Toggenburg Mountain Sold

While working as a winemaker I would often hear the saying, “If you want to make a million dollars in the wine business start with 10 million”. Owning a ski area is a huge gamble that few brave souls are willing to take on. Many businesses would be happy with a 10% profit margin. If he has a million dollar business that is breaking even he could easily get that 10% by taking out the competition. Insurance and payroll are most likely the biggest costs. Once he grabs the equipment all that’s left is the land which still could be sold. He’d make his money back in 5 years easy. If this helps keep the other places open then that’s good news. A few remaining ski areas are better than none.
 
That's a saying in a lot of businesses. The way I heard it "how do you get to be a millionaire in the ski business? Start out as a billionaire."

John and Marc bought Greek because they wanted it to stay open, not because they thought it was a great way to make money.

Who was the member here who seemed like he also bid for GP? I can't remember.
 
Harvey said:
John and Marc bought Greek because they wanted it to stay open, not because they thought it was a great way to make money.
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It's also worth noting that they never took a cent out of the place, and to my knowledge that still hasn't changed. All monies generated are put back into the hill.
Harvey said:
Who was the member here who seemed like he also bid for GP? I can't remember
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I can't remember either. I don't think his group was actually at the auction, rather they were thinking about it. Could be wrong.
 
That's a good point regarding the value of the grooming equipment and snow guns. $750K may have been a bargain if they can sell or use the balance of the assets quickly. If not, they still have to take care of upkeep, insurance, taxes, utilities, and so on until it's disposed of. Then there's all of the new snow making pipe that the Meyers invested in. I know nothing about pipe value, or if it's worth pulling out.
 
Emily said:
I know nothing about pipe value, or if it's worth pulling out.
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It's new? It is worth pulling out. Especially if you can use it nearby.

Big Tupper has none left, owners were in financial trouble and sold it all.
 
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