About Those Rising Interest Rates… Carl Villella It’s true that interest rates have been rising. With inflation at its highest in decades, the Federal Reserve (“the Fed”) had few options but to raise interest rates in its attempt to cool the upward movement of prices. And yet the job market continues strong, indicating the... Read More December 2022 Issue #14281 Page 88
Through Buying, Selling, and Closing Yards, Dealers are Revealing Their Strategies Craig Webb ABC Supply is going to Canada. Lowe’s is leaving it. SRS Distribution continues to diversify. Builders FirstSource is right-sizing its company in advance of America’s expected home-building slump. And US LBM is still hungry for truss plants. These are among some of the strategic... Read More December 2022 Issue #14281 Page 106
Securing Funding in a Rising Interest Rate Economy Carl Villella With interest rates on the rise, it’s important to consider working with funders who are not as quick to increase rates. You need a lender who will help you not squeeze you, in this economic climate or any climate. You need a company that will work with you to do the best they can for... Read More November 2022 Issue #14280 Page 82
Fourth Quarter Arrives with More Questions and Challenges Ahead Lesko Financial Services Team The markets and the economy still face a number of challenges from lingering inflation, ongoing Fed rate hikes, and geopolitical instability. This is playing out within a context of a stock market that has declined—recent gains the exception—even if it has already priced-in a lot of... Read More November 2022 Issue #14280 Page 94
Perseverance and Success in the Components Industry Tracy Roe Having just returned from the best BCMC in almost two decades, I want to share some reflection. Our industry was deemed essential during the pandemic, and we outperformed many other sectors. Demand for wood components continued to stay strong through it all. Today, defeating the odds of... Read More October 2022 Issue #14279 Page 42
Added Value From Your Funding Source Carl Villella It’s important to explore your options when considering the financing of your business equipment. There are a number of financing companies out there, as well as local banks, and it’s likely that the rates and additional interest charges will differ. Do you go with the... Read More October 2022 Issue #14279 Page 86
LBM’s Pace of Deals Hasn’t Slowed But Fewer Yards Are Involved Craig Webb Year-to-date, the construction supply community has had 97 deals made by 50 buyers. At this same point in 2021, Webb Analytics counted 102 deals by 50 buyers. So much for predictions of a slowdown in M&A in 2022. What’s different is the size of the deals: A total of 255 yards have... Read More October 2022 Issue #14279 Page 106
Thirty Years of Helping Clients Like You Carl Villella We all recognize that to survive in business for thirty years is quite an accomplishment. This year, we celebrate our milestone 30th anniversary by reflecting on how we not only survived, but thrived, to make it to this point. Here’s how we did it: By earning your TRUST. While we... Read More September 2022 Issue #14278 Page 39
How to Buy Now While Saving Working Capital Carl Villella Finance Your Purchase Instead of Placing a Lump Deposit The supply chain disruptions in the economy present one of the more difficult aspects facing clients in the current economic environment. Clients are waiting up to one year to receive equipment, when in the past they have only had to... Read More August 2022 Issue #14277 Page 37
How Are Dealers Feeling Today? Positively Nervous Craig Webb Collect dozens of anecdotes from travels, panels, emails, and social media interactions, as I have recently, and three trends emerge to summarize the state of construction supply today: Dealers say demand remains strong, with only marginal easing of supply chain pressures. In contrast,... Read More August 2022 Issue #14277 Page 76