Ladies and gentlemen, the Manor Racing Team have officially entered administration, meaning that in order to be allowed enough time to repay outstanding debts to creditors, an administrator – someone appointed by the court – takes over the company.
The financial situation at Manor is so dire that the team are on the verge of fully collapsing, and without the financial backing needed to get back in business, Manor will most likely be unable to compete this year in Formula One.
So, what needs to happen between now and the start of the season for Manor to be on that starting grid in Australia?
Manor desperately needs an investment from someone to keep them going, and while they are in talks with many investors, a deal is nowhere near the point of certainty.
If you can remember back to around the start of 2015, Manor was saved at the very last minute by owner Fitzpatrick while they were in administration, and the same could happen here again.
As for whether anyone would invest in Manor is a very tough call, especially considering the fact that this is the second time the team has gone into administration within about two years.
With all that said, let’s consider why Manor went into administration in the first place.
Manor had difficulty this year gaining sponsors. They were nowhere near as supported by commercial sponsors as other teams, whether that be because of their poor financial status or reputation – or their poor on-track results.
Sponsors played a role in the lack of income coming into the team, but Sauber pipping them for tenth and second last place last year cost Manor a staggering 10-million Euros, and possibly even their future.
Manor look to be facing very tough times, and will be fighting for their future right up until the first round of the championship in March 2017.
deleteaccountplease
Roar Rookie
Hi Matt, yes for sure its a very common thing for sporting leagues to buy teams for a variety of reasons, and while it could work in F1 and is a good idea, I do have some hesitations. Firstly, owning a team and running the sport at the same time presents a conflict of interest. No matter how good that junior team gets they'll be subject to criticism non-stop from fans if they do do well, and the people working at the team whether that be engineers or drivers will always be very restricted to being at the back of the grid. Also, if that team goes through any kind of difficulties or scandals like other teams those issues get immediately associated with F1, therefore damaging their reputation. Overall, a great idea but maybe just a little too much risk for a company as big as Formula One. Thanks so much for your continued support of me, it means a lot, and I'm sorry for not getting back to you sooner, my internet's been absolutely shockers lately!
mattatooski
Roar Rookie
Hi Sam, I can't help but wonder if it's possible for the F1 group to buy out the team and keep it going themselves. The NRL has a major stake in a few teams and has worked well. And it is in the best interests of F1 to have as many teams as possible to maintain their dominance as the Motorsport pinnacle. They could use manor as a launching pad purely for new drivers only. Bernie would be able to get young Schumacher into the F1 as he has been reported that he wants. Instead of hoarding monies taken from the sport, maybe they should reinvest it and make sure they don't lose manor. It may be a great launching pad for young engineers etc to also get experience. Just a thought .....