Inside Track go into receivership
Posted by markharrison on April 30, 2008
Inside Track, the Seminar and Off-Plan company have called in the administrators.
At its peak, the company had over 200 staff, and was reported to make a profit in excess of £10m a year.
Inside Track specialised in property training, and off-plan property deals.
I’ve spoken out against these kind of deals (where investors buy property before it’s completed and rely on a rising market to make a profit, rather than considering cashflow or tenants) in the past. The reason I’ve been against them is that they’re placing a one-way bet in which you only make money IF the market rises. (Of course, if the market rises FAST, then you make more money than you would with pretty much any other kind of deal, assuming your constraints are deposit funds and time.)
There have been various negative articles written about IT in the past, but I have, if you’ll pardon the pun, no particular inside track on whether the company is particularly under any threat of legal action, or simply a casualty of the falling housing market.
In some ways, of course, I feel vindicated – both in stressing the importance of cashflow, and in NOT offering any deals to my training clients. In other ways, it’s, of course, sad for the employees of IT.