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Redneck Country Club is no more..

40,712 Views | 67 Replies | Last: 2 yr ago by Marvin_Zindler
KDubAg
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RCC has closed its doors for good.

"You may have heard already, but, sadly, we've had to close the RCC. Hopefully our health will survive the Coronavirus, but the business could not. The cancellation of all our events put us under. Sadly, many other businesses are having to make the same decision. We didn't do this lightly. Our model was always a bit unique, and we tried to make it work because we felt the place was special. We feel like we made a difference while making many friends. I'm not going anywhere, I'll still be on the radio. Please know that if there were a way to save the place, I would have done it. I've begged, borrowed, and liquidated everything I have. In the end, this awful virus and the reaction to it was too much for us to weather.

I have many loose ends to tie up in the coming weeks. I am eager to find good jobs for our talented team. My business failings and this horrible turn in our economy are not their fault. If you are looking for committed, professional, dedicated, loyal folks, please email me at michael@republiccountryclub.com and let me know your needs, any licenses or skills or experience, and pay, and I'll share with our team. Thank you for keeping an eye out for them.

I don't have an answer for every question you may have today. I'm taking each task one by one and I'll be continuing to communicate in the coming weeks. Please give me a few days to handle the most immediate needs and be patient as I work through this.

I am grateful for everything you have done to make my lifelong dream a reality and I'm incredibly sad I couldn't do more to keep it going.

Michael Berry"
BarryProfit
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Yeah he went off on a late night twitter rant, appears to be an issue with back taxes.
suburban cowboy
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Overall, I'm a fan of MB but he really showed his ass on Twitter this week, and the whole not charging sales tax on $2MM in memberships is down-right seedy IMO.

Either way, sucks to see the RCC go. Maybe this is karma for changing the name to something more PC, but maybe he's not as smart as he thinks he is. Although, it wouldn't surprise me if one of his buddies bails him out eventually.
AggieTJ
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Or he's using this as an opportunity to get out. He's said for years that the Stafford location sucks because it's not on a major freeway, and that it's been hard to make the big acts work financially... and, he's been looking at second location up north.

Maybe RCC North just becomes the sole location.
Mose Schrute
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My understanding from the Twitter blowup was the unpaid sales tax issue was from several years ago when they opened, and was resolved. This go round he's pissed at comptroller for not delaying sales tax payments from restaurants and bars as many have pleaded for so they can pay staff an additional week or so...

I'm thinking it wasn't actually profitable enough to keep I t's doors open thru the shutdown and pay employees so he's closing. Also think he opens later (most likely somewhere up North like the poster above mentioned).

Would guess Tillman would bail him out, but between the Rockets, the Nugget, and all his restaurants, he's probably hemorrhaging cash like MF right now
07ag
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enjoyed the small venue feel when seeing shows there

always thought berry was kinda crazy, though
https://ts.la/eric59704
Tom Hagen
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Tillman just laid off 40k.

I never knew that "memberships" were taxable, because I thought that you were buying equity. But, this may only be the case in member owned clubs. The people who bought those "lifetime" memberships have to feel stupid.
Mose Schrute
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No chit!
CDUB98
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Mose Schrute said:

My understanding from the Twitter blowup was the unpaid sales tax issue was from several years ago when they opened, and was resolved. This go round he's pissed at comptroller for not delaying sales tax payments from restaurants and bars as many have pleaded for so they can pay staff an additional week or so...

I'm thinking it wasn't actually profitable enough to keep I t's doors open thru the shutdown and pay employees so he's closing. Also think he opens later (most likely somewhere up North like the poster above mentioned).

Would guess Tillman would bail him out, but between the Rockets, the Nugget, and all his restaurants, he's probably hemorrhaging cash like MF right now


This.

It boggles my mind that people cannot get this straight, but most people don't like Barry, so they'll find any excuse to bash him, regardless of facts.

Personally, he's hit or miss with me. Sometimes he acts like a damned child, others he engages in some good, high level discussion on his radio show.

