r00lish67
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Post by r00lish67 on Nov 28, 2018 18:47:29 GMT
Unsurprisingly the renewal is cancelled. When they have treated investors in the powerboats the way they have it was wishful thinking they were going to raise all that money for this. What does that mean going forward for those in this? I had the smallest possible piece because it rolled over automatically last time and I didn't untick it. I am not really that bothered but the email says Nothing has been returned to my account. Edit : Oh someone wants to be trendy and up with current affairs, the update includes information on this boats "backstop"! It is not quite a 595 page update but it's close. I imagine the end result will be years of pain nobody likes..... Don't worry, it'll be a strong and stable boat. A people's boat. I genuinely believe that people will be better off in this boat rather than bobbing around in life vests in the Atlantic ocean.
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adrian77
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Post by adrian77 on Nov 28, 2018 19:35:16 GMT
who wrote this - the same person who said "Brexit means Brexit as in Remain!"?
We have been told to expect positive news since April
And how is this company going to service its massive debt and future work?
Clearly the £938K is very unlikely to be paid within a year so if we take 20% that is
£188K in interest alone.
So what is FS actually going to do - nothing but wait for Godot?
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bg
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Post by bg on Nov 28, 2018 20:14:08 GMT
So what is FS actually going to do - nothing but wait for Godot? What exactly would you have them do? Take an unfinished round the world record attempt boat down to the nearest car boot sale and see if someone will stump up £1m+? Maybe better to wait until construction is finished and see if a sponsor does materialise, or maybe they should take a few spanners down and try and finish it off themselves?
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kielbasa
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Post by kielbasa on Nov 28, 2018 20:18:37 GMT
This one will be testing the endurance of investors for some time yet.
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r00lish67
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Post by r00lish67 on Nov 28, 2018 20:24:34 GMT
who wrote this - the same person who said "Brexit means Brexit as in Remain!"? We have been told to expect positive news since April And how is this company going to service its massive debt and future work? Clearly the £938K is very unlikely to be paid within a year so if we take 20% that is £188K in interest alone. So what is FS actually going to do - nothing but wait for Godot? To be fair to FS, this loan is now what it always was - a gamble plain and simple on sponsorship being achieved. There is nothing to be done but wait, what else would they do? I'd imagine they wouldn't even consider defaulting this loan unless the team operating the boat disbanded. Given that this was all plainly visible when this loan last fully filled (Jan 2018), and nothing but the usual misplaced optimism was present in the sales pitch, IMV I don't really think investors have much cause for complaint. edit: crossed with bg edit2: I still believe FS should never have offered this 'opportunity' I should say. It does take two to tango though.
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bg
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Post by bg on Nov 28, 2018 20:58:42 GMT
To be fair to FS, this loan is now what it always was - a gamble plain and simple on sponsorship being achieved. There is nothing to be done but wait, what else would they do? I'd imagine they wouldn't even consider defaulting this loan unless the team operating the boat disbanded. Given that this was all plainly visible when this loan last fully filled (Jan 2018), and nothing but the usual misplaced optimism was present in the sales pitch, IMV I don't really think investors have much cause for complaint. edit: crossed with bg edit2: I still believe FS should never have offered this 'opportunity' I should say. It does take two to tango though. Completely agree. The two points I would make about this loan are:- 1) I really don't think this loan should have been offered on a retail platform. I fear many investors either didn't understand or didn't consider the risks (which is easy to do when loans are filling quickly) 2) The interest rate it paid was far too low and didn't compensate for the big risk involved. That's not to say that a sponsor won't be found that results in full repayment of capital and interest, just that 14% doesn't compensate for the high risk that it will default. I wouldn't have held this loan to maturity at 28% nevermind 14%.
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mjc
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Post by mjc on Nov 29, 2018 6:17:37 GMT
I’d rather the team got the funding from a sponsor now, rather then buy the advertising post launch.
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adrian77
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Post by adrian77 on Nov 29, 2018 10:28:31 GMT
Cut their viz OUR losses - in fact anything than do nothing but wait
Granted a very difficult situation FS have got themselves into but I would say take control of the asset and try and sell it to another team in this business e.g. wealthy overseas individual or whatever. They can always take control and sell the boat subject to completion at the valuation of £1.75m (can't possibly be an overhigh valuation). It will be sad to see this one go overseas if need be but business is business. Maybe R Branson would be interested although he learnt the hard way just how expensive and problematic this sort of thing can be.
I can't see any mythical sponsor coming up with the readies until the boat is in the water and tested so that is probably well over a year away
Agree with the above post which said this is the wrong sort of funding for a project like this and has always been nothing but a gamble.
Interesting one to follow.
