Financial Restrictions
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Definitely, if this doesn't work out with Moyes I can see him giving up. As daft as it sounds I don't think he has the financial clout to progress, too many clubs are now getting multi-billionaires, the billionaires will be the 90's millionaires like Jack Walker, couldn't compete now.
Yes. But its a risky game. Guess that is what he does though.
I think there is some truth in the fact Short might sell, I have heard those rumours from people who know him. It's probably why he wants a couple of mid table finishes (like Everton) in order to show a potential buyer that we are going in the right direction.
If he sells the club for 300m he will make a tidy profit. It's only worth that if we are in the premier league.
If he sells the club for 300m he will make a tidy profit. It's only worth that if we are in the premier league.
If it was a normal business then not very much as even though the turn over is massive the losses and balance sheet don't paint a very good picture.
Having said that businesses that lose money can be attractive to certain people who know the problems and how to turn them around. I have invested in 2 such businesses and sold one last year for a good profit. The 2nd is now in profit and we're looking at a very profitable exit next year.
If the right person sees the opportunity then it could be worth a lot. There are many positives to the club: The stadium, the fan base, success of the concerts, premier league etc...
A sale would need to wipe out the debt, I suspect Short is trying to "manage" the wage bill so the club no longer makes a loss. With all that in mind I would say look at the historical debt which is around 160m. Look at the assets like Stadium/AOL and current players etc... and I think 300m is probably in the right ball park.
It will then all come down to negotiations. It could happen quite quickly. When liberty/discovery bought Formula E (they are my biggest client) in season 1 it happened very quickly. There will need to be a certain amount of due diligence but initial talks could be going on now and we would not know about them.
Having said that businesses that lose money can be attractive to certain people who know the problems and how to turn them around. I have invested in 2 such businesses and sold one last year for a good profit.
Isn't this how Mr Short made his money? Buying failing businesses and turning them around for big profits
Isn't this how Mr Short made his money? Buying failing businesses and turning them around for big profits
Not exactly he was part of the management team for a large hedge fund. I am not 100% sure of their investments but they were a global business, Short looked after a lot of their interests in the far east I believe.
In some ways he has looked at SAFC as an investment, if he sells it on for a profit which looks likely in the future due to the growing popularity of the premier league, then it will have been a good investment for him.
£300m would be about right I'd say, going off the £200m the new Everton guy just paid for 50% of Everton.
He's an expert venture capitalist - successful risk taking is second nature to him in business - about time it worked in the football business or we'll all be in a right moyal mess
Apparently he's been buying up the risky financial banking assets in Europe over the last couple of years and is doing financially well esp after the Brexit vote.
Someone on here may no more details - but it's the typical successfull risk taking decisions he makes - unfortunately not yet happened in the football business at Sunderland
Short will make money from SAFC because the market for premier league clubs has moved upwards, due to the sky money. He could have made a lot more though if he had made some better decisions.
I know a lot of rich people (mainly Chinese) who are making a fortune from Brexit. Mainly buying property in London because you get a lot of £ for your Yeun or dollars at the moment. So it would not surprise me if Short was in on that action.
At the end of the day unless you are an idiot, money makes money. It's easy to make a million if you start with 5 million.
Speculate to accumulate, Mr Short.
If Short ploughs say gross £30m/£40m on transfers/wages and we end up higher up the table with a better squad we instantly become a more saleable asset for him.
If he doesn't want to sell then we'd be in a better position for him due to extra revenue associated with being more successful etc in any case.
He simply cannot afford to gamble with our survival, again.
If Short ploughs say gross £30m/£40m on transfers/wages and we end up higher up the table with a better squad we instantly become a more saleable asset for him.
If he doesn't want to sell then we'd be in a better position for him due to extra revenue associated with being more successful etc in any case.
He simply cannot afford to gamble with our survival, again.
I agree with this and I think we will see some signings come in, I suspect we don't have a fortune to spend, but even if we did they are playing down so that other clubs don't hold us to ransom. As soon as a club says we have a X million war chest other clubs start rubbing their hands together and adding a few million to their players values.
Spot on. News now reckon that Kone would be allowed to go so long as we got McCarthy and cash from Everton. Good wheeling and dealing in my book.
Agree here as at the end of the day ES and DM are doing their best for Sunderland to make money and enhance reputations respectively. But as fans our emotional attachment is on a long rollercoaster ride -at a low point atm but going upwards now - hopefully
Good read in Northern Echo about our financial plight - on News Now Sunderland site - sorry not able to copy link - article is on another thread -Why We can't Compete - Teesidemackem - thanks Teeside
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