Factory Five Ownership Change

[Dave Smith]

http://www.factoryfive.com/wp-content/uploads/2011/09/daveandkids.jpg

Over the past 15 years I have had the frequent honor of bringing important news of the company to all of you. This past week I’ve spent some time looking back over our website archives and remembering so many Factory Five milestones and adventures with good friends since 1995. I was humbled by the sheer volume AND depth of the life stories that this company has been a part of! Mostly though, I was honored to have been at the helm and to have been the person whose job it is to tell the story, break the news, or attempt to put into words an important event in our shared journey.

This morning, I have yet another story to tell you about. I am happy to report to you that as of last Thursday, January 19, 2012 I have purchased the company in its entirety from my brother Mark. To me, it is deeply meaningful to know that I own this company outright and am finally able to share that ownership with the people who deserve it the most and who have done the heavy lifting of building the company. To many of you it won’t seem like much has changed right away, but the real effects will be huge and noticed soon enough.

The truth is that Mark had not worked at, or been an active part of the company since 2001. Although it was tough and it took a while to reach an agreement, the buy-out was good for both of us. It gives Mark the ability to follow his own path and it allows me to do what I love and to use a greater percentage of the company revenues to accelerate new products, reward the crew, and focus on ways to bring the Factory Five experience to more people.

I have been the President of this company since it began and I have worked here for six days a week for over 15 years. In that time, I have learned much about business and even more about what is important to me personally. The freedom to do something I truly love for a career has been, and is immensely valuable to me. Even more though, the chance to work with such great, intelligent, kind and decent people as the crew here at FFR is really such a pleasure.

I have been witness to so many great stories and I understand the special way this company and community of Factory Five owners has affected people’s lives. I have also been fortunate to have made great friendships along the way… friendships I wouldn’t trade for any amount of money.

While I want the company to be financially successful, and I believe the future will be more profitable than ever… I want even more, for the company to continue to fulfill its true charter of making a difference in people’s lives and, thru the medium of these cars, bring people together.

To me, Factory Five Racing is an amazing story that has been, and continues to be, literally BUILT by all of us. I am excited that the company, now with a single clear vision, has a better chance to grow and in so doing, build more great stories along the way.

My brother leaves with our thanks for his contributions in the early days and our best wishes. The road ahead for Factory Five is more exciting than I could ever have dreamed. The weight and responsibility to make the company even better is tremendous, but it is a familiar weight, and I shoulder it well. I promise to build on the strong foundation of our past, but also to bring the company forward into an exciting new chapter where the best stories have yet to be written.

David Smith
President

[bradley_norris]

Congratulations Dave. I have the utmost respect for Factory Five and what you have accomplished. I speak of your company often in my classes at Baylor.

May God bless this new chapter,

Bradley Norris

[FFRSpec72]

Congrats, I'm glad to hear what the company means to you, family and employees and how that will carry into the future. I hope you continue to focus on the R&D aspect relative to racing.

[skullandbones]

X2 on the congratulations!! I too have discussed FFR's examples of customer service and process excellence in many Quality Circle events. At first, I thought you were a little over the top but I changed my mind quickly. I know that you are for real. I believe if you were cut you would bleed FFR fluid! Wishing you and yours the best for the future! Nice pic. WEK.

[Joe]

Congrats Dave. I'm sure this is a lingering weight off of your shoulders. I can't say that I know the dynamics of your relationship with your brother, but I can only imagine and read between the lines of your post. If there have been "issues" over the past few years, I hope that you guys can now put all of that behind you and move forward in a positive brotherly way. I know that you firmly believe that family is extremely important, so hopefully this buy-out will make it all a little easier for you guys. Once again CONGRATS Mr. President / Sole Owner of Factory Five Racing Inc.!

[Someday I Suppose]

Dave, congratulations, a very exciting time for Factory Five, look forward to the future...

-Scott

[dbjr63]

Congratulations Dave. from a future customer.

[Dave Smith]

My biggest concern right now is to get back in the game! I've been almost completely waylaid with all these buy-out matters. Mark is happy and we have a path forward that is good for everyone. This will allow for some better Smith family Turkey days for sure.

