Sorta makes you want to start a team, eh?...

[veeten]

http://www.autosport.com/news/report.php/id/74922

Looks like the pot is getting sweeter for those that are looking to enter next year.


As well as movable wings, an improved underfloor and a higher revving engine, cost regulated teams may also be allowed unlimited in-season testing.

and they're getting bonuses, too.


As well as getting the budget cap, AUTOSPORT has learned that the three new teams that enter F1 in 2010 could be given $10 million (USD) in television rights money and some transportation costs in exchange for constructing their own car and signing up to F1 for a five-year period from 2010 to 2014.

Is the FIA doing their version of a 'bailout' and we (as well as the other teams) weren't told?...

[cosmicpanda]

hardly unlimited testing if it's subject to the budget cap, is it?

And if it's not, then why the cap in the first place?

And they can cheat twice but not be banned!

[I am evil Homer]

That's not really relevant is it?

[DexDexter]

And they can cheat twice but not be banned!

Who cares?

Who cares?

Potential sponsors.

Mclaren's sponsors were, according to some reports, ready to walk if Mclaren had been banned.

Now, a sponsor can be safe in the knowledge that his Monaco showcase won't be ruined by pesky governing body rulings, making the whole thing even more attractive.

That's not really relevant is it?

If you don't see it as relevant, then I won't waste your time explaining concepts you can't grasp.

[V12]

I'm still not liking this two-tier system. Either have a budget cap that applies to all teams - or don't. Anything else is just asking for trouble.

[I am evil Homer]

If you don't see it as relevant, then I won't waste your time explaining concepts you can't grasp.

Oh dear.....it seems it's you who is linking a discussion around budget caps and technical aspects encouraging new teams to enter with how an existing team is already run.

[veeten]

and the FIA makes it official.
http://www.pitpass.com/fes_php/pitpass_news_item.php?fes_art_id=37751

along with more freebies...


Bernie Ecclestone's Formula 1 Management (FOM) has agreed to make an annual payment of $10 million to each new team as well as offering free transportation of two chassis, plus 10,000kg of freight, to each race.

It will also offer 20 economy class air tickets for each new team for events held outside Europe.

Oooh! Pick me, pick me... :wave:

[AndyL]

Forget setting up a team, I'm going to set up a design consultancy and come up with a really clever diffuser design that I'm going to sell to McLaren for $1m. The FIA accountants should be happy, because $1m is what it cost me to develop that design. Clearly it wouldn't be reasonable to charge McLaren $100m for the 100 other designs I tried that didn't pan out - they were useless and McLaren wouldn't want them.
Now I know what you're thinking, my company has just made a $100m loss. I'm such a terrible businessman. I guess I'll just have to hope my shareholders bail me out. What? No, no I don't know who they are. The money all comes through blind holding companies and Cayman Islands accounts. They sent me a Tag watch for Christmas, that's all I know about them.

[Knock-on]

Forget setting up a team, I'm going to set up a design consultancy and come up with a really clever diffuser design that I'm going to sell to McLaren for $1m. The FIA accountants should be happy, because $1m is what it cost me to develop that design. Clearly it wouldn't be reasonable to charge McLaren $100m for the 100 other designs I tried that didn't pan out - they were useless and McLaren wouldn't want them.
Now I know what you're thinking, my company has just made a $100m loss. I'm such a terrible businessman. I guess I'll just have to hope my shareholders bail me out. What? No, no I don't know who they are. The money all comes through blind holding companies and Cayman Islands accounts. They sent me a Tag watch for Christmas, that's all I know about them.

You cynical little tinker ;)

You won't need anything so underhand as the FIA have welded a massive loophole into the front page of the budget restrictions handbook.

40m doesn't include any dividend payable to the team from things like sponsorship.

So, you pay people £10k per year out of the budget and give them a monthly dividend of £4k out of the sponsership coffers.

Then you have all the corporate expense and anything not associated with increasing performance (such as the BMW design team at the moment) to squirrel / syphon funds with.

Forget selling parts to McLaren. You would make a fortune if you opened up a smoke and mirror shop for this "one trick pony" set of rules.

[V12]

Plus what about the manufacturers? Toyota/BMW/Renault/Ferrari/Mercedes (road car divisions) build some highly expensive new simulators, windtunnels, whatever, for the development of their road cars. Then they *ahem* lease them to their relevant F1 team for the cost of say....£1 per day....

[AndyL]

Then you have all the corporate expense and anything not associated with increasing performance (such as the BMW design team at the moment)

:D


Forget selling parts to McLaren. You would make a fortune if you opened up a smoke and mirror shop for this "one trick pony" set of rules.

I have been accused of being an accountant on this forum before so that could be a good idea ;)
This does seem to open up the possibility that the WCC will be won by the team with the best accountants.

[yodasarmpit]

And they can cheat twice but not be banned!

Give it a rest.

[UltimateDanGTR]

I think its a good idea for budget cap teams to get advantages.

although something tells me Merc and FIAT will sell parts of cars to their teams for peanuts............

[Jag_Warrior]

Plus what about the manufacturers? Toyota/BMW/Renault/Ferrari/Mercedes (road car divisions) build some highly expensive new simulators, windtunnels, whatever, for the development of their road cars. Then they *ahem* lease them to their relevant F1 team for the cost of say....£1 per day....

Unless the FIA finds some method of attaching a minimum fair market value to goods and services like that, you are very correct: that is exactly what will happen.

I figure that if Ferrari, McLaren, Toyota and/or BMW sign on... what's that the English say, "the cat will be amongst the pigeons."

[UltimateDanGTR]

heres an idea: Top Gear F1 team. stig would wipe the floor...............

[christophulus]

heres an idea: Top Gear F1 team. stig would wipe the floor...............

How hard can it be? :p