Oasis Divers Phoenix has ceased operations

[AZTEK DIVER]

There's no question there will be lots of victims of this business going down, and I feel bad for all of them. Sorry to hear that you may lose your store credit, I'm sure that others will lose much, much more. I have friends who may lose a bunch of $$$ that they paid for items not recieved, and I'm sure the list is long of others. I'm going to go ahead and feel bad for Amy also because of her many years of positive influence to our scuba industry, and when you add up who is going to lose the most in this sad event, I'd be surprised if her name is not at the top.

aztec diver:

I certainly hope you are not implying that someone is a victim here, because that someone had to say yes to every single thing that went on. I know for a fact that the major investments were not done without the majority owner's knowledge and blessing. There's plenty of blame to go around but no one person is the sole victim, particularly when they control single-handedly the checking account.
In my year-plus of dealing with them, one person did everything he said he was going to do with me. Another person did nothing they said they were going to do with me. You figure out who's who.
Before this gets out of control, it might be best to stop making statements about this situation especially when they will hit raw nerves.
Total Disclosure: I was a DM for them. I'm still owed money. I was promised a store credit that I never got, by the same person who controlled and still controls the checkbook.

Sorry to mis-address this comment to you, Phxski.

 

[AzAtty]

I got a whiff a while back that something was happening to Oasis, but didn't think it was appropriate to mention anything on the boards because it was mostly my educated guesses based on some information I received and a decade of bankruptcy experience.

I've been through the same situation with clients on both the debtor and creditor side, so if any of the affected people have questions on what happens next, feel free to PM me.

BTW, John, Amy has something lined up already, last I heard.

 

[Rudebob]

It is an unfortunate situation as people livelihood’s are at stake here. I have to wonder if this is not the only LDS falling on hard times.

As and example, about a month ago I was contacted by a different Arizona LDS I had gone on a San Carlos trip last year (11 months ago). On that trip there was an additional night dive that could be added to the trip for something like $35.00. I had indicated that I might go on the dive depending several factors and that I would decide once we got there (they said that would be fine). As it ended up I did not go on the night dive.

However, the call I got last month (10 months after the trip) was to ask if I did do the dive because they had no record that I paid for it. I was kind of floored by their request. One, being that I got the feeling they did not believe me when I indicated that I did not do the dive. Secondly, it appeared that they were severely hurting financially to go that far back into their records trying to find discrepancies that might yield minimal additional revenue. I could understand if it was product in which they have a direct cost to but this was a service that essentially amounted to one additional airfill in terms of time/cost to them.

In your opinion, are the problems these LDS’s are experiencing due more to external market factors or internal operations? There are several obvious legitimate factors that cannot be denied such as the current economy and the popularity of online businesses. There also seams to be more independent instructors with no shop affiliation offering certification services, etc that have to be cutting into sales. Is there enough business to sustain the current number of Arizona LDS or will economic Darwinism continue to eliminate more shops? Regardless of your thoughts we all need these LDS’s to a greater or lesser degree. It is important to see them survive.

mg

 

[AZTEK DIVER]

In the best of times, if you do everything right, and work your tail off 16 hours a day, and have enough money to last you a year, you might make a new business work. If that business is scuba, your chances just went down, at no time is scuba a cash cow. In this economy alot of pretty strong companies will go down, new ones on a shoe string don't have much chance. One things for sure, these people don't risk everything they have because they plan on failing, they don't plan on screwing customers and employees, when they go down, everybody loses.

It is an unfortunate situation as people livelihood’s are at stake here. I have to wonder if this is not the only LDS falling on hard times.

As and example, about a month ago I was contacted by a different Arizona LDS I had gone on a San Carlos trip last year (11 months ago). On that trip there was an additional night dive that could be added to the trip for something like $35.00. I had indicated that I might go on the dive depending several factors and that I would decide once we got there (they said that would be fine). As it ended up I did not go on the night dive.

However, the call I got last month (10 months after the trip) was to ask if I did do the dive because they had no record that I paid for it. I was kind of floored by their request. One, being that I got the feeling they did not believe me when I indicated that I did not do the dive. Secondly, it appeared that they were severely hurting financially to go that far back into their records trying to find discrepancies that might yield minimal additional revenue. I could understand if it was product in which they have a direct cost to but this was a service that essentially amounted to one additional airfill in terms of time/cost to them.

In your opinion, are the problems these LDS’s are experiencing due more to external market factors or internal operations? There are several obvious legitimate factors that cannot be denied such as the current economy and the popularity of online businesses. There also seams to be more independent instructors with no shop affiliation offering certification services, etc that have to be cutting into sales. Is there enough business to sustain the current number of Arizona LDS or will economic Darwinism continue to eliminate more shops? Regardless of your thoughts we all need these LDS’s to a greater or lesser degree. It is important to see them survive.

mg

 

[divebri]

John, I totally agree with your last post. It is difficult at best and with all the external factors (internet sales, the dreaded Sport Chalet,the economy, et. al.) it is darn difficult.
I posted about paradise because it also recently folded, unfortunately, very close to Oasis (Oasis was at 40th and Bell, paradise at T-bird and Tatum).
I looked long and hard at owning a shop, and the bottom line is it's exactly as you describe, and most scuba people just aren't good businesspeople. It's just the way it is. There are successful models out there but the ROI isn't what a good businessman expects. It's a difficult thing to keep going, and you can plan on losing a ton of money in the winter (trust me, I've analyzed models and financials in this area) .
Tough times - and I feel sad that this happened. I wanted to be affiliated with a good shop, and I don't know of any right now. As for me, I'm owed some money but I'm not worried about it-it's my contribution to the plight of others less fortunate at this point. I consider all the players my friends. I have my own theories about what happened, but it's not worth dragging everyone through the mud. I wish everyone the best no matter what they choose to do, and offer my help to anyone who wants or needs it (and they all know where my abilities lie). And I'd still dive with every one of them.
Yeah, some people got hurt worse than others - some innocent customers are gonna at least have a hassle - and will probably lose money - and some people are absolutely devastated. I wish for the problems to be handled without a train wreck on scubaboard.

