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Went in my local tackle supplier yesterday for a few items and was shocked to find that a spool of Seaguar blue label 80lb leader was..... Just under $90... Guess I'll be rigging with mono for big tarpon until the covid crazies quit chewing on our ankles... I can only imagine what boat builders are going through. I'll be needing to re-power next spring and expect to get slapped badly by whatever prices are then... for a simple 90 motor...
 

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I do work in the boat industry doing repairs. And can tell you the price hikes are nuts right now. And it’s on everything including stuff you wouldn’t think about like gloves and acetone. I know supply was so bad. That Fiberlay shut down some/all delivery trucks. So they could run a convoy to CA. So they could get all their supplies off the docks. It all adds up to increase cost for everyone.
 

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Prices are going up.

If you have a build window of a year it's not practical to contact every customer monthly as by the time their build comes the situation will change. So I disagree with that expectation. As their build window get's closer then yes. Which is what it sounds like happened here.

To be clear these impacts have no been linear over the past 18 months. Things have really spikes in the past couple months. Everyone is being challenged. I'd give a little difference to manufactures right now. Just saying....
 

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In December of last year I got a build quote from a skiff manufacturer and put down my deposit. After speaking with the company recently to get a estimated time of completion, which will be another 6-8 months (much longer than originally estimated) I asked if the price of my build quote is still accurate. I was told no, and the updated price is now roughly 15% more than originally quoted. I understand these are unprecedented times and manufacturers have to pay more for parts/motors but is this at the customers expense? If you were getting a skiff built and put down a deposit, should that price be set in stone or should it fluctuate with the current market? Curious to hear what you guys think.
Does not matter what anyone on here thinks, what does your paperwork say? Do not believe that manufacturers are just Willy nilly raising prices for fun of it.
 

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I Love microskiff.com!
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The boat building business, especially the small boat builder/small volume builders, has always been a relatively tight margin game. For the most part, inventory of parts for boats (motors, tabs, jackplates, etc) have been "just in time" inventory. In other words, the builders cannot afford to hold on to inventory waiting on the next build, so they buy the components as needed. Since the 'vid, and the ensuing global supply chain snarls, builders have been challenged getting the parts to finish customer's boats and still maintain profitability. The lights get turned on everyday, the employee payroll still has to get paid, yet the builder isn't able to turn out and deliver completed boats. Component suppliers have in some cases raised prices quarterly and even monthly, based on supply/demand.
In uncertain times, good business sense would be to maintain strong levels of cash and not have it tied up in inventory of parts, but the new business climate is forcing this change. I do know that some of the bigger name skiff builders are buying what they can, both availability and affordability capital wise, just so they can complete and deliver boats and hold a measurable profit margin.
I ordered my skiff right before the whole 'vid lockdown last year. What was expected to be a 7 month wait ended up being right at a year, waiting on a motor, tabs, jackplate, and 3 weeks of total shop shutdown. I feel for you guys going through this right now. Give your builder the benefit of the doubt, they aren't raising prices just because.
 

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Just look around at prices on everything.One can not expect a manufacturer to absorb the increases we are seeing today.
I am having a house built and it is in the contract that a price increase may occur along with possible delays because of all the crap w/ Covid,supply chain, and the government getting in the middle of everything.
And, in your case the price of oil is the killer and that is the result of this administration.
I'm a commercial builder and pricing projects right now is nerve-wracking. Some pricing I get is good for 24 hrs. Labor is unavailable, the supply chain is fragmented, demand is unprecedented, and structuring contracts to protect myself is almost impossible. I thought about telling my clients that their project, just like lobster, would be market price. With some products tripling in price, without warning, I can't afford to absorb the unanticipated price increases. Luckily most of my clients are repeat customers, and being in business themselves are facing the same challenges and understand the situation.
 

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Being in the industrial space I'm facing many of the same issues, however when I give quotes with expected delivery dates to customers, I account for the increased demand and potential increase in goods costing with forecasting(as best I can). If the project is too far out to accurately forcast, I tell them that up front before any deposit is made and give them a date in which I can give them an accurate quote. Many of these customers have an allocated budget just like normal buyers do and would be lost business as well as potential blows to reputation if I were to change their quote half way through the process. Just my 2 cents.

Agreed with above about the garbage ruining this country as well...
 

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If you expect businesses to stay in business you have to understand economics. Things cost money, when they are scarce the cost goes up. You can’t expect to get gas for $1.50 right now either.

I’ll help everyone out here...you better fish and enjoy the recreational activities while you can because it’s not getting better any time soon, the mail in president has done all this in nine months so buckle up.
 

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I know personally that materials have gone up and just increased another 5% first of October. Core for me has went up $20 a sheet in 6 months and a 5 gallon bucket of poly resin has went up $36. I cant even tell you the crap shoot for hardware. I would try and talk with your builder if the funds just arent there and see if there is an option to maybe leave off a bolt on item or something to get your price in line. Sorry to hear this sir
 

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@Mike Haydon is correct. I recently priced out the same Carbon-Core PVC sheets I bought 2-3 years ago and they went up $30/sheet. The nitrile gloves I used went from $20/pack to $47/per and they have been out of stock for a few months. I'm not even going to look into glass and resins, so my next project is probably not even going to start for at least 2 years.

