When Bypassing the Dealer to Buy Direct Goes Wrong

There’s a certain allure for customers to buy direct from the manufacturer, but as two recent news stories show — the grass isn’t always greener when customers bypass the dealer. 

Two implement companies — Everything Attachments and Leon’s Manufacturing — have been in the news for not delivering paid for products and long delays. Both are organizations that sell direct to the customer, although Leon's does also sell through dealers. In addition, Everything Attachments appears to be in some legal troubles.

Is there a lesson to share with your customers based on these stories below?

According to a Feb. 21, 2024 report by the Statesville Record & Landmark, a judge has granted a temporary restraining order against the owner of Everything Attachments, a direct to customer implement manufacturer who does all its selling online. The motion was filed after Fidelity Bank sought a restraining order and temporary injunction against the company earlier in the month.

The report says Fidelity is seeking $7,883,293.57 plus interest on a construction loan to be paid in full. Fidelity is also seeking more than $1.5 million due on a line of credit. On top of that, county tax records list the company delinquent on a $52,152 tax bill, according to the paper.