ARE WE GOING INTO ADMINISTRATION ?

[ricardo 7,345]

Its not going to happen so why pursue a pointless debate?

[Mr.Carrow 376]

[quote user="Beauseant"]

[quote user="blahblahblah"][quote user="Mr.Carrow"]Could the club pre-empt administration by sale and lease-back of all its land assets i wonder?[/quote]

You''d get a fiver in the current market.  Okay, maybe a tenner.  But there''s more chance of getting a rich idiot to throw money at the club hand over fist than there is in getting a reasonable price for any land assets at the moment.
[/quote]

 

It would be a ridiculous thing to do. First, as Blah rightly says, we''d get sod all for the land at present, but thereafter we would be bereft of assets to use as collateral, and face rising leaseback costs as the property market gets into an upward cycle. King''s Lynn went for this option in the 80s and then had to throw themselves on the goodwill of the council (to whom they sold the ground) to avoid going bust. It took them nearly 20 years to get to their current fairly strong position, but even now the lack of real assets is an issue.

Administration is a last resort and should be avoided at all costs!

[/quote]

It wouldn`t be ridiculous if we were falling headlong towards administration......but we`re probably not, so as ricardo`s pointed out it`s not really worth banging on about.

I do think however that there is some truth in the idea that D and MWJ are now in the position that they HAVE to keep putting money in to protect their initial investment.