Re: [Harp-L] B-Radical -- why is it great?

[Arthur Jennings <arturojennings@xxxxxxxxxx>]

Harrison's problem was that he pre-sold hundreds (thousands?) of harmonicas at a price that turned out to be below his cost of production. Dave Payne wrote "The price was set before they actually knew the true cost of making it. I don't think we (I was there at the time) really had a true understanding of that until well into 2010 and the backlog was already there. "

It seems that the plan was to secure enough financing to clear the backlog and then a) raise the price on the B-Radical high enough to secure a profit and b) introduce a cheaper to produce harp to meet demand created by marketing. However, not surprisingly, money people didn't want to back a fledgling company already committed to making and selling hundreds (thousands?) of harmonicas at a substantial loss.



> On Mar 9, 2016, at 4:56 AM, The Iceman <icemanle@xxxxxxx> wrote:
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> -----Original Message-----
> <<From: Joseph Leone <3n037@xxxxxxxxxxx>
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> I think his engineering was ok. I think he was probably let down by suppliers. I heard a rumor that some suppliers delivered parts that were not up to spec. and then wouldn't make good on them. By either replacing them, adjusting them, or giving a refund or credit. His initial contracts were probably too trusting and not iron clad. 
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> smo-joe>>
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> Biggest issue was bank pulling financing rug out from under him.
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