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My best mates fiancé inherited her fathers business at the start of the millennium and for a few years all was good. They specialise in manufacturing parts for cars that are now obsolete in more modern vehicles so other than 80s/90s stock are no longer required. She has had a hands off approach preferring to have a workshop manager and for at least ten years it meant that she did feck all other than prop up a stool in a posh bar/eatery most afternoons, nights (you get the idea) with the obligatory new Mercedes then Range Rover Evoque and more recently (cutting her cloth here a Mazda something or other). Long and short is this business isn't viable and it has meant she has had to get a proper job (£30k working for a rail company) and pretty much every penny of her salary goes into keeping the business afloat. For this reason my mate is reluctant to move in with her (yet), to make matters worse the person running the business for her is demanding a pay rise (usual not had one in 5 years chat) and wants £45k (from £40k), she can't even give the business to him (he clearly knows it's a dog with flees) nor can she afford to make him redundant (her personal credit cards are maxed out, all this credit hosed on the business) and to top it off, if she wound the business up she'd lose her mortgage free house as it's a guarantee on loans for the business.

She refuses to let go as #1 it was her fathers business and she wouldn't like to see it fail now (emotive) and #2 she's convinced that as her product becomes a niche she'll be able to increase prices substantially, in her words they need to triple just to make a profit on the balance sheet.

advice please. I'm seeing my mate this w/end. Like me he told her to start with a clean slate (both on a combine income of £65k in the midlands, and try to walk away with at lease a 25% deposit on another house in the future, even if that meant losing equity short term. 

Inherited or not this must be a wider problem out there. I never once thought about it this way.

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Edit #2 ((delusional) it'll never be viable)

and my mate pays for everything including her wine at £7 a glass, he avoids her for this reason including last night. (That's 3 glasses 5-6 nights a week), that's a lot of money to spend on a blonde DOSBOD (not on dating site AFAIK)

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45 minutes ago, longtomsilverunderwater said:

advice please. I'm seeing my mate this w/end. Like me he told her to start with a clean slate (both on a combine income of £65k in the midlands, and try to walk away with at lease a 25% deposit on another house in the future, even if that meant losing equity short term. 

 

Remove anything of value, wind up business, repay loans as necessary, move on. No assets so no redundancy to pay. Government pays statutory redundancy.

Likely action for her - Blah, blah, blah, don't want to do that, don't talk to me about the real world.  Buy me another drink.

 

Strong evidence that she spends far more than her income.  Guess what happens when they move in together...... 

Probably better to move into her house and contribute to her new mortgage, keep his savings separate and avoid financial ties until her spending is under control.

Finally, refer him to therationalmale.com

 

 

 

 

 

 

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She needs to replace the Mazda with a DeLorean so she can go back in time and not fuc* her business up so much.

He  needs to run away very fast and never look back execute a tactical withdrawal before he gets sucked too far into the impending financial maelstrom.

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On 11.8.2017 at 3:29 PM, longtomsilverunderwater said:

Inherited or not this must be a wider problem out there. I never once thought about it this way.

Thinking a business runs itself?

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3 hours ago, Steppenpig said:

Thinking a business runs itself?

Actually not that but true nonetheless. One of my good friends father died young and his mother just let the other directors in his business run her share which they did... into the ground - taking most of the wealth along the way. 

On (this) topic without adapting the business had no where to go and the manager AFAIK was instructed to run the business and not develop or diversify, that wasn't his skill set or remit.

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3 hours ago, Si1 said:

Oh dear. Slaps own wrist.

what's happening here? Made a post referring to posters on the DOSBODS thread and it seems to be missing.

And then your lament. Confused. :blink:

EDIT: Just followed link in your ref to my post and it leads to a post I made on DOSBODS. It has nothing to do with this thread. Why have you referenced it? Why is THIS post under moderation? I've tried to be a good boy, but it seems somebody has got me in trouble! :mellow:

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