New FIF1 owners do right thing early for creditors

[John S]

Lawrence Stroll gets some bad press from time to time, but the exemplary way his new Racing Point company is paying up suppliers and other creditors shows not everyone in F1 is has the manners of a shark. Good for him. 

https://www.thecheckeredflag.co.uk/2018/10/force-india-creditors-already-paid-by-lawrence-stroll/

[Robem64]

Respect Mr Stroll.

[cosworth151]

Well done! I hope it's a sample of what's to come from them.

[Jericoke]

I mean, it's good he's meeting his commitments, but it's just good business.  He has to show the suppliers that it's a fresh start, otherwise, how can he rely on them as suppliers going forward?  Without their support, there's no guarantee the cars show up at races, and then it's all wasted money.

[John S]

I mean, it's good he's meeting his commitments, but it's just good business.  He has to show the suppliers that it's a fresh start, otherwise, how can he rely on them as suppliers going forward?  Without their support, there's no guarantee the cars show up at races, and then it's all wasted money.

I think you've missed the point Jeri, the creditors/suppliers were guaranteed their money under the payment to the administrators so there is no requirement for Racing Point to make the gesture and payments at this time.

Having gone through the legal process of administration Racing Point's future creditworthiness is what concerns about 99% of suppliers, refusing future supply would be bad business as RP could almost certainly find alternate suppliers for most of their needs.

I agree changing suppliers might cost RP time so that's a consideration, however not many (if any) new owners of buy outs from administration are as generous as Stroll and his partners appear to be.       

[Jericoke]

I mean, it's good he's meeting his commitments, but it's just good business.  He has to show the suppliers that it's a fresh start, otherwise, how can he rely on them as suppliers going forward?  Without their support, there's no guarantee the cars show up at races, and then it's all wasted money.

I think you've missed the point Jeri, the creditors/suppliers were guaranteed their money under the payment to the administrators so there is no requirement for Racing Point to make the gesture and payments at this time.

Having gone through the legal process of administration Racing Point's future creditworthiness is what concerns about 99% of suppliers, refusing future supply would be bad business as RP could almost certainly find alternate suppliers for most of their needs.

I agree changing suppliers might cost RP time so that's a consideration, however not many (if any) new owners of buy outs from administration are as generous as Stroll and his partners appear to be.     

Ooooh, I get it! 

I forget that doing what comes naturally to Canadians counts as 'a surprisingly nice gesture' around the world. 

[Scott]

 

[John S]

Et tu, Brute - Scott? 

Thanks for the reminding me Jeri why I love Canadians, 
……….but you can keep your whiskey.     

[cosworth151]

Your whiskey is fine with me. It's that round bacon I can't get used to.

[Jericoke]

Your whiskey is fine with me. It's that round bacon I can't get used to.

You're not the only one to enjoy rye (aka Canadian Whiskey):
https://www.forbes.com/sites/karlaalindahao/2015/11/30/crown-royal-northern-harvest-rye-is-best-whiskey-in-the-world-2016/#591b86b23751

I'm not a big fan of pemeal bacon either.  It's okay once in a while for something different, but I prefer strips of porkbelly.

[Alianora La Canta]

This is super It's a lot better to have the debt paid promptly than by relying on the legal process to look after it. Perhaps this is part of the reason FRP preferred the Strolls to everyone else? (If they suspected something this would happen, it would be considered a valid reason to prefer the Stroll bid, even over someone paying more money like Ukrali claimed it would).