Takeover

[CarlosCorbewrong]

A snippet from another site about Patel’s wealth.

1 day ago · Having owned several businesses of his own, Shilen now runs the Patel family office, which claims to have over $2billion in assets under management.

Again as many have said he cannot bankroll us anyway in the championship so we need to look to box clever ect. Regards his wealth, I think he’s personal wealth is around 200 million whilst the companies he deals with ect I’ve read is around the 2 billion ect in assets . Something like that, I think

The £2 billion is the Patel family’s own family office.  You do realise that’s the family’s wealth, not third party wealth?

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A snippet from another site about Patel’s wealth.

1 day ago · Having owned several businesses of his own, Shilen now runs the Patel family office, which claims to have over $2billion in assets under management.

And what are their liabilities?

Sensible families with $2 billion of assets under management don’t tend to have substantial liabilities!   They use their own wealth to fund projects and generate a return, especially with low interest rates no longer constituting “free money”.

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I’m not sure I buy into the argument it doesn’t matter if they don’t have significant cash. Even if we go down the develop the scouting, youth development, and general football department it will still be a lot easier and potentially more effective if the owners have wealth that can compete with clubs we will hopefully be up against in the Prem.

Brentford seem to be the natural blueprint but their success will get more and more difficult to sustain as time goes by.

That just needs owners with low 9-figure wealth.  Any wealth above that level is irrelevant.

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A snippet from another site about Patel’s wealth.

1 day ago · Having owned several businesses of his own, Shilen now runs the Patel family office, which claims to have over $2billion in assets under management.

And what are their liabilities?

Sensible families with $2 billion of assets under management don’t tend to have substantial liabilities!   They use their own wealth to fund projects and generate a return, especially with low interest rates no longer constituting “free money”.

Elon Musk, the world's richest man, deliberately promo'd the Tesla Tank with a 'reserve yours for $100' so that he could go to lenders and say "I've got 1 million orders" in order to raise finance (and not use his own).  

Really rich people leverage debt and don't risk their own capital.

I do, however, assume that the Patel Group/Corp/whatevs are buying another asset and this isn't going to be Junior's plaything using his own cash.

They did when debt was so cheap that it was free money.  It’s no longer free money.  And there’s a huge difference between paying MSD-level rates of 14% versus the sort of rates that billionaires would consider to be very cheap debt - around 5%.    They might borrow at 5% to achieve 15%+ returns.  They certainly don’t borrow at 14% to fund loss-making businesses.

I suspect most (actual) billionaires don't pay anywhere near 14% or deal with vultures like MSD.  In fact I suspect those with a track history like Patel can get it far below 5%.  Hell, he might even do an intracompany loan.