I've got nearly a hundred PM's, emails, and texts so I'm just focusing on catching up and relieved to see that the staff here has taken up my slack during the buy-out these past few months. If I haven't called you back or replied to a message, hopefully you know why. I've got some cool ideas for Moochfest and I need to spend the rest of the week on the phone thanking people and catching up. I HAVE to update the 818 forum and 1000 other things... For now, I wanted everyone to know what happened and how grateful I am to have this job!

[Kempo]

Huge congrats Dave. I'm sure the future will be even brighter for you and FFR. Keep up the good work and thanks for making possible for many of us to own this amazing cars.

[David Hodgkins]

Thank you Dave, most of all, for your continued commitment to this venture by not selling out, and reminding us all that the number one componant of a winning venture is continued commitment to the cause. Your unfailing dedication to your company - and by extension, this community - is a gold standard for the rest of the business owners out there to strive for. If only all the other CEO's of our great country were as committed as you are to the values contained in the phrase "Made in the USA", I'm sure we as a nation would be stronger today than the USA we remember from our youth.

:)

[The Stig]

Congratulations Dave!

I know that this takes a ton of weight and pressure off of you. I'm glad to hear that everything worked out; not just for you and the company, but for Mark as well.

Looking forward to what lies ahead for you and Factory Five. Because you've demonstrated over and over how that translates to your customers / friends.

Take care, Take a deep breath, and Catch a nice wave, and enjoy! :cool:


Mike

[Dave Smith]

Guys, Thanks for the kind words.

DAve H: I'm really looking forward to HB this year! YOU are on my list to get back to. I am very sorry that I have not been available and havent returned your calls. Bang me a call on my cell when you have time and I'll make sure to get back to work.

Oh yeah, congrats on the one year anniversary of the new forum next month! HUGE FUN coming this way!

[AC Bill]

Dave, best wishes for your continued success!
Great to hear that you are now free to move forward in whatever direction "you" choose. If it wasn't for your outstanding commitment to FFR the past years, many of us would not have been able to fulfill our dreams. Three cheers!

Bill

[Ray]

Dave,

I know how much this means to you and your family. Congratulations on yet another milestone.

Ray

[289_FIA]

Dave, All my best and REALLY looking forward to HB this year. It's been a year since i have seen these folks and Pete & I are really looking forward to it.

Mike

[cmsu]

I remember meeting you and your brother and Jesper at one of your first Carlisle events (I owned a different brand back then), then the three of you again at the original Factory where Jesper took us for a test ride in his Turbo Roadster (yep that long ago I started considering the purchase) and I recently met you again in '09 when I picked up my Mark3.1 Roadster and I have to say your love for what you do has not diminished at all, if anything (and I did not think it was possible) it has intensified, I love your spirit and the verve and excitement with which you speak of the Company, your job and your immediate and extended families (your employees and the community)........................ here's to 100 more years of success

[Mike N]

Congratulations on a very well deserved milestone. You deserve to savor the satisfaction of your achievements. OK that's long enough, now back to work. :p

From a personal perspective you have enabled me to realize a lifelong dream of building my own car. The fact that it is designed and built in the US just makes it even better. Thanks a million for doing what you do for us lowly gearheads.

[Ti22 Media]

Dave,

Congrats, I know how hard you work and having full control must feel great. You are SOLID in business and life, you have build a great company and a great team. Cheers to the new owner and an even brighter future for Factory Five. Seems like yesterday when you told me you were leaving DavStar and So Cal and starting a kit car company, who would have thought you would revolutionize the kit car world.

Greg

[Avalanche325]

Dave,

I have officially been a Factory Five customer for 11 days now. I thought about it for 9 years! What a great experience it has been getting my MKIV ordered and delivered (in the Factory Five truck for an extra thrill!).

I hope being sole owner helps you fulfill your dreams and take the company to even more successes. You and the Factory Five team are certainly helping a lot of us reach ours. I feel secure with my Factory Five product and ongoing support with someone as passonate as you at the helm, and now as full owner.

Chris

[QSL]

maybe you can work on making a GT40 complete kit now! Thats the next one on our list!!!

[jpl]

Dave:

Congratulations on the new venture, hope this will work for years to come.

