This is a public-interest archive. Personal data is pseudonymized and retained under
GDPR Article 89.
[GWL]: Etera
This article was found online at the Seattle Times website by Rose Marie
Nichols-McGee, a member of this list. She shared it with me, and I''m
posting it for your information.
Copyright © 2001 The Seattle Times Company
Business & Technology : Thursday, August 02, 2001
Online plant seller files for bankruptcy
By Tricia Duryee
Seattle Times business reporter
Etera, an online gardening center that operates 23
acres of greenhouses in Mount Vernon, is
searching for a strategic partner to help it
reorganize its finances after filing for Chapter 11
bankruptcy protection last week.
The company, started in 1998 by Carl Loeb, was hurt
in part by a weak year in horticulture and
consequently missed sales projections by more than 50
percent, or $13 million, said interim Chief
Executive Paul Abramowitz, who was brought in to
manage the bankruptcy.
Loeb was unavailable for comment.
The company started as a nursery that grew perennials
and other plants with a patented technology.
The plants are grown in a coconut-fiber pot that
biodegrades when buried.
The other portion of the business was online and
assisted small garden centers with building and
managing a Web site.
"It's a great company," said Jim Francis, who used
Etera's services as owner of the Moongate
Nursery in Redmond. "It went wrong the same way
(failed retailer) Garden.com did. There are
certain things that people won't buy online. I think
plants are one of them."
Francis thought the site was a good deal. Gardeners
could buy Moongate-brand merchandise
through his Web site, but it was Etera that handled
the inventory, billing and shipping. For every
sale, Francis received a percentage off the top, and
Etera got the rest.
Francis said the money he made from Etera's online
services have more than paid for the thousands
of plants he has bought from Etera. He didn't see how
the arrangement could be very profitable for
Etera when it had to foot the costs of finding
vendors, handling the shipping and billing.
"I imagine it's a very thin margin," said Francis,
who retired three years ago from Microsoft as a
software developer.
The number of employees at Etera has trickled down
from 380 employees (including seasonal
workers) to 40, who now water and care for the
plants. In court papers, the company listed the
amount of assets as unknown.
Etera has a long list of creditors. The largest are
trucking companies, including Arctic Express of
Ohio for more than $538,000 and K.J. Transportation
of Philadelphia for more than $481,000,
court papers show.
Since 1998, the company burned through more than $70
million in venture capital, Abramowitz
said. OVP Venture Partners of Kirkland was one of the
investors.
"I'm hoping someone will buy Etera.com and that they
will stick with growing," Francis said. "The
plants are great, and I'd hate to see the
availability disappear because they overextended ... online."
Tricia Duryee can be reached at 206-464-3283 or
tduryee@seattletimes.com.
============================================================
Save up to 80% on inkjet cartridges at 77Colors.com
FREE shipping to the USA & Canada by fast US Priority Mail.
Satisfaction Guaranteed! Easy online shopping & ordering:
http://click.topica.com/caaacUvbUrGSSbVSZwBf/MyInks
============================================================
Pass the word to garden writers, editors publishers, horticultural businesses about our list.
==^================================================================
EASY UNSUBSCRIBE click here: http://topica.com/u/?bUrGSS.bVSZwB
Or send an email To: gardenwriters-unsubscribe@topica.com
This email was sent to: topica.com@spamfodder.com
T O P I C A -- Register now to manage your mail!
http://www.topica.com/partner/tag02/register
==^================================================================
Other Mailing lists |
Author Index |
Date Index |
Subject Index |
Thread Index
