Interest Free is not as admirable as you think, rates are very low at present, so in their multimillionaire world they are not loosing that much, but gaining a lot.
Well, it is really, because that money wouldn't be sat in a bank, it would be invested in markets, markets where JH has shown an ability over many years to make an awful lot of money.
Now add in the timeframe for repayment (there isn't one), and it's easy to make the case that even in a 5 year period, he could have got a return of 20% on the money he loaned.
On top of that, we would as a club, have had to go to a venture capital firm/bank, which has interest rates much higher than you see on the high street, as H&G found out to their cost.
Of course we would have been able to get a much better deal that the 18% they were paying, and maybe could have got as low as 5% (unlikely), but either way, we have saved a considerable amount, and JH has "lost" a considerable amount.
As I said before, assuming he (and others) take the loan back in the form of equity, they'll make their money as and when they sell.
I don't have a problem with that, my only issue is who they eventually sell to, but I'd bet that they'll do better than Moores and Parry.
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