- people on the move
Liquidation firm acquires motorcycle maker
A local liquidation firm is planning to help a struggling motorcycle manufacturer get back on the road.
Grand Rapids-based Liquid Asset Partners successfully acquired Wisconsin-based Erik Buell Racing, or EBR Motorcycles, last Thursday and will work to resurrect the company, which ceased operations in April 2015.
Liquid Asset Partners will run a two-part sale process: first, working to secure a buyer with the proper experience, finances and desire to continue manufacturing motorcycles; second, Liquid Asset Partners will sell off EBR’s excess assets in an effort to streamline operations.
“Our sale process will enable the proper exposure of the company and price flexibility that may better fit a new owner to move forward with operations,” Liquid Asset Partners CEO Bill Melvin said. “We believe any plan needs to include the support of the great team of employees of EBR. We will be working closely with management to formulate the plan.”
The sale completes a nine-month process by a court receiver in Wisconsin.
Liquid Asset Partners has experience in the motorcycle industry, working with manufacturers and distributors to sell assets and intellectual property.
In 2004, it completed the liquidation of the Indian Motorcycle Factory and has liquidated the Cannondale Motorcycle Factory in 2002, the American Ironhorse Motorcycle Factory in 2009, the Buell Factory in 2010 and has also assisted with sales of major distributors, dealers and suppliers.
The sale of Erik Buell Racing could take up to one year, and in the event the sale does take some time, Liquid Asset Partners plans to work with the remaining Erik Buell Racing management to streamline the intellectual property, tooling and core manufacturing assets for a potential new owner.
“There are still a lot of options on the table for a new owner to come in and continue making EBRs,” Melvin said. “EBR is not a startup. This is an established brand with a huge following across the globe. With the Internet, motorcyclists everywhere will know this business is still for sale, and we will be open to discussing options.”
Liquid Asset Partners
Founded in 1974, Liquid Asset Partners has worked with banks, retailers, bankruptcy courts, trustees, manufacturers, lenders and investors.
Liquid Asset Partners makes cash purchases or runs commission-based disposition sales in retail, industrial, wholesale, motorsports and equipment.
Erik Buell Racing
Based in East Troy, Wis., Erik Buell Racing is an independent motorcycle maker founded by Erik Buell in 2010, following Harley-Davidson’s cease of operations of the Buell Motorcycle Company in 2009.
In 2014, Erik Buell Racing was involved in a venture with Hero MotoCorp, which ended in a settlement in July 2015.