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bg
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Post by bg on Nov 29, 2018 13:11:36 GMT
Cut their viz OUR losses - in fact anything than do nothing but wait Granted a very difficult situation FS have got themselves into but I would say take control of the asset and try and sell it to another team in this business e.g. wealthy overseas individual or whatever. They can always take control and sell the boat subject to completion at the valuation of £1.75m (can't possibly be an overhigh valuation). It will be sad to see this one go overseas if need be but business is business. Maybe R Branson would be interested although he learnt the hard way just how expensive and problematic this sort of thing can be. Just stand back and think about this one for a minute. You seriously think they can just pull the plug and sell a part finished specialist world record endurance boat for a decent price? Is that a serious proposition? (Don't tell me you are also an expert on this market!). You really think there are "round the world teams" out there who have just been sitting around twiddling their thumbs and are suddenly thinking..now where can we get a boat from in quick order that's built to our specification...oh look here's a 90% finished one designed for disabled sailors that runs on 'clean fuel' that's exactly what we need, lets pay £1.7m for it! You seem keen for the loan to be defaulted, not because you have any serious money invested (by what you have been saying over the past 3 months I would estimate you have £400 on the ENTIRE PLATFORM. Maximum.) but because you are keen to push as many loans as possible to default because it suits your agenda/provides you entertainment. Honestly, the closest analogy I could find to what you are suggesting is cutting off your nose to spite your face. Except it's not your nose, it's other investors. If FS took control now and tried to sell the boat the only buyers would be scrap merchants and the loss would be close to 100%. I think the majority, if not all investors in this loan would like FS to allow the boat to be completed.
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adrian77
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Post by adrian77 on Nov 29, 2018 17:06:44 GMT
You seriously think they can just pull the plug and sell a part finished specialist world record endurance boat for a decent price?
I actually wrote
As to how much I am other members of my family have invested is none of your damn business and besides totally irrelevant.
However what I want is FS to start taking effective action on this platform so that all of our money is protected - I am open to other suggestions with this boat but what happens if this team hit more problems and/or don't get sponsorship ?
Nobody would be happier than I if this team pulled this one off but I am a tad concerned as to where this one is possibly heading - hopefully better then R Branson's Challenger I
Just my opinion but I am not a sleeper.
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09dolphin
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Post by 09dolphin on Nov 29, 2018 17:53:26 GMT
Seems to me that what some forum members are saying is that this loan is too big to fail (it does remind me of a financial crash where RBS was bailed out by the government or rather taxpayers money).
If the asset is worth it's valuation it has the potential to be sold. If the asset isn't worth the valuation why should we trust any valuation.
Forgive me if I am wrong but I assumed that Funding Secure was a P2P site that based it's lending opportunities on SECURED lending rather than being a gambling site.
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arby
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Post by arby on Nov 29, 2018 18:12:21 GMT
Seems to me that what some forum members are saying is that this loan is too big to fail (it does remind me of a financial crash where RBS was bailed out by the government or rather taxpayers money).
If the asset is worth it's valuation it has the potential to be sold. If the asset isn't worth the valuation why should we trust any valuation.
Forgive me if I am wrong but I assumed that Funding Secure was a P2P site that based it's lending opportunities on SECURED lending rather than being a gambling site. An illiquid asset can still be very valuable; this boat is a perfect example- it is clearly has a lot of value, but to only a minuscule market. The problem with trying to realise an illiquid asset in a short timeframe is you typically only get a fraction of what it's worth. I'm sorry if my going over some very basic items here seems condescending, I don't mean it to be, it just seems that these simple concepts have been forgotten.
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Godanubis
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Anubis is known as the god of death and is the oldest and most popular of ancient Egyptian deities.
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Post by Godanubis on Nov 29, 2018 18:41:16 GMT
Time to add some bling and sell it to a Saudi Prince (bodies can then be dropped of at sea) 
I know they have the dosh I stayed there for several years gold taps in every bathroom.
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adrian77
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Post by adrian77 on Nov 29, 2018 22:10:53 GMT
don't worry about being patronising - I think the question here is what is this damn boat worth
- I would say what somebody is prepared to pay for it. I thought there may be the possibility of a rival team offer but if wrong then the situation is worse than I thought
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Post by df on Nov 29, 2018 23:20:41 GMT
don't worry about being patronising - I think the question here is what is this damn boat worth - I would say what somebody is prepared to pay for it. I thought there may be the possibility of a rival team offer but if wrong then the situation is worse than I thought The situation is very bad. Whatever happens to the boat, it will be years until any resolution and very little prospect of return. It will aid growing lenders' disappointment with FS. A bit out of topic, but there was a bling renewal a day or two ago - very small loan. Normally there wouldn't be a chance, but this one took few minutes to fill. Combining this with current SM situation and the speed of filling new (and old) loans, I think many existing FS investors are exiting and not replaced because the model is no longer attractive for new investors.
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