it is a good point, the fees are all undisclosed and it's in the best interest of all concerned for them to be rumoured as high as possible, they're probably lower than is being suggested.
The last accounts showed £72m owed to Allamhouse, we've subsequently signed Huddlestone, Jelavic, Long, Livermore and now Snodgrass, it can't be far off £100m now.
I thinks it has gone beyond worry, it is the ball-park we now find ourselves in; promotion and a flush of success changes everything for everyone, or almost everyone. If Allam continues to support the club and makes some changes to the commercial side of things (it is hard to believe this is not planned), then there is a good chance we can forge on and then utilise the squad he is helping SB form to consolidate status and finances. The biggest concern seems to be his age and his families subsequent interest and support of the club, but a thought has been knocking around for a while and I have not seen it discussed, it is this: Allam is not stupid he knows he is well in the final third of life. Allam is a very strong character and a true family head who is rightly proud of the fortune and business interests he has amassed. It is well within both imagination and reality that Allam would ensure the ongoing security of various matters, The Tigers being one of them, by the use of his Last Will and Testament; thus ensuring that the decision is out of the hands of his family. I know we have law and accounts experts out there, but is there a way that a Will and Inheritance Tax avoidance can be used to the clubs and the families best interests - lets say a charitable trust? Discuss.
AA / EA have said that last season gate receipts made up only 7% of income. They also said the wage bill was £42m. 18000 season tickets at around £350 each is £6.3m. Average gate last season was 24100. Therefore an extra 6100 tickets were sold each game. Taking an average price of £28 makes an additional £3.2m. We had just short of 60k attending home cup games, taking an average price of £15 (probably high) that's an additional £500K after we've paid the opposition their share. Total income from gate receipts is £10m. If 10m is 7% of our income then our total income must be £142m. This was all said before we reached the cup final so there should be a bit extra in the coffers. This would leave a balance of £100m after the wages have been paid. Even taking into account the crude guesses at the average prices we should be rolling in it.
I wouldn't say I'm miles out. I'd say the gate receipts make up a lot more than 7% of our income & the owners were being a little dismissive of the importance of the supporters when they made the comment. If the statement of 7% is correct & our income is £85m then gate receipts would be just shy of £6m or an average of £13/ticket just for PL games.
It's difficult to say how reckless the spending is until other factors are considered. What is the overall budget Steve Bruce is working with, what is the forecast income, relegation clauses, etc. However, you get the impression with the Allams that they work very loosely with budgets. This is ok if there is a bottomless pit of funds similar to Man City. But, what if they fully expect to get every last penny from the club for monies lent at some point in the future? Financial planning should be prudent in this case. This may not be for a few years yet, but there are certainly issues that could trigger their loss of appetite for City. Another refusal to the name change next year, relegation, Assam passing away, fans turning against them, interest from another investor to name a few. It will be at that time the full effects of their financial management of the club will become more clear. It may be 1 year away, it may be 10 years away. Some on here are worried about it, some are not. Personally, I think it is unlikely City will ever recover all monies owed to Allam. Hopefully, he will be willing to write off some of the debt without it getting too messy. I've supported City long enough to know that you cannot simply ignore the financial implications. If it does get messy, the short term gains can easily lead to long term pain. Portsmouth, Leeds, Bradford have all enjoyed the ride in the past!
Please do me the courtesy of leaving my thread if you have no meaningful contribution to make. Thanks.
there is no guarantee............so is it peanuts if it doesn't? We can only look at Bradford, Barnsley, et. al. for precedent
Surely that should read ' I think it is unlikely Allam will ever recover all monies owed to him by City'?
I have not worded it very well, but you get my drift! City will never make enough money to ever fully pay back the money owed to Allam.
The voice of reason in 3..2..1.. You have "overpaid" for Livermore and Snodgrass. However, you pay what you feel is the right amount and what the other club would accept. Would Norwich have accepted less? I don't think they would (I think Spurs would have though). Both players are PROVEN in the Premier League. This means you're knowing what you're getting beforehand, both players have shone for sides fighting relegation and you should be aiming to get into the Stoke, West Ham and Swansea bracket of the table (I.e. Upper half of the bottom half). Yes, it is a risk. But it is a calculated one. This could spectacularly backfire, but you could also push on and be a decent force in the Premier League. This could be the making of Bruce too. He's been a little iffy for the sides he's managed at this level in the past. I think he still needs to come out and prove himself. This is the kind of risk he needs to take to prove it. However, he's also proven to be iffy when spending big money.