 

[AZdiver1279]

Thanks for your post divebri.....it's just sad to see LDS go down. I just a few months ago was considering completing my DM with one of these shops....now both are gone? (edit) Or, is it just the Phoenix store closed and Oasis is still operating out of the Tempe store? What about their San Carlos operations? Are they still making trips?

The search will continue to find a LDS to be associated with.....(edit) or perhaps not since I'm a bit confused if they are still operating out of Tempe or ceasing to operate as a business.

I do feel bad for the owners of both shops(Paradise & Oasis)...they are part of the local dive community and as a business owner myself I can feel their pain! So much goes into a business that is unseen, not just effort and capital but each business owner also has invested their heart into their business...

 

[divebri]

Thanks for your post divebri.....it's just sad to see LDS go down. I just a few months ago was considering completing my DM with one of these shops....now both are gone!

The search will continue to find a LDS to be associated with. I do feel bad for the owners of both shops...they are part of the local dive community and as a business owner myself I can feel their pain! So much goes into a business that is unseen, not just effort and capital but each business owner also has invested their heart into their business...

Also, it's true...some no doubt will lose more tan others....my potential loss (I say potential because I have confidence someone will eventually call me to arrange the return of my property ) is probably minimal in comparison to others....I feel bad for those who will or have lost more.

there is a note on the door that explains how to contact the landlord. It is a template letter, but it indicates that if you contact the landlord and have proper documentation they will hand over your property. Whether that actually works or not, or what constitutes proper documentation I don't know.
I'd give it a try, though, ASAP. Every day your equipment sits in there is an increase in the likelihood you will have more trouble getting it back. I did my DM with them at the end of last year, and did some DM'ing for them this year. It appears I am now retired......

 

[broncobowsher]

I was actually surprised it was the Phoenix store. Back in May I needed to replace a no longer servicable Dacor reg. Did my shopping (in part thanks to this site) and hit the local shops. I was just in the Phoenix store for a dive in SanDiego. The Phoenix store was full of people and merchandise. The much closer Tempe store looked like a ghost town. Almost no inventory and almost no staff. It looked like they didn't care about the Tempe store and the Phoenix store was getting all the goods. So to hear that the Phoenix store closed, but not the Tempe location was a bit surprising. I will admit I have not been in the Tempe store since May, I don't know if they loaded up on merchandise or not. The main store closing but not the branch store is a little wierd to me. Sounds like there was some landlord issues. As for getting customer money and not telling them that they were about to fold, well I can see that. If a customer is about to hand you money, you really need it. Would you tell them that if you don't make the sale the landlord is going to lock them out? No, you get the sale and hope at the end of the day you have enough to pay rent and come to work again the next day. In hindsight, after they closed, it sounds bad. But if they did pull off the magic trick and saved the store then they would still be open and no one here would know. It looks like tough economic times couldn't save it. I have known other businesses that are at times customer to customer in paying the bills. Customer show up, pays the bill and as soon as they walk out the door the money goes to pay the most outstanding bill. Literally a day or two from running out of working capital. Survive a couple more days, have a good sale and be back on there feet. It is real common in the small business market.

Look at the economy. It is getting real tight right now. Countless people are having a hard time holding there lives together. Disposable income for fun hings is real tight right now. And face it, scuba is a luxery item. With everything increasing in price and the economy dropping, luxery items are not moving by the common middle class anymore. I was amazed to see the shelves of the grocery store on a Saturday afternoon last week. First Saturday after the first of the month, people stocking up on food with the paycheck. The cheap food was cleaned off the shelf, store brands, about anything that was on sale and/or items that contained a lot of bulk for the price.

Times are not good. It's tough to see a shop fold. It is one thing to realise that they are going to fold (going out of business sale, etc.) and another when they think it can still work and just hit that hurdle they thought they were going to clear, going down hard and painful.

 

[AZdiver1279]

Thanks Divebri.......I was able to get through to the Tempe store tonight. I was told they are open all day tomorrow (from 10 - 7) and I will be visiting the store. Perhaps they'll be OK?

 

[AZdiver1279]

there is a note on the door that explains how to contact the landlord. It is a template letter, but it indicates that if you contact the landlord and have proper documentation they will hand over your property. Whether that actually works or not, or what constitutes proper documentation I don't know.
I'd give it a try, though, ASAP. Every day your equipment sits in there is an increase in the likelihood you will have more trouble getting it back. I did my DM with them at the end of last year, and did some DM'ing for them this year. It appears I am now retired......

Divebri..........when you were at the store did you notice if there was still merchandise inside?