It seems the market has really changed

Regarding RM I overheard Rob Meyers at a recent auction talking about how much work the auctions were and that it was literally one auction to the next beings very busy lifestyle. He's getting on a bit, likely made plenty of cash and probably wants to retire at some point. They make a lot of fees but man the staff that they have are numerous. At 25% to Sotheby's RM gets great brand recognition and allows them to stand above the other auction houses so I also see this as a motivation.

 

I sold a major share in a company I spent 20 years building from scratch. The reasons are that my competitors had scale I did not, they could take opportunities I couldnt and could insulate against downturns in a way I couldnt.

Most importantly having a big partner involved allowed us to tap into resources finanicial and intelelctual that allowed us to fast track growth opportunities we had previously watched from afar or that our competitors were too slow to move on because they did not have the annalytical ability or small company drive. The intellectual asetts backing us up, taught me a lot about running a company in genral, analysing opportunity metrics, and allowed for growth even beyond what I imagined realistic.

In addition to the buisness opportunities afforded, selling some share gave me personal liquidity which I previously had not enjoyed, reduced casflow stress, and removed the stifling controls of bank debt on the company.

Fast forwards 10 years, exponential growth meant my big partner was calculating the costs of getting rid of the junior partner as becoming increaingly expensive. They took advantage of the recssion to try wedge me out, I resisted 2 years later they were prepared to pay heavily for it. I figured we had ridden that pony as far as it would go.

Nothing wrong with finding new opportunities in life, its refreshing, especialy when you have the capital to be able to afford to say no or yes.

i big partner can do wonders for a buisness. Think of it like when a tree falls in the woods, which sapling can take advange of the sunlight quick enough to grow into the space.

 

This such a great thread. It's much more than how high will my Ferrari go? The in-depth analysis by the fellow business owners here is great.
The conversation has gone from markets, future Asian growth trends to M&A and business strategy.

It's my favorite thread to read.

Shamile

Freeze. ..Miami Vice!

Sent from my SAMSUNG-SGH-I747 using Tapatalk

 

I think this is more likely what's happening at RM.
All of the principals have been at it for quite a long time, and it makes sense to "take a bit off the table" at this point.

 

Now I am waiting for it to slide over to sex. And back to Ferraris.
And a combination of those.

 

So, I see Shamile has his TR up for sale in the classifieds. So much for keep it till it rots cuz you love it. Says it's a matter of time vs. a TR vs. a Lambo.

I wonder if he'd be selling it if the market worth was $60k+-, like a couple of yrs ago or so?

There are not that many people that can ignore the $potential$ in a Ferrari in their garage, so I expect more and more cars to hit the market. Could be many from Fchat, as these cars tend to be well kept and documented.

$money$ talks, most will listen, few will ignore, regardless of how much they like their Fcar.

 

Seriously? Don't make me out to sound like a hypocrite. I've had my Testarossa for the last 12 years and my Diablo for the last 10 years. If you read my ad, I stated that I'm not a collector and I was on the way to add a 360 spyder. I then realized I don't want to spend more and more of my time just working on my cars.

Do you really want to know what changed my mind and directions? Well, some old guy T boned me last week in my Diablo...and hard enough to push me sideways into oncoming traffic. I was able to swerve back without injury. It just reinforced what I've been feeling lately. I want more time to have fun....not just play in the garage.

My Roadster is currently at Lamborghini Miami undergoing a full analysis. If I was really worried about the money, I wouldn't drive my cars as daily drivers. I don't regret driving the car and whether it's repaired or I buy another Lamborghini....it WILL be a daily driver.

...and yeah yeah, it'll buff right out


Shamile

Freeze...Miami Vice!
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Glad you weren't hurt.
Life is short. Enjoy the ride.

 

Thanks !

....and damn right!



Shamile

Freeze...Miami Vice!

 

Oh Shammy, bad news on the Lambo, even worse not having you around the TR section. Good luck with it all.

 

+1 glad you are ok bro. If it can be fixed with money it ain't broke. Good luck mi amigo.

 

Oh, I'll still be an active participant in the TR forum. I'm not adding another Ferrari so that'll still be home lol

Thanks!



Shamile

Freeze. ..Miami Vice!

 

Shame about the Lambo, Shamille, but it is good you were not hurt.

 

Thanks. We're still in the assessment stage but the hit was pretty hard. We've got suspension error warning lights, airbag light on and other electronic anomalies. Sooo....

