Friday, December 23, 2011


They may know it but Financial and Market analysts aren't admitting the truth about Enterprise Inns - the company has been insolvent for at least three years. It exists only out of positive cashflow delivered by massive cash receipts that come in from rent and beer supplies being paid for before due date and before delivery.

Name ONE other modern sizeable industry sector where the majority of customers PAY THEIR BILLS BEFORE THEY ARE DUE. Enterprise gets its cash before it delivers the beer and gets the rent a quarter in advance. It stretches its suppliers to 90, 120 days and, Bobs' Your Uncle - added to this Selling off the Family Silver in the form of preposterous Freehold Sale and Leasebacks (itself storing up problems down the line) and what do you get? Four years worth of positive cashflow it can hide behind when the shit hits the fan.

Trebles All Round

Maybe this will not get published in case of libel.

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