Also, I'd never go into business with the guy. Something about his business dealings and failings has always seemed off.
Ferris Wheel Allstar
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BarryProfit said:

Yeah he went off on a late night twitter rant, appears to be an issue with back taxes.
Guess he shouldnt have gone off on Glenn Hegar the other day
Chewy
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Guess he didn't see the memo that Buzbee is offering low interest loans for fellas like him. Or maybe the interest rate was too high for him...
Chewy
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The sales tax issue is an interesting one because they're basically asking for a loan from the Comptroller's office.

Sales tax should not be a revenue stream for a business. They are merely a collection agency for the state. Debate that route all you want but a business should NEVER have sales tax recognized as revenue. It's immediately a liability that has to be paid upon collection.

That money is NEVER the businesses' money. The state does allow the business to keep a tiny portion for timely remittance.

Any business that's asking for a delay in paying their sales tax gives me a hint they're not that smart at running their business.

Now, if they're asking the state to offer it as a loan that's slightly different. For a state that doesn't run at a deficit and that money should have been marked to the state all along it's a tough decision.
cajunaggie08
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the idea of a lifetime membership to a bar is laughable. Outside of the dixie chicken, how many bars have lasted a lifetime let alone a decade
agz win
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karma.
Ducks4brkfast
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cajunaggie08 said:

the idea of a lifetime membership to a bar is laughable. Outside of the dixie chicken, how many bars have lasted a lifetime let alone a decade
You want a list of bars in Houston that have been open for a decade?

That's a pretty long list.
aTm2004
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Quote:

Sales tax should not be a revenue stream for a business. They are merely a collection agency for the state. Debate that route all you want but a business should NEVER have sales tax recognized as revenue. It's immediately a liability that has to be paid upon collection.
Who said it was a revenue stream? Say you have $20k sitting in an account and $18k of that is to be paid in taxes, delaying that $18k to be paid in taxes means you have more to keep employees/doors open during this time. It's not like it was their doing that canceled shows or stopped people from coming in, it was the government, thus I kind of agree with him...the government needs to understand this is their doing and help bear some of the costs.
Chewy
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aTm2004 said:

Quote:

Sales tax should not be a revenue stream for a business. They are merely a collection agency for the state. Debate that route all you want but a business should NEVER have sales tax recognized as revenue. It's immediately a liability that has to be paid upon collection.
Who said it was a revenue stream? Say you have $20k sitting in an account and $18k of that is to be paid in taxes, delaying that $18k to be paid in taxes means you have more to keep employees/doors open during this time. It's not like it was their doing that canceled shows or stopped people from coming in, it was the government, thus I kind of agree with him...the government needs to understand this is their doing and help bear some of the costs.


You'd be shocked at the number of businesses that allocate it as total sales. It's never the business' money. It was always the governments. Just because the cash is sitting in someone's bank doesn't mean it's theirs.

I get what you're saying but it's not the Comptroller's job to decide if a business deserves a loan on a whim. The Comptroller's job is to collect the taxes as seen fit by the state's legislation.

You also have to realize that sales tax is only 8.25% of your total sales. If the majority of the cash you have sitting in your account is sales tax collected and owed you have MUCH bigger issues a "loan" from the government isn't likely to fix.

I'm all for figuring out a way to help certain people but deciding to withhold money that was never yours to begin with ain't the solution. In some cases it's okay for some business to fail because I promise you a lot of other businesses aren't in the same position.

8.25% of sales ain't gonna fix those issues.
Chewy
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Also, when it comes to helping people during these times I'm more for helping out the lower level people directly than propping up a failing business. Help the people but don't prop up the business. More than likely the owner is going to take a cut they don't deserve because they've either blown the money or just selfish. If it's failing let it fail.

