Eminent Cycles has filed for Chapter 11 bankruptcy protection so it can restructure its existing shareholder debts.
Eminent Cycles was founded in 2014 by Jeff Soncrant after he found himself unable to find his perfect bike on the market. The Eminent range began with the Haste in 2017
but this was replaced by the Onset
frame that is available with three different travels - ST, MT and LT. The Southern California company mainly ran a direct-to-consumer model but also has a dealer network stocking its bikes too.
A Chapter 11 bankruptcy does not mean that a company will stop trading, instead, it involves a reorganization plan to keep a business alive and pay creditors over time. According to a Bicycle Retailer and Industry News
report, Eminent currently has debts of $1.4 million and assets of $139,000. Those debts include $320,000 to founder Soncrant, $640,000 to Soncrant's father-in-law Humberto Zavaleta and $448,000 owed to Stella Mondo, a company formed by Eminent co-founder Kevin Sigismondo, that is suing Eminent in a collections case.
Eminent has confirmed to Pinkbike that it will continue trading and that the existing ownership will fund the future of the brand. The brand is not expecting any supply interruptions due to the reorganization and it even has a new model coming later this year. The full release from the brand is below.
|As an Investor and Manager, I am committed to the brand, and I remain optimistic about the future of the company. The combination of Covid-19 challenging our sales team to interact with new dealers, and industry-wide supply chain challenges has delayed our profitability, but I expect Eminent Cycles to emerge from restructuring stronger than ever. |
It is our sole intent to continue to innovate through the sharing of new technology, creation of eye-catching designs, and embracing our customers through the bikes we build. Thank you for your continued support and we look forward to seeing you on the trails.—Jeff Soncrant
Statement: Eminent Cycles
Eminent Cycles announces it has voluntarily filed for Chapter 11 restructuring. The restructuring submission allows Eminent Cycles to seek a debt restructuring of its shareholder liabilities to improve its overall financial position.
Eminent Cycles will continue to operate and move forward without any interruption. The company has secured financial funding from existing ownership. Said funding will provide the company with the money it needs to complete reorganization process. The restructuring is solely focused on the existing shareholder debts.
No supply partners will be impacted. Eminent Cycles does not anticipate any supply interruptions during or after the reorganization process. Eminent Cycles remains committed to its dealers, its suppliers and customer satisfaction. This can be seen through the ongoing:
- Supply of bikes and bike components to all dealers and customers
- Investment in the future through new model introductions slated for later this year
- Continued support of all product owners and dealers
It was a huge disappointment and a shame it carried the Lawwill name because that bike was not approved by Mert.
Even if the links are "shorter" with a Horst or twin-short-link design, the total distance is what matters. You could create some wacky design with a dozen links between the front triangle and the rear axle, but that won't make it stiffer due to short links!
What you want is to connect the front to the rear via the shortest total distance, which the Lawwill design does nicely. Something like a Santa Cruz or Propain, among many others, is an example of a long total distance on the "seatstay" pathway. These bikes can still be plenty stiff, it's just not as easy as a design like the Lawwill that connects the dots via a straighter path.
There's one more factor. In the case of a twin-short-link, there are two sets of pivots stacked close to the middle of the bike. Pivots are a vulnerable point and can have a little less stiffness until the axles, bearings, and other pivot hardware are fully loaded. The angular deflection of the wheel may be the same whether the pivots are stacked close to the middle of the bike or moved to the end, Lawwill being the latter, but the distance of the deflection will be less if there length of the frame beyond the flex point is less.
This doesn't mean a Lawwill is automatically stiffer than a twin-short-link, it just means:
1. A shorter total length for the force path makes it easier to reduce the angle and distance of the flex.
2. Shorter members beyond the links (i.e. links pushed out toward the wheels) makes it easier to reduce the distance of the flex.
I’ll try again - it states the co founder is suing the company, thus the financial difficulty.
Nowhere does the article mention supply, not sure why or where you got that from.
@SeanDRC it is not nearly as bad as their previous efforts, but they are still two years behind on Reach. The Stack heights are also ridiculously tall compared to the relatively short Reach measurements.
But they tried to do something really special and I respect them. Eminent on the other side has just an ugly rear linkage.
Either way to my eyes something doesn't look "right" to me in the area above the bottom bracket.
But heavy for a carbon frame, and the knee strikes. I couldn't ride it.
future riches await! bike industry bros, just raking it in.
I guess I'm behind the times. I mean my bike is an ancient 2020 model.
Now...what could it be??....hmmm....wait...wait....I got it! Your frames are hideous!!!