$48 million Bond

[rodders47 2]

I just read where Mosley is proposing dropping this bond money ?

I never knew it existed but appears it has for some time !

ANY WONDER WHY F1 IS EXPENSIVE !!!!

To be able to get $48 Mill before doing anything is/would be quite a challange let alone build 2 race cars etc etc..

Geez lets be real here.. How much money does the F1 Heirachy GET out of this circus ??? I suspect a whole lot more then the teams/drivers/pit crews etc etc

Bill Gates ... Move over Bernie and crew about to take your TOP place in money earners List :shock:

[nojvnof1 0]

When this bond was implemented it was a good thing. It was brought in to stop half hearted attempts at running F1 teams ala Andrea Moda and other teams which have turned to shambles, especially in the 80's and early 90's. Teams would last 1 season or 2 then go bust. It was brought in to make sure teams were serious about their attempt at F1 and didn't turn the sport into a farce. BAR got around it by buying Tyrrell, but Toyota paid the bond.

Now, with the grid as sparse as it is, I say life the bond, allow the likes of Arden and others and see how things go. If these teams can't hack it, then bring the bond back. There would be no harm to give it a go, especially with F1's popularity on the wane, even former F1 drivers fall asleep watching it ie. Jacky Ickx (f1racing.net interview)

[C.A.L. 0]

I think there is another real problem other than the overly high Bond rate.

That is any Team coming in can not have monies given to them from the WCC finishing position for three years.

It too stupid, all to keep the "OLD" boys rich and happy for a few years before getting their asses kicked hard should that ever indeed happen.

Another thing is this BOND would attempt to encourage new Teams to buy an existing Team ...but that is not working here ..even with the likes of Billionaires . The whole thing is Stupid.

The Teams complain of COST to run a Team ...but then claim they are worth tens of millions...ha ,ha, ha ....can they get a bank loan ? No . Its like they want to preceive themselves as holding some rich (valueable) franchise.

Problem is the Bernie FOM/FIA or whom it is that pays out WCC monies do not pay out enough .... they need a large reworking of the costs /monies paid out/structure of new teams ..the whole sha-bang.

[rodders47 2]

good points guys. So to overcome this problem WHY not allow teams to BUY products from other teams? i.e. If I was to setup a team AND I didnt have to pay a HORENDOUS Bond, why could I not front say Williams or Ferrari or McLaren and BUY a TUB from them and also maybe an engine./gearbox assembly ? as is the case in F3 and F3000 and Cart ?

Would this allow MORE smaller budget teams to go racing in what WAS the epitemony of Motor Racing?

But I guess Bernie would not be making as much money from this deal. That is what it is all down to , MONEY, not racing, not entertainment just BLOODY money for those that can "Cream the Cake "

As I see it in the not too distant future F1 is doomed

[AutoRacer5 0]

scrap the money, make a cap of 200 mil, that will make it even, and give more money to the lower placed teams.

[Senna 0]

good points guys.  So to overcome this problem WHY not allow teams to BUY products from other teams?

This has been proposed by Max and others but it hasn

[pumpdoc 2]

This bond did it's job by keeping SA and Sato out of F1

[narain fan 0]

This bond did it's job by keeping SA and Sato out of F1

it seems you love old threads.....

[pumpdoc 2]

it seems you love old threads.....

Why start a new one when this one will do??????????

[monza gorilla 1]

That's very green of you. Are you feeling ok? By the by, I think that the bond should stay in some form or other, to discourage under funded teams.

[pumpdoc 2]

That's very green of you. Are you feeling ok? By the by, I think that the bond should stay in some form or other, to discourage under funded teams.

Just doing my part to save bandwidth

[Senna 0]

This bond did it's job by keeping SA and Sato out of F1

[nojvnof1 0]

Although they haven't paid the bond yet, they will try to make a late application as the money is there. This isn't over.

[Senna 0]

Although they haven't paid the bond yet, they will try to make a late application as the money is there. This isn't over.

[nojvnof1 0]

My sentiments exactly.

[mock 0]

Although they haven't paid the bond yet, they will try to make a late application as the money is there. This isn't over.

A bond works differently. You do not have to actually 'pay' the bond in terms of cash. It works like a bank guarantee. If you have a good enough financial standing with a bank, they would stand guarantee for the 48 million - works rather like an engineering contract where you have to provide a security guarantee for a certain sum, from a reputed bank. If you screw up on your contract the holder of the guarantee can ask the bank to pay up, no questions asked the bank would pay the amount and recover it from you. Each bank has different rules and different limits for different customers based on their financial standing. The bank makes its money through processing charges as a %age of the total security.