Or send Buzbee's manager an email and see what he thinks...
RO519
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Chewy said:

aTm2004 said:

Quote:

Sales tax should not be a revenue stream for a business. They are merely a collection agency for the state. Debate that route all you want but a business should NEVER have sales tax recognized as revenue. It's immediately a liability that has to be paid upon collection.
Who said it was a revenue stream? Say you have $20k sitting in an account and $18k of that is to be paid in taxes, delaying that $18k to be paid in taxes means you have more to keep employees/doors open during this time. It's not like it was their doing that canceled shows or stopped people from coming in, it was the government, thus I kind of agree with him...the government needs to understand this is their doing and help bear some of the costs.


You'd be shocked at the number of businesses that allocate it as total sales. It's never the business' money. It was always the governments. Just because the cash is sitting in someone's bank doesn't mean it's theirs.

I get what you're saying but it's not the Comptroller's job to decide if a business deserves a loan on a whim. The Comptroller's job is to collect the taxes as seen fit by the state's legislation.

You also have to realize that sales tax is only 8.25% of your total sales. If the majority of the cash you have sitting in your account is sales tax collected and owed you have MUCH bigger issues a "loan" from the government isn't likely to fix.

I'm all for figuring out a way to help certain people but deciding to withhold money that was never yours to begin with ain't the solution. In some cases it's okay for some business to fail because I promise you a lot of other businesses aren't in the same position.

8.25% of sales ain't gonna fix those issues.
Hi Glenn... I'm surprised the comptroller is cruising the TexAgs boards right now...

The thought is that the 8.25% sales tax would be used to help float the business through this government mandated shut down... You know, keep people employed and food on their tables.
aTm2004
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You keep saying it's a failed business, but do you know that for a fact? Outside of the major companies (who are also laying off people due to the lost revenue), how many small businesses do you think can sustain multiple weeks of very little or no revenue coming in while the expenses remain the same? In this case, he's probably not buying as much in alcohol, but he has food inventory expiring that he's not able to sale, rent, insurance, utilities, salaries, etc still needing to be paid.

And who knows how much of their cash is allocated to taxes. Maybe they had $100k sitting in the bank with $30k of that for taxes. With no revenue coming in, that $70k isn't going to last long after you pay everything you need to keep the business open, especially if you had probably 6-figures of revenue on the books for the next week that suddenly went "poof."
Chewy
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I get what you're saying but you're not understanding what I'm saying. If you let a shaky business owner keep that money they're more than likely going to keep a good portion of it. They'll use a portion to finance their lifestyle that's likely contributed to their current issues.

I'm ALL for helping the people the business employs. Keeping sales tax on a whim ain't the way to do that.

Prop up the unemployment program with that money. I don't necessarily trust the government but I'm telling you that if you give a shaky business owner access to cash to pay their employees it's not 100% going to their people. They'll likely skim a good portion off the top. Then they'll ask for another hit of cash because they haven't changed the issues that got them in the mess.

It's better to let the business fail while using another avenue to help their employees.
Chewy
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Figure out a business stimulus program then. Having businesses one off decide how they're going to benefit from money that's not theirs is not the way to do it.

You really shouldn't have that much sales tax in your account anyway. It's supposed to be paid on a monthly basis in most instances.
aTm2004
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Chewy said:

Also, when it comes to helping people during these times I'm more for helping out the lower level people directly than propping up a failing business. Help the people but don't prop up the business. More than likely the owner is going to take a cut they don't deserve because they've either blown the money or just selfish. If it's failing let it fail.

Or send Buzbee's manager an email and see what he thinks...
That's a lot of bold assumptions. I don't know many small businesses who have the cash reserves to ride out multiple weeks of lost revenue. Also, helping out a "failing business" is helping out the lower level people who are able to keep their jobs. But hey, this is TexAgs, where everyone's business has 25 employees and millions in cash reserves.
Mose Schrute
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You would THINK the comptroller would receive more revenue on sales tax over the long term if these businesses could stay afloat the shutdown and come out the other side..
aTm2004
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Chewy said:

Figure out a business stimulus program then. Having businesses one off decide how they're going to benefit from money that's not theirs is not the way to do it.

