Crate Marine Sales in Keswick filed a proposal for receivership on Friday November 14. The 84-year-old yacht dealership business carries the Carver, Marquis, Regal and Cruisers Yachts brands.
The dealership includes the Keswick, Ontario location as well as its offices in Lagoon City, Ontario and Quebec.
A story posted on the Georgina Advocate reports that a Farber Financial Group document was posted on the door of Crates Marine Sales' Keswick location claiming the receivership is ‘interim' and only affects the Crates Marine Sales segment of the business.
Faber Finacial Group's Rahn Dodick has been appointed the proposal trustee for the Crate Marine Sales file.
To help clarify the situation, the following notice was sent to Boating Ontario by Crate's Lake Country Boats, which has been receiving a large volume of calls and emails since the announcement:
"Weâ€¦want to clarify that this situation does not affect our company in any way,' said Brian, Jason and Dan Crate in the letter. "Crate's Lake Country Boats Inc. in Orillia is independently owned and operated by Brian, Jason and Dan Crate. We are not a subsidiary or related company of Crate Marine Sales. Our company is financially sound, well capitalized and growing steadily. Thank you to all of our friends and associates who have called to express their concern. Despite the events unfolding in Keswick, it is business as usual here in Orillia.'
Crate Belleville Inc. also sent a letter out through Boating Ontario stating that it is independently owned and operated.”I was born and raised in Keswick and worked alongside my family at the Keswick location for many years,” writes Ryan Crate. “I want to make it very clear that although we carry the same last name, Crate Belleville Inc. is independently owned and operated by Ryan Crate with no financial ties to Crate Marine Sales Ltd, Keswick, Ontario.”
With the Toronto International Boat Show on the horizon in January (9 to 18), the question remains as to how this will affect the Carver/Marquis and Cruisers Yachts booths, which annually attract crowds of show goers. "Crate Marine Sales Keswick has applied for bankruptcy protection and they are diligently working on refinancing and getting things back to normal as quickly as possible,' says Bob Spencer, Regional Sales Manager for Cruisers Yachts in Canada. "There will be Cruisers Yachts at the Toronto International Boat Show.'
The announcement of Crate Marine Sales entering receivership also closely follows an announcement by Carver and Marquis President and CEO, Rob Parmentier, that sales for the Carver and Marquis yacht brands were strong at the Fort Lauderdale International Boat Show in early November.
Crate's first came into existence in 1930 when Fred Crate moved his wife and nine children from Toronto to Keswick on the shores to the shores of Cooks Bay at the southern end of Lake Simcoe. Under its original name, F.S. Crate and Sons, the company began as a fishing boat rental business. Over the years the business evolved to offer new services. In the 1940s F.S. Crate and Sons shifted their expertise from fishing boats to launches and cruisers, and in the 50s, the business became a Chris Craft dealer, going on to become the largest dealer in Canada. By 1964 Lloyd Crate had become the sole owner of the company, buying out his other family members and renaming the business Crate Marine Sales. Lloyd Crate passed away in August at the age of 89.