Very interesting article thanks. Like the detail from surveys and insolvency people, they know whats coming. Shocking stats. Need to find positive distractions from all this bad news which I found in the lovely cover photo, very arty.
That was a long but very interesting article - I had to skim the middle section for lack of time but glad I stuck with it as I was most interested in the ownership structure and diversification. Fascinating thanks.
More articles on who the corporate survivors and victims will be would be very interesting to read.
As to what Primark should do - not much- I think online clothes shopping must be well down as people aren’t going anywhere and tightening belts - so Primark being the cheap end of the market might thrive on the other side of this just as well as those with large online presences.
As AccountingWEB user sb3736 pointed out, “If the customer [is] forever liable, whatever happens, then what is the point of having a government guarantee in the first place?”
But thats ridiculous - these are loans not grants -
What would be the incentive for anybody to repay their loan if a 100% government guarantee meant the outstanding loan was never the responsibility of the borrower?
Backing 80% rather than 100% of the amount gives the banks the correct incentive to chase the entire loan, 20% loss on an unsecured commercial loan is a big big deal for a bank.
Please don’t let blind knee jerk emotional hatred of banks and bankers cloud your judgement.
We need intelligent thinking accountants in this crisis more than ever.
Sage I like that Sage vision for 2016 - as a rather beautiful example of the modern art of saying practically nothing in a very long winded way - Might I suggest a spin-off app in management speak for 2016- called SageSpeak?
My answers
Very interesting article thanks. Like the detail from surveys and insolvency people, they know whats coming. Shocking stats. Need to find positive distractions from all this bad news which I found in the lovely cover photo, very arty.
That was a long but very interesting article - I had to skim the middle section for lack of time but glad I stuck with it as I was most interested in the ownership structure and diversification. Fascinating thanks.
More articles on who the corporate survivors and victims will be would be very interesting to read.
As to what Primark should do - not much- I think online clothes shopping must be well down as people aren’t going anywhere and tightening belts - so Primark being the cheap end of the market might thrive on the other side of this just as well as those with large online presences.
As AccountingWEB user sb3736 pointed out, “If the customer [is] forever liable, whatever happens, then what is the point of having a government guarantee in the first place?”
But thats ridiculous - these are loans not grants -
What would be the incentive for anybody to repay their loan if a 100% government guarantee meant the outstanding loan was never the responsibility of the borrower?
Backing 80% rather than 100% of the amount gives the banks the correct incentive to chase the entire loan, 20% loss on an unsecured commercial loan is a big big deal for a bank.
Please don’t let blind knee jerk emotional hatred of banks and bankers cloud your judgement.
We need intelligent thinking accountants in this crisis more than ever.
Good advice - and maybe get some of the experienced people onsite occasionally rather than sending in a whole bunch of inexperienced kids.
Very useful article, thanks.
Sage
I like that Sage vision for 2016 - as a rather beautiful example of the modern art of saying practically nothing in a very long winded way - Might I suggest a spin-off app in management speak for 2016- called SageSpeak?