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Formula 1 teams fail to pay their debts on time

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Formula 1 teams fail to pay their debts on time
The 2010 Formula 1 season was quite an exhilarating and unique experience for most of the Formula 1 fans all around the world due to its unpredictability and drama. However, since the FIA and Formula 1 are going through a tough time financially, it is believed
that most of the teams never pay their yearly debts to their suppliers on time.
According to some reports, it was revealed that Force India pays its bills later than almost all of its rivals on the grid.
The team is owned by a billionaire liquor baron and politician Vijay Mallya who pays his bills on average 30 days after the due date passes. It is believed that he is so rich that even “If Vijay sold his yacht, it would keep the team going for a couple of
years.”
The only team that pays its bills when they are due are the drivers’ and constructors’ champions Red Bull racing team. According to some reports, the team’s data from December 2009 to November 2010 was compared and it seems that the team has been punctual
mainly because of the recent boost in the team’s budget.
However, on an average, most of the F1 teams reportedly pay their bills almost a month later than it is due. The worst offender is the new team in the sport by the name of Team Lotus who paid their bills 180 days later than the due date. The report also
revealed that Ferrari and Mercedes usually fail to pay their suppliers on time as well.
It is believed that these problems will be solved after the 2013 Formula 1 season since the FIA has announced that the cars will use a 4 turbo-cylinder engine which is more efficient and as a result, it requires less fuel. This would decrease the team’s
bill and that might relieve the teams financially so that they can pay off their debts on time.

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