[POE]

https://www.buellmotorcycle.com/models

Their 1190cc power plant is making 185 hp and 101.6 ft-lb and looks to be featured in the 4 models pictured below. They say they are going to release 10 models between now and 2024.

The question is, will Erik Buell find success this time?

[WillMill]

Erik has nothing to do with it this time. He is pursuing electric bikes. This is just another company using his name. There is a good thread on the wera forum about this.

[POE]

Oh, that's interesting they still use his name. Will be interesting to see what happens this time around.

[WillMill]

From what Ive read, it kinda seems like a money laundering scheme, or a tax strategy for a bigger more successful business.

[POE]

So we should expect bankruptcy soon to subsidize big tax write offs for the parent company.

[WillMill]

Who knows what will happen. This is an interesting read though. This kinda makes it sound the company just had a bunch of parts that they bought for cheap, and decided to make a few bikes out of them.

https://www.roadraci...ecord-straight/

[POE]

Very informative article, thanks for finding/sharing that.

[NorthStar]

What makes you think it's a money laundering scheme?

[POE]

NorthStar, on 02 March 2021 - 09:07 PM, said:

What makes you think it's a money laundering scheme?

From what I understand, it's common loop hole for wealthy people/corporations to buy or build "throw away" companies in order to claim bankruptcy, sell assets, and use the loss as a tax write off. I don't know the details of how it all works. Maybe they'll clearance out some Blasts for you to scoop up cheap.

[WillMill]

 NorthStar, on 02 March 2021 - 09:07 PM, said:

What makes you think it's a money laundering scheme?

Because its a successful company trying to operate an unsuccessful company. There is no strong plan in place. One of the models that they plan on building, is a high end hill-climb bike, like really? Seems like the smallest market out there. The numbers just don’t add up to being a great money making investment.

[NorthStar]

That doesn't sound like money laundering.

[ripperd]

POE, on 02 March 2021 - 09:26 PM, said:

From what I understand, it's common loop hole for wealthy people/corporations to buy or build "throw away" companies in order to claim bankruptcy, sell assets, and use the loss as a tax write off. I don't know the details of how it all works. Maybe they'll clearance out some Blasts for you to scoop up cheap.

What you are talking about is not money laundering, its value extraction. IE, like Sears. Take something faltering, then strip and sell off anything of value, paying youself handsomely for the deconstruction, then allowing the remaining ghost of a company to go bankrupt. They don't do it for write offs, they do it to profit.

Write offs don't magically increase your income. Its kinda like how people think about the mortage interest deduction - some folks think that by paying interest on their mortage they are saving $$$ on taxes by being eligable for the deduction. But the reality is the fact that the deduction is less than the interest paid, so you are still worse off than having never paid the interest (from the tax angle anyway).

[WillMill]

The money laundering was more of just a suggestion before I read all of the info on it, kind of a joke. It just doesn’t look like a company that is trying to bring Buell back and make it a successful motorcycle company. It looks like a big business strategy to save, or make a few extra bucks on the side. I would bet that this is just another short venture for the Buell name.

I do know what money laundering is though. And unless this company is into some major illegal activity, its obviously not actual money laundering.

[POE]

POE, on 02 March 2021 - 09:26 PM, said:

loop hole ... tax write off