JPL
Jim Limbach
Athens Al.

[kabacj]

Rock on Dave!

Wonderful news.

Its great for us all that you have the reigns. I am looking forward to the results.

John

[NicksPapaw]

The next time there is a state of the union address by a president, your company should be held as the gold standard for what America needs today. Congratulations on a sucessful buyout and more importantly on keeping your family intact through it all. That says a lot about the Smith brothers. Now, Mr. President of Factory Five, get out there and finish that 818......:)

[mrmustang]

Dave,

Congratulations to you, your family, and your FFR crew. Can't wait to see the new products now that the gloves are off.


Sincerely,

Bill S.

[RonnieP]

Hi Dave,
Congratulations. Thanks for sharing what I think could have been personal.It's great to see someone in business
so honest and open minded.Step back and take a deep breathe .May Factory Five continue to be successful in what
ever goals you strive for. As I showed you in Charlotte That is why I have a Factory Five emblem on my Roadster.
thanks RPH

[Jeff Collins]

Great news Dave, I'm sure it is a huge relief. Thanks for sharing with us. It will be OK with all of us if you take off Saturday, but be on time Monday!

[David]

Dave,

Just a huge congrats from Mary and I. I know its been a long time coming, but my hope for you is that it brings with it the other things we've often discussed.

Take care friend!

David and Mary

[Kalstar]

Congrats Dave, now both of you have the freedom to move forward...... On to the next chapter of your life.

[PaulW]

I can't add much to what has already been said but for a guy who dreamed of owning one of these cars for over 24 years I must say that you made the dream come true. That Friday morning last April when I walked through the door practically vibrating and you looked up from a video that you were watching and invited me over to watch as if I was just part of the gang meant so much. You toured us personally through the factory and asked me a lot of questions about my plans. You asked me if I had ever ridden in one of these cars and when I said "No" you immediately grabbed the keys to your coupe and took me for a ride punctuated with all those donuts in front of the shop. I felt important and it was because of you and all the other folks that were there. I plan to drive the car (in gel-coat) back to Wareham this year for the open house and I can't wait!

Thank you Dave from one happy Canuck.

[first time builder]

Congrats Dave, I'm glad the Smith family was able to resolve its issues. From a person that has been in business I can attest to the fact that a partner is a very difficult thing and a family member partner is even more difficult. Keep Factory Five going in the same direction you have pointed it in and you will prosper !!! I have only met you once at an open house but just that (and of course building a Mk III) made FFR seem like family.!

Kenny

[timp2]

Your company has done so well that it is hard to believe that it can be better. It must feel great to have created the benchmark for the industry. Keep making a great product and treat people fairly as you have in the past. I am very happy for you and your crew, congratulations.

[Fluge]

Someday I hope to meet the man partially responsible for providing me with such a great distractor (from the pressures of work). I always get a good feeling when I hear of FFR achievements...particularly from Dave himself.

Congratulations!

Marc

[WIS89]

Dave-

Sincere congratulations on an awesome milestone! I know how many challenges you had to overcome to get here, and I can only imagine the myriad feelings you must be experiencing.

My best wishes for nothing but extraordinary success in all ways to you, your family, and your team! I feel fortunate to know you, and that's a fact!

Best of everything going forward, and let me know what I can do to help!

Regards,

Steve

[Mark Dougherty]

Congrats Dave

[Tim Potts]

Congratulations Dave, When I bought my first Factory Five I liked that it was a young company started by two brothers. I liked the early VHS promo tapes with the "out takes" and the sibling ribbing. I enjoyed the story of John Smith the Blacksmith and his six sons working together. From what I have seen you have done a great job but I must say that this news saddens me some.

[AJ Roadster NJ]

Great news for you Dave, and I think great news for us customers as well. Each of us a very serious amount of money into this game, it's not like we're buying a bike from Sears for crying out loud (ha ha, some of you will get that reference to the old days). So it is really nice to know that this company that we have established such close ties with is really, really well cared for.

Enjoy the ride, man, you're livin' the life.

AJ

[Arrowhead]

Congradulations Dave, Mark and the FFR crew!! You guys are AWESOME and being part of the FFR community has been one of the best experiances of my life. I've met some awesome people and made a lot of new friends all thanks to FFR.

