Classic cars forum & vehicle restoration.

[Ray White]

https://www.theguardian.com/business/2016/aug/30/multimillion-pound-classic-car-business-given-to-staff

A generous move by Peter Neumark but I wonder what happens if they make a loss?

[Peter_L]

As I see it, The company would not be a very easy one to sell. Together, the employees have purchased the company with their skills. If I worked there, my concern would be in the ability of those who win orders and control the budget.

Not much point being the best panel beater in the world if there are no panels worth beating. The previous year's net profit was low because of relocation costs, which would suggest the company is viable but what about previous years ?

Worker input is one thing but the idea of a democratic management system reporting to trustees doesn't sound like a very dynamic process and may need some retuning in the future.

I have no pleasure in seeing failure and hope it all works out and the company goes from strength to strength.

to answer Ray's question, loss is loss, so the end result would be the same. Sale to someone with very deep pockets or closure.