I've thought about this for a while as well, but its a big step to try it by cutting up a good hull.
I though bust my nose badly recently and just crudely glassed a flat patch on ready for the comp next day - it now looks like a square nose.
I still haven't gotten around to repairing, but riding recently, I have noticed a difference. There was one partricular wave I dropped down which was too steep and I know it should have been game over, but I rode it out. I've noticed again that the nose doesn't catch when going downhill. There are no other noticable side effects when rolling or flipping etc.
There was no issue from spray from not having a lip, but then the tip of the nose rides high out of the water when riding anyway. I did though find not having a bond rail to hold on the nose difficult when trying to launch the ski through shorebreak and assumably it might by awkward if swimming and holding the ski in the impact zone.
I have filled the nose now with foam and will cut it up next week. I want to raise the nose up, just like that stretched picture. I'm not going to bother trying to fabricate a bond rail as it'll only break! I'll try and mould in a handle, or some form of a strap.
I shortened my previous hull by 2", mainly for flat water use and regretted it. The back end sinks so much that when making a wake, I had to go a couple of yards further before my 180 turn to get back on the plane. This is probably though cos I'm a big fat bastard!!
I used an extended ride plate to counter act, defeating the object to an extent.
Yes, it spun quicker, and yes it flipped real easy, but I haven't done it to my my new hull. The stock hull flips easy enough anyway. This was the Hull Eddie B used at IFWA France last year.