Leasing News will have an exclusive interview with the deposed ex-president of Marlin Business Services, Gary Shivers on Wednesday. The small ticket leasing business is about to change.
"Under the Separation Agreement, Mr. Shivers' employment with the Company will terminate on January 31, 2007 (the "Separation Date"). Mr. Shivers is subject to confidentiality provisions, an 18 month non-competition period, and a 24 month non-solicitation and no-hire period under the Separation Agreement. " (source: PDF file)
There are others as talented, who built the culture, and left earlier. Marlin has become a "Wrong Way Corrigan" company, entering and as quickly exiting the factoring business, starting a bank through an industrial bank venture in Utah, and two months ago announced it was jumping with two feet into vehicle leasing with better rates and residuals than their competitors.
If you are a leasing company watching this company, the advice is to do the opposite as their timing has been pretty poor since Gary Shivers "resigned."
Recently Marlin laid off 51 employees and their service was affected. Perhaps not as much as the loss of Gary Shivers and the following:
Gary Kester, former VP of credit services.
Mike Bennie, former VP in charge of broker services.
Mike Witt, former director of legal.
Mark King, former director of credit.
Brian Cornell, former director of sales.
John Forsyth, former jack of all trades.
(Sales, syndications, major accounts, etc)
Marcel Gilbert, former VP of IT (considered one of the best in the business)
Dominic Janney, former VP in charge of retail sales.
Tom Mancini, former VP in charge of copier sales and residuals.
Look for a new small ticket leasing company to begin on February 1st.
Shivers has a six month window to choose a location, get software, furniture, computers, businesses plan, and make a list of hiring a staff, talk to those in the industry again, as long as he does not "solicit" or "hire" them. He can start "soliciting" and "hiring" on February 1, 2009. His track record at Advanta and Marlin is outstanding. His abilities, integrity, and energy is beyond question
Perhaps in anticipation of this, Marlin Business Service stock (NASDAQ:MRLN)
hit a new closing low on Friday: $6.12
Closing Price ($): 6.12
Change ($): -0.13
Change (%): -2.08
One Day Volume: 30,422
Day's High: 6.35
Day's Low: 6.11
Previous Close: 6.25
Marlin is about to issues its second quarter earnings. It will have its second quarter 2008 earnings conference call set for Tuesday, August 5 at 10:00 am eastern time.