[Colonist]

For now, I wanted everyone to know what happened and how grateful I am to have this job!

Dave, lots of us are also grateful that you have this job! Glad to hear everything is settled and that you can upshift and get things really rolling "your way."

[Movieman]

Can't say how happy I am for you.
Being in business with a family member can be a trying exercise.
Best of luck and does this mean the next time I come down you won't have that cell phone welded to your ear?
LMAO!.. Yes, I am teasing..:p

[keys2heaven]

Congrats....now, Gentlemen....Start your engines!

[BrandonDrums]

Does this mean you won't be running for President of the United States this election? I was really hoping to see you on the ballot...

Seriously though, congrats Dave! I can't wait to see what you all at FFR do in 2012!

[Wt4Go]

Way to go! Step back, take a breath, have a beer and...... GET BACK TO WORK!! Seriously, congrats.
Jim

[Randy Jones]

Dave,

Simply outstanding! That has been a long time coming and I can't tell you how glad we are that it's all done.

:beer: to you man!

R

[NICK C]

Congrats from Oklahoma. My family and I wish you well in your continued success in this wonderful company. I pray that any stress on family has been minimal and your relationship with your brother holds strong. God bless you and yours. Nick C.

[fact5racer]

Glad that this is finally over. I thought that was you I saw last month on "The Shark Tank"! :=))))) Does that mean I can come down and start working on MY office?

[oldguy668]

Does that mean I can come down and start working on MY office?

NO! It means you have to buy your next ten kits from Mark. Dave decided to throw you into the deal.

[fact5racer]

NO! It means you have to buy your next ten kits from Mark. Dave decided to throw you into the deal.


It's bad enough that the Soviets made the stipulation of me leaving the ARMY part of the SALT treaty with President Reagan,

now I get transfered to Smyth Performance?

[John Dol]

Dave,

Congrats on the sole ownership of FFR. When my son and I came to visit the showroom in search of inspiration to purchase a coupe you let us back stage to see the proto type larry. My son still talks about that at times. Your strong family ties have created a company that owns it's existance to the family atmosphere created between all the builders. Ultimatley we are all responsible for each others succes in completing these awesome kits.
Keep moving forward as you have in the past, cause standing still is going backwards. I think the 818 is going to be another succesfull chapter in the FFR book.

John

P.S. even though I did not purchase my kit directly from FFR they still let me purchase the rear glass window for the introductory price. Just got the call it's in, gotta go get it.

[austinsnake]

Congrats Dave. Must be quite a relief and motivator for what is to come next.

Still moving forward on FFR5818 here in Austin, as life allows, and the project continues to be a very positive influence in my life...thanks to you and the crew at FFR.

Looking forward to whatever comes next from FFR!


Brian

[LuckyWinner]

Congrats Dave. Now you can focus on what you love and Mark can center his focus on the projects he loves. It worked out best for both of you and I am very happy for you. I know how much this company means to you. Best Wishes Big Dave

[Dave Smith]

Thanks guys for the kind words. I wish Mark all the best with whatever direction he chooses... My path is set and my job is to continue to build Factory Five, continue to try and do something better every day, continue to be grateful for the best job in the world and continue to act, work, teach and lead this company understanding that the person who walks thru the front door is our boss and we exist only thru his or her support. I'll write the book of this company someday, but not now... We're not even half way thru and the chapters we are starting to write today will be some of the best. Thanks again for the job and kindness.

[John Tongish]

Dave,
Congratulations becoming the undisputed "benevolent dictator" of Factory Five. I cannot imagine a more appropriate dictator than you. And thank you for letting me play in your sandbox with my Yellow One. My last five years building, showing, cruising, and racing my MKIII have been more fun than a retired architect should be allowed to have. I am looking forward to more years of great memories with my car and the next phase of FFR's achievements.
John Tongish
7676

[Vman7]

Congrats Dave ! :), Future looks bright for you and FFR, might have to wear shades....


http://youtu.be/2UMUSxBZhjA

[ehansen007]

Congrats Dave. Looking forward to celebrating with you in HB!

