Multimillion-dollar roofing business closes doors
Monday, December 16, 2013 7:42 AM
After a reported year of dwindling business, contractor Allied Roofing Systems LLC closed its doors in late November and returned assets to its lender.
Clint Tackitt: $1.7 million in accounts payable were left on the table with Allied's closure.
CEO Clint Tackitt said he decided in September to shut down operations – just a few years after fast growth produced $6.05 million in 2010 revenue. Employment later peaked at 140.
The ride came to an end through foreclosure proceedings, and Allied Roofing equipment and vehicles were sold on the auction block.
Tackitt cited a mounting number of clients behind on payments.
“We closed the doors with accounts receivable of $1.7 million that we couldn’t get people to pay,” Tackitt said, declining to name clients that owed money but saying a library in Kansas was among them.
Tackitt said he was considering taking legal action.
Allied stopped taking new clients three months ago after reducing its workforce during a six-month period, Tackitt said. The business had around 10 employees by the time it closed, down from a high of about 140.
Collateral assets obtained by mortgage lender Guaranty Bank included Allied’s center city office, 655 S. Campbell Ave., with a recorded mortgage of $160,000, and a vacant 1-acre residential lot fronting James River in southeast Springfield on a $667,900 deed of trust.
Foreclosure sales on Tackitt’s residential property on Red Bud Street and the Allied facility on Campbell Avenue were scheduled for Nov. 25 on the steps of the Greene County Courthouse.
However, the properties have not changed hands according to county records, and successor trustee Gary Bishop did not return calls for comment.
Guaranty Bank Marketing Director Carlye Wannenmacher declined to comment.
On Nov. 21, Larry Stock, owner of Queen City Roofing and Contracting Co. Inc., attended an auction held by I-66 Auto Auction that featured Allied equipment and vehicles. Stock said he bought a safety cart, which protects roofers from falls, for less than $3,000 – about half the cost of a new one.
The veteran roofing contractor said the industry has become cluttered through the years.
“When I started business in 1978, there were four roofing contractors in town. Now, there are more than 100,” Stock said.
“I’m surprised that through the recession there haven’t been more going out of business.”
Tackitt, who moved to Springfield from Seattle in 2000, built Allied’s business model on environmentally friendly and recycled materials – such as white membrane roofing and solar reflective roofs. Among its completed projects is the Leadership in Energy and Environmental Design platinum-certified Green Circle Shopping Center on Republic Road.
In 2011, a year in which Tackitt was projecting $8 million in revenue, Allied was cited for four safety violations by the Occupational Safety and Health Administration for an Omaha, Neb., project where employees were exposed to fall hazards.
Tackitt and his family plan to remain in Springfield.
“We have investments in other operations and we’ll take it from there,” Tackitt said. “There’s not much I can say. We took most of the assets that we used for collateral and gave them to the bank.”