Shamile

Freeze. ..Miami Vice!

 

A photo of Your car made Wrecked Exotics

Glad you are OK!

Lamborghini Diablo Roadster crashed in Orlando, Fl

 

Haha.....never thought I would see my own car on that site lol

....and thanks

The caption is true. I just won a gold award in the Celebration exotic car festival. I was 1/2 a point off from platinum. ......cause I left all the booklets at home. :/



Shamile

Freeze. ..Miami Vice!

Sent from my SAMSUNG-SGH-I747 using Tapatalk

 

Um, here is what's happening in Greece...

They're reiterating the meaning of "hard asset" exactly as many people in this thread predicted.


http://www.ferrarichat.com/forum/612-599/494459-612-do-not.html#post144078601


Brad, how is your gold play working out?

 

Just like some guys have said- hard assets often provide better protection than cash. Thats why when people flee their homes, they usually do it loaded up with gold, jewelry, collectibles, and sure some cash you'll need that too. Its a shame when this happens to people. I'm not trying to make light of it. Just pointing out how many people have realized cars are not a terrible class of hard assets.

 

Better get into the art market now! These artists are dying, and no longer painting! Many are already dead!

Prices will do nothing but go up!

 

Sorry, but one person's potentially misguided attempt of avoiding capital restrictions through buying a 612 doesn't mean much.

Chinese have been flowing money into foreign real estate for similar reasons (as "safe havens") but that doesn't mean it is going to work out well for them. When purchases are made for the sake of moving money around, not much thought is being given to true value or a whole host of other key factors. Ask Chinese investors how their recent Canadian real estate purchases are looking... Canadian dollar down 30% over the past 18 months looks nearly as bad as their own stock market implosion. Layer on top of that a bubble in that market, and those "investments" could soon be worth 50% of what they were just 6 months ago...

What is evident is that a lot of financial flows recently are largely irrational. Money flowing into particular assets not because of their income generating properties, but purely because of speculative elements, is not a sign of long-term durability and good sense. Once the assets flat-line or start to decline, it leads to another stampede in the other direction. True car collectors may not want (or need) to run out of the market, but the recent "marginal" buyer will be running pretty fast in the opposite direction...

I'm even more convinced given the nature of posts on the topic in other areas of the site... there is so much buzz about getting into cars now before they go up more... it really does mirror the tech bubble in the late 90s/early 2000, and pretty much every single bubble (including 06/07 US real estate).

 

The posts on this page along with references to the Greece 612 example are interesting. "Desperate measures for desperate times" explains the latter as capital tries to find security over yield wherever it can. There are few options for the Greeks these days as the governement desperately tries to pick the pockets of its citizens in order to meet the impossible demands of foreign creditors. The banks will win AGAIN, the public will loose more confidence in the establishment and be worse off when the dust settles. I don't think Ferraris are enough to preserve wealth in that situation. Anything short of a debt jubilee is likely to fail and will sink most into poverty.

As for China, capital has been flowing OUT ever since it marked itself as the next financial superpower as did Japan before them . This indicates less confidence in the Chinese authority than the Greeks do in theirs. Foreign RE, specifically in US, Canada and Australia have received a massive boost outperforming just about every other sector with little regard for sustainability. To locals benefiting from home equity bumps, "it's different this time"; history however will soon prove otherwise as capital will be force to either repatriate or find an alternative liquid safe haven (US Bonds, $, Equities maybe?). I don't see Ferraris on top of the list of stock market gambling grandmas.

 

Exactly, but that's one of the many rationalizations that speculators will throw out there to lure people in. I know the majority in this forum are tired of these value threads discussing prices. I hate it just as much as anybody else, as I'm a big-time car nut, and have been passionate about beautiful lines and great exhaust notes my whole life. I'd much rather discuss car-guy stuff. However, this is the hand we've all been dealt. Some people care, some don't. Perhaps I care too much. But, the fact remains that until these leeches (brokers and speculators) leave and quit screwing with our hobby, the threads will continue, and won't stop until the pop. That's why I'm heated about it. I just want them to LEAVE. The sooner they are gone, the sooner the hobby can continue being fun again. The current climate is driving many gearheads away, which is a dangerous to the hobby. Unfortunately, none of us can convince them to do so. But the Fed raising interest rates, economy, and banks that they are using to fuel this crap will convince them when they begin reposessing the cars, just like last time.