We are not in the same place, we are not on the verge of being wound up with creditors left right and centre that we couldn't afford to pay. With the monumental increase to the PL money that £40m+ doesn't look as big as it did back then, but even so without the Allams investment we would almost certainly never have made it back into the big league to have a chance of paying it off. The question is, if all goes well and they **** off some point over the next year or two, will these past few years of agro have been worth it if at the end we're left with the very same debt free professional Hull City AFC that was formed 113 years ago? Along with the success we got to enjoy in that time.
They have Because they have made themselfs lots of Money....what you say would he be great from a club POV but from a business POV they have made the shareholders a lot of money. Over the time they have been here the % return on their gift/investement looks very good
If we don't get promoted this season or next their income will be around £11 or £12 million. Hardly enough to pay the interest on any debt left and the cost of renting the SMC. If they'd invested wisely and established Hull City as a mid-table Premier League team they could have taken £3 or 4 million a year out in interest or dividends for the next ten, fifteen or twenty years on top of the money they've already taken. In addition the club would be worth far more then it is now so the profit from any sale would have been enormous. They had the goose that laid the golden egg and let it go.
As they could probably walk away tomorrow, having made a 50% return on their investment, I doubt they'll be too bothered.
Problem with Goose eggs Obi, if you don't look after them, they tend to go off real quick. Golden or not, all eggs need careful treatment. Overall, I tend to agree with Happy, the business has been a worthwhile investment for the Allams, in financial terms at least.
I was actually just working on the £70m total they loaned the club, I suspect that when everything is taken into account, they could probably clear everything they've put in already and still sell the club for £35m, which would be a 50% return.
Difficult to say with any accuracy. Since they got the bank loan to pay for our promotion inter-company interest hasn't been shown separately. My rough estimate would be around £15 million give or take a couple of million.
I roughly counted the interest and group tax benefit into my assertion that they should be clear by now.
Which ever way you add it up or look at it....from a business POV they have done extremely well, and that's all they ever said they where!
Whose business? The business Hull City Tigers Ltd is in poor shape right now, despite it being potentially debt free soon.
Exactly, they are businessmen who know how to run a successfull diesel engine business They have never understood that lifelong football fans with an emotional attachment to their club are not to be treated the same way as someone who wants to buy a diesel engine for their boat. Neither Allam is, or ever has been a fan of the club, so have no clue how to treat the fans. We are a complete mystery to them & they can't understand why we protest about them ripping the heart out of the club. To them it's just a money making vehicle.
I'm sure there were people on here around a year ago or a bit less who were saying that City being relegated from the PL and the Allams then selling a lot of players, was a very bad option for them. They'd still be well down on their investment it was said. Turns out it seems the new consensus is no, they're ahead, or will be with the parachute payments and now it's all profit from here.
They made money from their initial investment, quite a bit, that's good business. The club is in no way near the situation it was when they bought it, financially, it's in much better shape, that's also good business. Could it be better? Absolutely. What could have been, etc.
Why should we'd be a reasonably established pl club. There are loads of clubs done or tried to do it and failed to. We have absolutely no right to make out it's a piece of piss to do. And there's the old examples. Name all the ones who have come and gone who didn't do it. Theresa lot more of them.
Or the club might be in a much worse state (debt wise and position within the football league). It is clearly already in a much worse state in other respects anyway (attendance figures, relationship with the fans, relationship with the council, relationship with BBC, relationship with HDM, relationship with almost anyone else).