I know many production builders have raised their 2021 pricing by 5% and I've heard on multiple platforms that some of them raised them another 8% for 2022. Shortages aren't even supposed to be at the worst point yet...
 

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If you expect businesses to stay in business you have to understand economics. Things cost money, when they are scarce the cost goes up. You can’t expect to get gas for $1.50 right now either.

I’ll help everyone out here...you better fish and enjoy the recreational activities while you can because it’s not getting better any time soon, the mail in president has done all this in nine months so buckle up.
@Mike Haydon is correct. I recently priced out the same Carbon-Core PVC sheets I bought 2-3 years ago and they went up $30/sheet. The nitrile gloves I used went from $20/pack to $47/per and they have been out of stock for a few months. I'm not even going to look into glass and resins, so my next project is probably not even going to start for at least 2 years.

I know many production builders have raised their 2021 pricing by 5% and I've heard on multiple platforms that some of them raised them another 8% for 2022. Shortages aren't even supposed to be at the worst point yet...
I would think that most people can handle 5%!
 

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I would think that most people can handle 5%!
I hope anyone looking to purchase a new boat would be able to handle 5%. However, 5% on a skiff, is significantly different than 5% on a bay or offshore boat.

5% + 8% = 13%
For round numbers, $50K boat that now costs 5% more is now $52,500. No big deal... While you're waiting on the build slot in line, 2022 pricing adds another 8%. $52,500 boat now costs $56,700 and your splash date continually gets pushed back because of material shortages. Companies that are already 15-18 months out, put you at risk of 2023 pricing (whatever that is?)
 

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I hope anyone looking to purchase a new boat would be able to handle 5%. However, 5% on a skiff, is significantly different than 5% on a bay or offshore boat.

5% + 8% = 13%
For round numbers, $50K boat that now costs 5% more is now $52,500. No big deal... While you're waiting on the build slot in line, 2022 pricing adds another 8%. $52,500 boat now costs $56,700 and your splash date continually gets pushed back because of material shortages. Companies that are already 15-18 months out, put you at risk of 2023 pricing (whatever that is?)
Agreed! I was just thinking Microskiffs! Maybe these pricing increases will result in less boat ownership and thus less people pounding the fisheries.
 

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I’m a custom home builder. It’s the same deal, if only a few more zeroes and a lot more months


This is pretty standard, and yes, rises in costs are a customer risk/expense.

I am going through the same thing. I put my deposit in last August with an 8 month delivery estimate and my boat is just under construction.

My builder was very fair with their handling of additional costs, but costs did rise
 
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So what happens when costs go down? Inevitably there are floods of goods to market in waves especially in our current situation, think lumber and PVC. Do we go back to our customers and tell them that the quote they had reviewed is now actually less? That they are now actually going to be paying less than what they originally planned on? I dont think I've ever seen that happen. It's hard to have your cake and eat it too. It's not feasible to let the customer assume all the risk, atleast in my industry. Again just my opinion and how I like to do business.
 

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So what happens when costs go down? Inevitably there are floods of goods to market in waves especially in our current situation, think lumber and PVC. Do we go back to our customers and tell them that the quote they had reviewed is now actually less? That they are now actually going to be paying less than what they originally planned on? I dont think I've ever seen that happen. It's hard to have your cake and eat it too. It's not feasible to let the customer assume all the risk, atleast in my industry. Again just my opinion and how I like to do business.

Yes, if I have a cost-plus contract and the price of something drops, they pay less. Fair's fair.
 

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It all comes down to the type of contract and I've never seen a small tradesman with an adequality written contract. FWIW, I'm involved with $$$$ contracts between major corporations, as well as the federal government. You will likely never see an adequately written contract in consumer boat building at this price point or any other trades (home renovations for example) for that matter. Without getting into a lengthy discussion of the types of contracts, bottom line is....

A signed build sheet indicating a total price due and a paid deposit would most certainly constitute a contract in any court of law.... but you have to go to court, or proceed down that path, in order to enforce it and since it's so poorly written you never know how it's going to go. Even if you supply a well written contract, the builder will look at you like you're crazy for wanting him to sign it and will simply refuse and move onto the next guy in line. About the best you can realistically hope for is a refund of your deposit and starting over a square 1.
 

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If you ordered it Sept 2020 then Covid was pretty well set in at that point. Most contract law isn't going to allow changes due to covid as a force majeure if the business engaged after it was a daily fact of life.

There is inherent risk in running a business, we have gotten zero leeway contractually due to COVID. I would say if you have a contract the fact of the matter is it would have been the manufacturers responsibility to buy their materials when they contract. Its easily done and protects them from uncertainty. I just won a project last week that starts April 15 and I have ordered and signed contracts for everything already.

If its a financial burden for you I would bulk. If its not and you like being a reasonable person I would just leave it. I would do the latter.
 
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