[ddorrer]

Just remember one thing Dave...Companies come and go, grow and shrink, merge and are sold, but family never goes away. Your kids are only small once and your brother was there before the company. Congratulations.

[Movieman]

Just remember one thing Dave...Companies come and go, grow and shrink, merge and are sold, but family never goes away. Your kids are only small once and your brother was there before the company. Congratulations.

I agree on the kids, but I've got a brother who is teaching English in Shanghai,China and thats "just" as close as I want him to be.
Last time I saw him ended with his big mouth flapping,me closing it with a solid right to the chin and watching him go Lights out Irene.:D

[Dave Howard]

http://www.factoryfive.com/daveandkids.jpg

Over the past 15 years I have had the frequent honor of bringing important news of the company to all of you. This past week I’ve spent some time looking back over our website archives and remembering so many Factory Five milestones and adventures with good friends since 1995. I was humbled by the sheer volume AND depth of the life stories that this company has been a part of! Mostly though, I was honored to have been at the helm and to have been the person whose job it is to tell the story, break the news, or attempt to put into words an important event in our shared journey.

This morning, I have yet another story to tell you about. I am happy to report to you that as of last Thursday, January 19, 2012 I have purchased the company in its entirety from my brother Mark. To me, it is deeply meaningful to know that I own this company outright and am finally able to share that ownership with the people who deserve it the most and who have done the heavy lifting of building the company. To many of you it won’t seem like much has changed right away, but the real effects will be huge and noticed soon enough.

The truth is that Mark had not worked at, or been an active part of the company since 2001. Although it was tough and it took a while to reach an agreement, the buy-out was good for both of us. It gives Mark the ability to follow his own path and it allows me to do what I love and to use a greater percentage of the company revenues to accelerate new products, reward the crew, and focus on ways to bring the Factory Five experience to more people.

I have been the President of this company since it began and I have worked here for six days a week for over 15 years. In that time, I have learned much about business and even more about what is important to me personally. The freedom to do something I truly love for a career has been, and is immensely valuable to me. Even more though, the chance to work with such great, intelligent, kind and decent people as the crew here at FFR is really such a pleasure.

I have been witness to so many great stories and I understand the special way this company and community of Factory Five owners has affected people’s lives. I have also been fortunate to have made great friendships along the way… friendships I wouldn’t trade for any amount of money.

While I want the company to be financially successful, and I believe that without the burden of a non-contributing shareholder, it will be more profitable than ever… I want even more, for the company to continue to fulfill its true charter of making a difference in people’s lives and, thru the medium of these cars, bring people together.
To me, Factory Five Racing is an amazing story that has been, and continues to be, literally BUILT by all of us. I am excited that the company, now with a single clear vision, has a better chance to grow and in so doing, build more great stories along the way.

My brother leaves with our thanks for his contributions in the early days and our best wishes. The road ahead for Factory Five is more exciting than I could ever have dreamed. The weight and responsibility to make the company even better is tremendous, but it is a familiar weight, and I shoulder it well. I promise to build on the strong foundation of our past, but also to bring the company forward into an exciting new chapter where the best stories have yet to be written.

David Smith
President

Good for you. I hope the buy out didn't strain the family relations. I just put a down payment for a MK4 Roadster kit through Western Canada Cobras and have signed up for the Michigan build school in April. I'm getting excited to finalize the order and get going. May consider the 800 kilometer return trip to pick up the kit. I would really like to see the Factory Five facilities.

[trublue]

Dear Dave,
You are truly one in a BILLION. Your unique personality, insight into human nature and self-motivation are what make America great. We who have benefited from your creation are indebted beyond measure.
Art in Birmingham, AL

[ursa5000]

Dave,

The smile you have in the photo, plus your kids smiles, perfectly illustrates the intergrity and trust of Factory Five. It is really that simple. Congrats on another milestone.

Da Bear

[R. Button]

An unexpected package recently arrived from FFR that reminded me while I have been busy with problems, with Jake and studies, life does not pause, but is moving on.

I having been away for a while, on my return find that while I still have a Mark I, I now have a DAVE powering FFR! :) It is good to have a DAVE "engine" pulling FFR!