T 190 Posted October 7, 2008 Just reading extracts from the Deloitte Report:"A host of football league clubs are facing insolvency over the next few years due to the risk taking of their boards and legacy debt issuesWages, debts and reveue across the premier league are at record levels.The report claims english football industry is unique in that directors are not concerned with generating profits" Share this post Link to post Share on other sites
The Fish Seller 0 Posted October 7, 2008 Straight question Mt T. Do you work for the Club? Share this post Link to post Share on other sites
nutty nigel 7,352 Posted October 7, 2008 [quote user="T"]Straight answer - No[/quote]Well in that case could you please refrain from acting like somebody who works for them and make something up to prove wrong doing by those that run it. Share this post Link to post Share on other sites
T 190 Posted October 7, 2008 Sorry NN for ignoring the message board rules - totally unforgiveable of me to quote an independent report ;-) Share this post Link to post Share on other sites
canary cherub 1 Posted October 7, 2008 [quote user="T"]Just reading extracts from the Deloitte Report:"A host of football league clubs are facing insolvency over the next few years due to the risk taking of their boards and legacy debt issuesWages, debts and reveue across the premier league are at record levels.The report claims english football industry is unique in that directors are not concerned with generating profits"[/quote]I haven''t seen the complete report but the Times Online (28th May 2008) has a summary.The comment about clubs facing insolvency that you quote refers specifically to Leagues 1 and 2 in the context of Rotherham, Bournemouth etc.Regarding the CCC: "Championship clubs racked up debts of £289m [in 2006/7] with 10 clubs having debts of £10m or more. [Dan] Jones [a partner in Deloitte Sports Business Group] says the only way to wipe out such arrears is promotion, which means more money on players, or finding a benefactor to pay it off." Share this post Link to post Share on other sites
The Fish Seller 0 Posted October 7, 2008 Great just had me wondering for a while anyway then mentioning you''ve been reading a report which costs a whopping £600 and probably isn''t of particular interest to anyone uninvolved with football finances I had to ask.Back to your OP then Mr T.Would you place Norwich City Football Club in the category of the "host of football league clubs facing insolvency over the next fewyears due to the risk taking of their boards and legacy debt issues"?I would primarily for the legacy debt issues although borrowing money to gamble can easily be construed as risk taking. Share this post Link to post Share on other sites
T 190 Posted October 7, 2008 PP is correct the quote was mainly aimed at the lower leagues- NCFC will just cut the wage bill if they can''t find new investors but obviously that would increase the subsequent risk of relegation and potentially administration if the crowds declined so that the debts could no longer be serviced - I think this is why the club focuses on season ticket sales to make sure the debt can be serviced. We need new investors, The Board knows it, PC knows it. Eventually selling the land when the property market picks up would also make the debt position look much better - the shareholders loans are meant to tide things over until the land can be sold and/or new investors come in. Share this post Link to post Share on other sites