“You cannot have a cake and eat it too.”

You cannot have a cake and eat it too

“You cannot have a cake and eat it too.” (Baugman).

Try telling that to the shareholders of Pattisserie Valerie – epic code (CAKE), for the Directors of that company have been busy selling shares, over the past two years. Presumably the recent bombshell that are financial “irregularities” within the company , leading to a £20m black hole in the accounts – must have come as a complete surprise to them?

Otherwise surely, they would have been running the company, in the knowledge that it was insolvent. Is that a criminal offence?

“Cakes have such a bad habit of turning out bad , just when you want them to be good” (Montgomery).

So, this fiasco is turning out to be in the same vein as BHS and Carrillion, except Directors and Auditor of the company appear to have ruined the Cake and left only crumbs for the small shareholders.

Of course, there will be a little fuss in the media, but rest assured nothing will be done by our gutless politicians and the Board of Trade. One or two politicians may want to say a word or two for publicity purposes and that will be that.

“Let them eat cake!” (Marie-Antoinette).

Or this saying could equally have been attributed to the Chairman of Pattisserie – Luke Johnson, who as part of the rescue package has offered loans to the company and issued an awful lot of cake to institutional shareholders at a knock down price of 50p per share. So, while the institutions are gorging on their very generous helpings, normal small investors are going hungry (and watching the valuation of the holdings plummet).

Happiness is like a cake: have too much of it and you get sick, (Karl Pilkington).

Not for the Directors of CAKE who have given themselves fat bonuses, higher than their incentive scheme officially allowed !

Ray Best is a resilient Financial Planner with a unique approach to investment planning, his work ethic has propelled him from humble beginnings to be voted as a top UK Financial Planner by Vouched For (as published in the Sunday Times). These days he works with families with large investment portfolios or big inheritance tax liabilities, the first step, is to book a Discovery Meeting HERE.

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