and craftswomen of the furniture and automobile industries.
Describe the nearest player in your field.
Wenonah Canoe (http://www.wenonah.com), based out of Winona, Minnesota, is the nearest competitor to my business. Potential customers currently choose Wenonah simply due to the lack of my idea in the marketplace. Research indicates a high demand for this brand of canoe to begin manufacturing again.
How are you different from that player?
As the business grows, I plan to: invest into R&D of new construction materials (stronger, lighter, more durable, etc.); develop new hull designs; streamline processes; fully implement lean manufacturing principles; and completely manage the supply chain. The result will be lower consumer costs.
How's the world different with your idea in it?
Jobs - skilled trade jobs in Grand Rapids making world class canoes. There will be a demand in the marketplace for this canoe company to continue production, creating a need for skilled labor. Locating the business in the downtown area, near the Grand River, will create a local and national buzz.
Why are you the one to run with this idea?
I have over ten years of practical experience engineering and managing sophisticated manufacturing processes. Furthermore, I understand the principles of supply chain management. I also have a proven track record of accomplishing difficult goals, but more importantly - I have a passion for paddling.
There have been 6 replies to this idea
Joe Force
I really like this idea. What would you do with the initial $5000? Good luck.
Robert Banfill
Having Grand River access in your company’s back yard is a great idea! Very convenient for testing and showcasing your new canoes. I hear that there is a new movement to restore the “rapids” in “Grand Rapids” (Grand Rapids Whitewater). Seems like the right time to start a canoe company by the river.
Aaron Hauter
Thank you, Joe! A portion of the $5,000 will be dedicated to completion of due diligence… finding out all I can about the state of the business. I have been reviewing the information package I received from my contact there, and now it’s time to get onsite and audit the raw materials inventory and fixed assets. Therefore, there are some travel expenses, as well as fees associated with appraisals. Market analysis and feasibility research will also have some costs tied to it; however, I have been closely associated with the industry for a while, and I have a pretty good feeling about the success of a canoe manufacturing business in this area.
Aaron Hauter
Hello, Robert. Thanks for your reply! I couldn’t agree more. It would be exciting to develop this business in the downtown area and provide a beautiful store front for retail sales. There are currently four whitewater canoes in the product selection, which would be perfect to paddle in that area. I strongly believe moving this business would be good for Grand Rapids - wish me luck!
Mike Hoogeboom
Aaron, Great idea. With the increasing popularity of the canoe races in Newaygo, Grand Rapids makes a great location for a canoe manufacturer. The Voyageurs came from Michigan before they went on to the Mississippi or the Boundary Waters.
Aaron Hauter
Thank you, Mike. Yes, paddling for both sport and recreation is continuing to grow at a rapid pace in Michigan. From my experience, it has been recession proof hobby for most. Unfortunately, I am unable to release the company name, or any of the details of the transaction, to the general public at this point due to a signed non-disclosure agreement; however, I can say you will be amazed at who I am talking with. They are a global supplier, with their top five customers from the last five years in Michigan, New York, Florida, Minnesota, and California. It would put Grand Rapids on the map for canoe enthusiasts and send vibrations through the paddling community like an earth quake. Grand Rapids would be an ideal location to build these beautiful boats, and Grand Rapids is ready. With my lean manufacturing and supply chain management experience, I strongly believe I can reinvent how these canoes are manufactured. Like most things, timing is crucial. My goal is to move cautiously, but expeditiously before another company capitalizes on this deal. Thanks again for your support and wish me luck!
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