SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: orkrious who wrote (81124)4/24/2007 10:44:55 PM
From: Wyätt Gwyön  Read Replies (1) of 110194
 
My friend is cooked.

sounds like he is just out 900K minus whatever he can get by foreclosing, which might be 100% of 900K if he is in a senior position since he never lent more than 30-40% LTV. if he was making 7 figures for years maybe he is just "sunburned", not cooked -g-.

what is cooked is the "stock" of his business, or the capitalized value of his income.

those other anecdotes make me wonder about the small American businessman. i wonder if he has increased his leverage over the years, just as public corporations and consumers have. i guess it stands to reason. if i was running a business, i would want as little leverage as possible. i assume that's how a lot of small businesses were run post-Depression (and of course that's how public cos were run).

maybe now the small business is highly leveraged and many will go BK once they are "stress-tested" in the real world.

the thing about Detroit is it's the most farked up big city in America (economywise). i think in order for that kind of stuff to be popping up like shrooms all over America, it will take another couple of years, and even then it will take a very bearish scenario.

if such a scenario unfolds, we may see the "fabric of our society" tested.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News