Discussion
Petrus1983 said:
Williams have issued a statement saying furlough‘d a lot of staff - whilst senior management and drivers have taken a 20% pay cut.
All the teams are doing the same, taking the summer break holiday now or furloughing staff with drivers taking a pay cut.The exceptions are staff working as part of project pitlane.
Petrus1983 said:
I’m thinking that Williams will be in the worst position to weather any significant change to the calendar if Corona changes things which would be a great shame as I really think they can pick up some points this season.
It's not a good sign that they had to sell off WAE and sell a load of seat time to a raft of development drivers... And that was the situation BEFORE corona, and one assumes subsequently losing almost all of their expected sponsorship revenue.What does that leave them with now? A factory with 750 people in it to operate for a full year with almost all of their revenue evaporated. Furloughing their staff for a couple of months is helpful, but it' hardly going to touch the sides of the financial hole they're looking at.
Does anyone know how championship monies are being dealt with at this time? Do the teams get the money even without running? This chart from 2019 seems to suggest it's all based on their participation and performance in the previous season: https://www.racefans.net/2019/03/03/formula-1-team...
TheDeuce said:
Does anyone know how championship monies are being dealt with at this time? Do the teams get the money even without running? This chart from 2019 seems to suggest it's all based on their participation and performance in the previous season: https://www.racefans.net/2019/03/03/formula-1-team...
15 (gp standard) Races makes a championship.. thats also the default for TV money to be handed back, teams getting paid..there are some other odd ball rules like 3 continents, and no more than one qualifying championship race per country, but id imagine they be waived to get a championship.
Before August (SPA), Silverstone/Austria look like they will do at least two each (& perhaps with no spectators), paul ricard may do a couple as well.. Season should start (as normal) for SPA.
Deesee said:
TheDeuce said:
Does anyone know how championship monies are being dealt with at this time? Do the teams get the money even without running? This chart from 2019 seems to suggest it's all based on their participation and performance in the previous season: https://www.racefans.net/2019/03/03/formula-1-team...
15 (gp standard) Races makes a championship.. thats also the default for TV money to be handed back, teams getting paid..there are some other odd ball rules like 3 continents, and no more than one qualifying championship race per country, but id imagine they be waived to get a championship.
Before August (SPA), Silverstone/Austria look like they will do at least two each (& perhaps with no spectators), paul ricard may do a couple as well.. Season should start (as normal) for SPA.
Tbh, even if Williams get the money this year, it's still going to leave them with the missing sponsorship money. Also, if the championship pot is itself based on TV money, then I would assume that pot will be somewhat smaller this season. I can't believe all the networks that paid monies to Liberty for the rights to this season won't be demanding most of it back, or simply halting future staged payments at least until F1 is back on the telly.
carl_w said:
Deesee said:
15 (gp standard) Races makes a championship.. thats also the default for TV money to be handed back, teams getting paid.
Sporting regulations stipulate that the minimum number of races required for a world championship is eight. Commercials are a different matter.TheDeuce said:
Deesee said:
TheDeuce said:
Does anyone know how championship monies are being dealt with at this time? Do the teams get the money even without running? This chart from 2019 seems to suggest it's all based on their participation and performance in the previous season: https://www.racefans.net/2019/03/03/formula-1-team...
15 (gp standard) Races makes a championship.. thats also the default for TV money to be handed back, teams getting paid..there are some other odd ball rules like 3 continents, and no more than one qualifying championship race per country, but id imagine they be waived to get a championship.
Before August (SPA), Silverstone/Austria look like they will do at least two each (& perhaps with no spectators), paul ricard may do a couple as well.. Season should start (as normal) for SPA.
Tbh, even if Williams get the money this year, it's still going to leave them with the missing sponsorship money. Also, if the championship pot is itself based on TV money, then I would assume that pot will be somewhat smaller this season. I can't believe all the networks that paid monies to Liberty for the rights to this season won't be demanding most of it back, or simply halting future staged payments at least until F1 is back on the telly.
Overall for the sport..
Zak Brown has stated that 4 teams are at real risk of exiting the sport..
Deesee say's
Liberty won't have the funds to support them.
We may see Bernie back, watch this space..
Deesee said:
carl_w said:
Deesee said:
15 (gp standard) Races makes a championship.. thats also the default for TV money to be handed back, teams getting paid.
Sporting regulations stipulate that the minimum number of races required for a world championship is eight. Commercials are a different matter.Deesee said:
8 races for a Championship, 15 races to get paid.. Thanks carl_w
So.. because it's paid in arrears.. the teams are due the money this year, based on last.Ignoring the fact that every network around the planet will be asking liberty for a refund, so there probably isn't anything in the pot to divide up anyway.
I think Zak Brown is right, I can well imagine several teams having no way of sustaining such a revenue shortfall.
They currently have a freeze on activity and have cancelled the rules change for at least 1 year that will probably be extended.
Add to the ability to pass on your wage bill to the government, thats going to make a huge difference to cash burn rates.
