michaelc
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Post by michaelc on Dec 29, 2016 22:16:34 GMT
I initially wanted to put quite a bit into this - its quite an interesting project. Then I thought (admittedly knowing little about power boats), isn't this boat built for one purpose only namely a world record attempt? That would make the resale market almost non-existent?
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Post by eascogo on Dec 29, 2016 23:35:36 GMT
I initially wanted to put quite a bit into this - its quite an interesting project. Then I thought (admittedly knowing little about power boats), isn't this boat built for one purpose only namely a world record attempt? That would make the resale market almost non-existent? . The project is indeed ambitious on many technical aspects but it is sponsorship money that is to repay the loan, not the boat, though it forms part of the security. As FS puts it: "A condition of the loan is that it must be repaid prior to the race commencing. Repayment will be through receipt of sponsorship funds. The company is close to finalising a sponsorship deal sufficient to repay the entire loan." And "The loan is secured as a fixed and floating charge against the company that owns the boat. A personal guarantee has been given by the director." The race has already been postponed once because of technical difficulties. The race is now due to start next March but it is not inconceivable that further technical problems or perhaps weather conditions may cause further delays. So my money went instead into 2179018182 (G********* E*****), another renewal on a grand property that is nearly fully refurbished.
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guff
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Post by guff on Dec 30, 2016 12:01:09 GMT
Apart from a few articles in 2012/13 there doesn't appear to have been much coverage of the boat, sponsorship or the US contender unlike Bloodhound SSC which regularly updates and shows sponsor details. Is this normal for a boaty event such as this or is it Al/CF bargepoles at the ready?
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michaelc
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Post by michaelc on Dec 31, 2016 18:00:12 GMT
I initially wanted to put quite a bit into this - its quite an interesting project. Then I thought (admittedly knowing little about power boats), isn't this boat built for one purpose only namely a world record attempt? That would make the resale market almost non-existent? . The project is indeed ambitious on many technical aspects but it is sponsorship money that is to repay the loan, not the boat, though it forms part of the security. Indeed I agree it is always the borrower that actually makes the payment. But I always assume the borrower might not repay so 90% of my DD is based on the value of the security. Since I'm no good at assessing anything other than property (and even some property is a lot easier to assess than others) I tend to only invest small amounts in boats, clocks, vases, paintings, garlic-squeezers etc... 
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mason
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Post by mason on Dec 31, 2016 20:18:11 GMT
Indeed I agree it is always the borrower that actually makes the payment. But I always assume the lender might not repay so 90% of my DD is based on the value of the security. I'm slightly confused by your second sentence. Who is the "lender" in that context? Someone other than the borrower, or are you treating the borrower as a lender (of the boat to the team)?
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michaelc
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Post by michaelc on Dec 31, 2016 21:30:43 GMT
Indeed I agree it is always the borrower that actually makes the payment. But I always assume the lender might not repay so 90% of my DD is based on the value of the security. I'm slightly confused by your second sentence. Who is the "lender" in that context? Someone other than the borrower, or are you treating the borrower as a lender (of the boat to the team)? Sorry Mason I meant to say "borrower" (and have corrected the post above). Too much wine flowing today !
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ashtondav
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Post by ashtondav on Jan 1, 2017 11:35:07 GMT
They've had plenty of time to secure sponsorship, and yet they apparently don't even have an agreement "in principle" or "dependent on build progress".
In short they are building a boat for a one-off purpose, with borrowed money and no financial backing.
A bargepole comes nowhere near the length I require for avoiding this one. Conditional sponsorship would be my minimum requirement. If that is so hard to obtain for such an apparently unique prize and publicity, then my money will be equally hard to obtain.
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markdirac
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Post by markdirac on Jan 2, 2017 9:59:16 GMT
I would like to hear from FS about the insurance covering this boat. In particular, the circumstances in which the insurance might not pay out.
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Post by wickedxuk on Jan 2, 2017 10:02:11 GMT
I would like to hear from FS about the insurance covering this boat. In particular, the circumstances in which the insurance might not pay out. Seconded fundingsecure
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Post by mrclondon on Jan 28, 2017 15:17:16 GMT
According to the borrower's website, further (reportedly minor) technical issues have pushed the record attempt back to October 2017 as the delay would have encroached into the start of a bad weather season en-route. Launch of the boat is now set for 1st week of April. Whether there is enough time between then and the maturity date for this loan (end of June) for the sea trials to show sufficient promise so as to turn on the sponsorship tap remains to be seen, but should be possible.
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Post by mrclondon on Oct 1, 2017 18:54:21 GMT
The most recent renewal of this loan was in July, and at that time FS said "The boat was due to depart on March 12, 2017. It is now scheduled to depart in October." having originally been scheduled for last October. (There are only 2 possible departure windows each year for the desired weather conditions).
I skipped the July renewal as the project's website hadn't been updated in many months, and an Oct 17 departure was not looking likely. No further updates on their website in the intervening months, but their twitter feed recently posted a photo of their team with a caption implying departure next year (didn't say spring or autumn, but my guess would be the latter).
So as a minimum it looks like there will have to be another roll up of interest in Jan 18 as any sponsorship funds will only be forthcoming when the boat is ready.
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shuff27
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Post by shuff27 on Oct 2, 2017 5:49:08 GMT
Perhaps they could borrow the 'powerboat' instead, that's not doing anything at the moment...
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SteveT
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Post by SteveT on Nov 28, 2017 7:53:15 GMT
It appears a number of FS lenders are going to see their endurance tested by this one. 7 days to go (before it becomes untradeable) and there's a £40k+ queue at the maximum 1% discount...
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Doc
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Post by Doc on Nov 28, 2017 13:29:47 GMT
It appears a number of FS lenders are going to see their endurance tested by this one. 7 days to go (before it becomes untradeable) and there's a £40k+ queue at the maximum 1% discount... Trying to sell unpopular loan parts in the last week or so even at maximum discount looks like a risky strategy, the greater fool theory only works so far.
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adrian77
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Post by adrian77 on Nov 28, 2017 14:23:19 GMT
For those of you who missed it - this is how I surmise this endurance/speedboat loan will progress
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