Hands free? No thanks

Today I was trying to explain a new lead to a very good contact of mine who was driving. This is not a good idea. Firstly the reception was in and out and then it was hard to make anything out at all.

A bit of advice to Business Development Managers. If we are talking about something new and relatively important with a degree of detail involved, then talk to me when you are ready to take on board what I am saying. Last year I actually told a BDM I was going to refuse to take any more calls off him if he was on “hands free”

And I will do so again

 

Directors loans. Whats the problem?

When a director puts money into his/her business it is entered onto the balance sheet as a ‘Directors loan’. It is treated as a liability and this reduces the net worth often tilting it into negative territory. That presents a difficulty to many lenders, but why?

The problem here is a total lack of understanding of the business. Yes the ‘loans’ do have to be made to account for losses or increase investment but conversely they are a total commitment from the directors.

I am currently dealing with just such a case. A number of lenders and their underwriters simply didnt ‘get it’. I was asked if the directors could give guarantees that they would not reclaim the loans which was clearly absurd given the condition of this clients accounts and it appeared that some underwriters refused to look beyond the bottom line, which is frankly unprofessional.

 

 

Airbus lead the way

Airbus have welcomed the british governments amended approach to brexit and after last weeks timely warnings we should not be surprised. My view was that the story of possible job losses and disinvestment came about at a very convenient time for a number of parties, not least the PM. Collusion? Who knows but it would certainly not be a surprise.

But what may well be overlooked in the flurry of current events is the following significant statement

The UK government now appears to be moving in the right direction on Brexit and the EU should be “similarly pragmatic and fair”, according to Airbus chief executive Tom Enders.

Has Airbus taken control of brexit? Maybe not but the message certainly isn’t fired in one direction

 

 

 

 

KPMG under pressure

The regulators may at last be keeping true to their word and digging deeper to examine the actions of the big four accountancy firms and their “audits”.

KPMG state that in this particular case they are “disappointed” but perhaps not as disappointed as lenders and (more importantly) unsecured creditors ?