It's also worth noting that the sponsors are still getting exposure via the online races and press content.
They are doing a lot to survive this period, which is all they need to do.
Add to the ability to pass on your wage bill to the government, thats going to make a huge difference to cash burn rates.
It's also worth noting that the sponsors are still getting exposure via the online races and press content.
They are doing a lot to survive this period, which is all they need to do.
jsf said:
They currently have a freeze on activity and have cancelled the rules change for at least 1 year that will probably be extended.
Add to the ability to pass on your wage bill to the government, thats going to make a huge difference to cash burn rates.
It's also worth noting that the sponsors are still getting exposure via the online races and press content.
They are doing a lot to survive this period, which is all they need to do.
Unfortunately, cancelling the rules change mean that McLaren have to build a new car (because of new engine) for next year, and then build another new car for the following year.Add to the ability to pass on your wage bill to the government, thats going to make a huge difference to cash burn rates.
It's also worth noting that the sponsors are still getting exposure via the online races and press content.
They are doing a lot to survive this period, which is all they need to do.
Every other team AFAIK could just roll over this year's car to next year.
skwdenyer said:
Unfortunately, cancelling the rules change mean that McLaren have to build a new car (because of new engine) for next year, and then build another new car for the following year.
Different times but in 2009 there was a team that did quite well after bolting a Mercedes engine into the back of their existing car. jsf said:
They currently have a freeze on activity and have cancelled the rules change for at least 1 year that will probably be extended.
Add to the ability to pass on your wage bill to the government, thats going to make a huge difference to cash burn rates.
It's also worth noting that the sponsors are still getting exposure via the online races and press content.
They are doing a lot to survive this period, which is all they need to do.
Well... The wage bill can only be passed on to the government short term. They may be doing all they can to survive, and that is all they need to do - I'm personally worried it might yet prove a stretch too far this time.Add to the ability to pass on your wage bill to the government, thats going to make a huge difference to cash burn rates.
It's also worth noting that the sponsors are still getting exposure via the online races and press content.
They are doing a lot to survive this period, which is all they need to do.
Let's just hope whatever revenue they get from their efforts to help with ventilators is substantial. They weren't in good shape before all this, and it was getting hard already to see their long term future without some major changes in how the team operates - but It would be beyond sad to see Williams fall apart in a year where they didn't even go racing.
TheDeuce said:
Well... The wage bill can only be passed on to the government short term. They may be doing all they can to survive, and that is all they need to do - I'm personally worried it might yet prove a stretch too far this time.
Let's just hope whatever revenue they get from their efforts to help with ventilators is substantial. They weren't in good shape before all this, and it was getting hard already to see their long term future without some major changes in how the team operates - but It would be beyond sad to see Williams fall apart in a year where they didn't even go racing.
Furlough funding available is for 3 months minimum and will most likely be extended for large chunks of UK industry.Let's just hope whatever revenue they get from their efforts to help with ventilators is substantial. They weren't in good shape before all this, and it was getting hard already to see their long term future without some major changes in how the team operates - but It would be beyond sad to see Williams fall apart in a year where they didn't even go racing.
jsf said:
TheDeuce said:
Well... The wage bill can only be passed on to the government short term. They may be doing all they can to survive, and that is all they need to do - I'm personally worried it might yet prove a stretch too far this time.
Let's just hope whatever revenue they get from their efforts to help with ventilators is substantial. They weren't in good shape before all this, and it was getting hard already to see their long term future without some major changes in how the team operates - but It would be beyond sad to see Williams fall apart in a year where they didn't even go racing.
Furlough funding available is for 3 months minimum and will most likely be extended for large chunks of UK industry.Let's just hope whatever revenue they get from their efforts to help with ventilators is substantial. They weren't in good shape before all this, and it was getting hard already to see their long term future without some major changes in how the team operates - but It would be beyond sad to see Williams fall apart in a year where they didn't even go racing.
So much is unknown, we don't know the figures involved for income/expense. That's why I'm choosing my words fairly carefully and simply stating I am worried for them. They were struggling before this, and I doubt very much that in the end CV will help the team financially. So one way or another, I expect an already struggling team will be taking another hit right now. They can obviously only take so many hits.
TheDeuce said:
It may be, and it may be extended. Williams could also perhaps benefit from the rescue loans too - although the requirements to qualify are pretty tight and an F1 team might struggle to tick the right boxes.
So much is unknown, we don't know the figures involved for income/expense. That's why I'm choosing my words fairly carefully and simply stating I am worried for them. They were struggling before this, and I doubt very much that in the end CV will help the team financially. So one way or another, I expect an already struggling team will be taking another hit right now. They can obviously only take so many hits.
You are loving it, you can't wait for the bad news.So much is unknown, we don't know the figures involved for income/expense. That's why I'm choosing my words fairly carefully and simply stating I am worried for them. They were struggling before this, and I doubt very much that in the end CV will help the team financially. So one way or another, I expect an already struggling team will be taking another hit right now. They can obviously only take so many hits.
Lets hope you remain disappointed.
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