Maggie was right

[Mich the Tester]

I bet your investor votes conservative

I bloody well hope so.

[AtW]

It is still his cash that he is investing in your business. So the business has a debt to repay him. His security () is the ownership of a section of something that might () one day repay his money and make him a profit.

Which part of shares sold for cash you don't understand?

You crack me up, so let's say you buy a few shares in BP during rights issue and you think this means BP will have the cash you paid for shares accounted for as debt?

There is no debt on the business, which of course needs to be run in the interests of shareholders but there is no obligation for the business to return the money.

I am not going to go into details here, but if I was in his position I'd do the same thing and be pretty chuffed about it. Not that your opinion matters in this one anyway.

[AtW]

I bet your investor votes conservative

I don't know, he is from Holland.

I'll vote Conservative this year, so what, that does not mean I'll kiss Thatchers behind.

[DodgyAgent]

Which part of shares sold for cash you don't understand?

You crack me up, so let's say you buy a few shares in BP during rights issue and you think this means BP will have the cash you paid for shares accounted for as debt?

There is no debt on the business, which of course needs to be run in the interests of shareholders but there is no obligation for the business to return the money.

I am not going to go into details here, but if I was in his position I'd do the same thing and be pretty chuffed about it. Not that your opinion matters in this one anyway.

When a bank gives a mortgage it buys a share of the house.

[AtW]

Again, that is the responsibility of those individuals who make decisions over their own expenditure. It is quite a different matter for the government to get into debt by running out of other people's money.

It's a lot easier for the Govt to get in debt than for most people. If all fails it can print money, like it does now.

[DodgyAgent]

I don't know, he is from Holland.

I'll vote Conservative this year, so what, that does not mean I'll kiss Thatchers behind.

Give it 6 months and do it, you'll be arrested for necrophilia.

[AtW]

When a bank gives a mortgage it buys a share of the house.

Mortgage is a repayable debt, shareholder capital may not be - only via dividends or future share sale.

Go look up the difference between loans (debt) and equity investments.

You owe it to me.

[Moscow Mule]

When a bank gives a mortgage it buys a share of the house.

Charge over.

Subtle, but important difference.

[AtW]

Give it 6 months and do it, you'll be arrested for necrophilia.

Are you on drugs or something? I clearly said I won't do kiss her behind, yet alone do anything else.

[Mich the Tester]

It's a lot easier for the Govt to get in debt than for most people. If all fails it can print money, like it does now.

...which will lead to inflation.

AtW, it’s not nice to say this, but I think you’re going to have to leave the UK soon. You see, the conservatives are going to win the next election. While trying to get public finances sorted out, they’re also probably going to do lots of things that will horrify you. They’ll probably give people school vouchers to choose the school their children attend. They might privatize big chunks of the NHS and give people a choice as to how to insure themselves against healthcare costs. They might even try to cut down on social ‘benefits’ while cutting business regulation to encourage new job creation. An just possibly, they might re-examine the tax arrangements for small businesses, including one person businesses, so as to give those businesses a better chance of investing in growth. This will be very scary for you, as you’ll have to watch as some people take sensible decisions and make a success of it, while others squander the opportunities and make their own situation worse.

I might come back.