You really shouldn't have that much sales tax in your account anyway. It's supposed to be paid on a monthly basis in most instances.
You're missing the entire point. Yeah, the money isn't "theirs," but neither was the decision to shut them down temporarily. Asking the same entity (government) that shut you down for a little break so you can keep the doors open isn't an absurd ask. It's not like they're wanting to never pay it.

Also, who knows how much they have in their account. I just threw out numbers.
aTm2004
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Mose Schrute said:

You would THINK the comptroller would receive more revenue on sales tax over the long term if these businesses could stay afloat the shutdown and come out the other side..

You stop thinking logically!
Al Bula
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The only thing dumber than shedding a tear for the redneck country club is fighting about the reason it closed on a message board.

I see lots of quarantine fail here.
Chewy
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Once again create a business stimulant program to help them. Those businesses that think their sales tax in the bank are going to carry them are foolish.

The enterprising people are out trying to figure out a way to get sales or control expenses. I get the daily emails from Roegels. That dude is busting his ass trying to figure out how to make it. Guess what? People are ordering food on a daily basis and he thinks he can keep his business afloat.

I got take out from Collinas last week and the guy said they were running 50% of normal but it was a huge help and could keep them going. People are working reduced hours but there's still income to prop them out.

Those that want to find a way to survive will find a way. Those that don't will claim some money in their account that was never their's will get them through but it's a lie.

This sucks for a lot of people. Prop up unemployment or create some business programs. I'm all for that.

For individuals this is the equivalent of someone having their tax withheld as part of a corporate job. Your neighbor who has a similar income as you but with more expenses and is a contract employee decides they're not going to send their estimated taxes to the government because they're tight on cash and they're going to individually decide how they should handle taxes themselves because #COVID19.
Ducks4brkfast
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I don't think the RCC has ever been profitable. Unless you consider Russell Ybarra's huge investment in the business to keep it afloat "profit."
aTm2004
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Chewy said:

Once again create a business stimulant program to help them. Those businesses that think their sales tax in the bank are going to carry them are foolish.
So...the government doing something that most likely involves funding it with the money collected via taxes? Ok, got it. This is different, apparently...

Quote:

The enterprising people are out trying to figure out a way to get sales or control expenses. I get the daily emails from Roegels. That dude is busting his ass trying to figure out how to make it. Guess what? People are ordering food on a daily basis and he thinks he can keep his business afloat.
He thinks he can. Maybe he can, maybe he can't. If he fails, I'm sure your going to tell him how he was running a failed business for not having the proper cash reserves.

Quote:

Those that want to find a way to survive will find a way. Those that don't will claim some money in their account that was never their's will get them through but it's a lie.
You're right, they'll find a way. Cutting staff, probably not paying vendors on time, etc. They'll find a way. Everyone takes a hit, but the government and possibly some bankruptcy lawyers.

Quote:

This sucks for a lot of people. Prop up unemployment or create some business programs. I'm all for that.
So...use tax money to prop up unemployment. That's a much better option than allowing a business to delay paying their taxes to keep the doors open and people employed until this thing passes in a week or two.

Seersucker Ag 2011
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Wonder what will go in that space next. Once the economy recovers, that'll be a good space right across from The Grid.
Silky Johnston
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You sound upset that your "lifetime" membership is now useless.
Jack Cheese
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Remember when MB was going to tell his side of the story about being at a ghey bar and embarrass a bunch of media members? Did he ever get around to that?
Onceaggie2.0
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Buzzbee's doing awkward Instagram dancing with his Alicia Silver-stone look alike gf to be bothered with this issue.
aTm2004
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Silky Johnston said:

You sound upset that your "lifetime" membership is now useless.

Never even been there. Just not quite understanding how the government allowing someone to delay paying their taxes to stay afloat and keep their employees during a government ordered shut down is any different than paying the taxes and the government using that money for some type of assistance after you've laid off your employees, who will then begin to draw money from the government.
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