New owner confirmed…

Wot?

Profit is a company's income less its expenses. Which is what he said.

You can have positive cash flow and run at a loss.

 

Wot?

Profit is a company's income less its expenses. Which is what he said.

- Oh no, here we go Alf was talking about outgoings and income, as in (at least as I understood it) money coming in and being spent. That's cash flow. Profit is totally different (with all sorts of adjustments made to income and expenditure.

You can have positive cash flow and run at a loss.
- very true .... and vice versa.

 

No.. income is income, and outgoings are expenses.

 

Of course football finances are different to the rest of the world. The Glazers after much chicanery got final control of Man Utd for £525 million and loaded the debt on to the club. Revenues last year were £590 million. They have taken out tens of millions in wages and dividends and since their purchase of the club huge revenues in the billions yet the debt of Man Utd is still £487 million.
Meanwhile our little excursion into European football cost us a fine for breach of FPP rules. Funny old game.

 

OK, let's just say, and hopefully leave it, that there's very good reason why companies (are required to) produce profit statements, balance sheets and cash flow statements. The reason being that they are all quite different (but of course inter-related).

In terms of getting rid of the Allams, all that's important is seeing the alleged outstanding debt to them, last stated at circa. £50 million, being reduced to a level that a buyer would be prepared to pay. The money from Harry's sale, c. £9 million, plus £20 million from selling Bowen (IF that happens), takes the alleged debt down to around £20 million. The timing of receiving the money from these sales shouldn't matter as that would be built into the sale agreement. At around £20 million hopefully a sale could finally be made ...... and we can all celebrate

Edit: of course, the above assumes they want to sell (which I think at least the old man wants to do), and that they stick with what they said about 'only' wanting back what they've put in. Should be fine with that though, coz he said "I never go back on my word, never".

 

Or that they won’t keep the price high anyway, regardless of what the debt is.

 

How is that statement to be interpreted ? Presumably it's missing the "with a suitable (acceptable to them) rate of return on that invested money over the time frame of their involvement."

 

You would like to think the 5%, that later became 4%, interest they've taken, along with anything else they've taken and benefited from, would cover that. But I doubt it would be a surprise to any of us if what you presume above actually happens!

 

My guess would be they will only sell if they can get to the point where their ROI is acceptable to themselves (to date of any sale) , and they can get a better return on the net proceeds (after killing off the debt owed to them through the sale).

 

Add another perhaps £3 million for Markus Hendricksen and perhaps another £4 million for Kamil... all off a sudden if the supposed debt was to be believed then the debt would be significantly less that £20 million. I cant see them wanting to hang around now the parachute payment is gone. the money from the EFL and non existent gate receipts and march would leave them financing the operation again,..

 

Do we get the Maguire money in one lump sum or is it spread out over a number of months/years? Could be a long wait if it's the latter.

 

Are you calling them liars?

 

I'm suggesting they would be bloody stupid if they didn't view it that way and they stayed around for more abuse and didn't get a decent return.
They picked the wrong secondary business.

 

Do we have a sell on clause for Andy Robertson?

Will they include one if someone buys Bowen?

They are not going anywhere soon.

 

New contract for Bowen then a left back for a couple of million and maybe a Nektiah on loan. We love to re invest!

 

I doubt very much Bowen would sign a new deal unless it was for the same length as current one with just better wages

 

Robbo: apparently not. The unreliable source of Football Manager 2018 suggested we would get 1mil for liverpool winning the champions league but I never read owt about it when they did!

Bowen: I would be surprised if we didnt insert a sell on clause of some sort but the Allams may have finally had enough to wait around 3 more years for another 4 or 5 million.

 

Offer him 2ok a week, stick a year on it and put a 15 million release clause in his contract. Sometimes you need to speculate to accumulate. If we have him for another year he’s worth 10 max.