Checked and you're right Roger, the 3.5 million was cash flow and can be called back within a year but I reckon will be left in to fund opex, 1 million has already been paid to Ashcroft against the bonds and the next 1.5 is due next year just before transfer window opens so needs to be funded by player trading in January. To survive we need more money!!!! Aint easy
With higher solidarity payments than the last set of accounts showed, an improved Saracens deal, and Ellington, Sadler, Harley, DeMerit and Hoskins all off the wage bill since the last set of accounts that we've seen (the latter three players were here for the 2009/10 financial year), you'd like to think that we'll be there or thereabouts next season.
Will be very interesting to see How Deeney and Scoredell link up ,if they can work on an understanding in pre season ,it could be good!
If you remember, i had it 'on good authority' that Bassini is acting alone, or at least, not fronting for anyone, and that he is someone to worry about. Whether that 'good authority' was really in the know or not, i don't know, but i know him, and i trust his judgement.
Not doubting your source Hornette, just doesn't seem plausible. Does this 'good authority' know where Bassini obtained the not inconsiderable amounts put into the club?
In response to a couple of points above: 1) The season ticket loan repayment is a bit of a red herring I'd say. We borrowed money in advance of receiving money from fans from the ticket purchases in order to help see us through to the end of the season as we sold no one in January. This loan is repaid from the capital received from the season tickets. It's not been repaid by selling players. 2) Buckley was a good deal, end of. It is better to sell him than have to sell Cowie, Eustace or Taylor. 3) Once the business decision was made to let Saracens come back for the start of the year there was no point relaying the pitch this year. 4) Basani can take nothing out of the club until the bonds are repaid and a set payment structure has been agreed for these. Has he definitely borrowed the initial 3.5m put in as working capital? If he did, and i don't know, my understanding was that the deal was the bonds had to be repaid before anything else? Yes, he could look to sell more players to get rid of it quickly but then we have as weaken team, likely relegation and he has an overall asset worth less, albeit with no debt. There is no logic in that unless he wanted to sell the land for development which, with the flats already built doesn't seem like a viable proposition. Surely, and I'm speculating, the plan must be to have a steady couple of years remove the debt and then sell the club on, or hope for a promotion. (As an aside a completely debt free club, even in League one with the Academy that we have is not too bad a position is it? Not saying I want that). Roger, I have noticed a couple of times you say people within the club are planning on us being in League One with a wage cap of 2K - is this just speculation on your part? What makes you think it? I don't see what has changed since before the takeover to make that seem plausible. I think Harrow has it spot on again, there is no way Basani can be anything other than a front. If not, then the only explanation is that he had his share of the family wealth under a discretionary trust which meant the creditors could not get it and he is drawing on that.
On his past record anyone with a shred of intelligence would treat Mr. B with extreme caution. That means that banks wouldn't touch him at all, investment institutions probably not unless they could have a say in what he was doing, leaving family money, but from what we read, even with them he doesn't appear to be that popular. My best guess at the moment with as little to go on as all of us, is that he intends to split the football side of the business clearly away from the property side. This would be a case of the club standing alone to generate it's own funds and be a self sufficient entity. On the property side development of the ground with additional facilities to earn money. This could be achieved by a build and leaseback arrangement. It might also mean that the football club becomes a tenant and pays rent. I think that something similar was done at Plymouth but with many bits of the property being sold on to different buyers. All of this could be where the money that Mr.B has been able to put up comes from, a building company that specialises in lease back schemes. The front runner would have to be SEGRO and Nigel Rich.
A good summary Bradleysdad, Most points I agree with the last one I havent figured out yet, its the Baz is LA`s puppet theory that scares the crap out of me! If he was a front man ,well, would you have him as a front man? LA paying him to minimise his losses and take the bad rep ,is feasible dealing with a politician remember they dont like bad publicity! Family wealth ,trust fund etc , may be the most likely or all monies are borrowed and put on his mums tab or indeed Dr Panos!
Hmmmm interesting analysis Frenchie , why would they use Panos and Baz as the frontman and holding company director?
I think that it might be a scheme dreamt up by Mr B who then got someone who does not have a tarnished reputation to stand alongside him. So he approached them suggesting that for a modest £5m outlay plus some building work, they over the long term could make a good profit. Just a theory as the whole thing makes little sense if it only him and no one else.
Blimey, and I thought looking for a cheaper electricity deal was complex - Firstly, I am with Harrow in that I have always been of the view that someone is backing Bassini (or whatever his bloody name is) - there is no way he could raise that kind of capital unless he got it from Portugal! So the question is what is the real motive of those stumping up the funds? For me it's got to be property related - so either someone who wants the ground as it is or wants to sell it for redevelopment and we move to Elstree....but W_Y I hear you scream, who would want to buy the ground as it is? What about Nigel Wray? He gets a ground on the cheap with a fixed tenant! Secondly, I am with NNW on my distrust of Bassini - after the lettuce brothers, I do not trust anyone who aspires to own a football club again. Lastly, apart from the new owners, I am not so pessimistic either. We all knew DG would go and yes, was not a great amount, but we don't know all the terms. WB going to Brighton was a good piece of business. So if we can hang on to the core of our team and MM, we might just have another OK season... So is my glass half full or half empty? - I don't care as long as someone is at the bar getting me another!
So is my glass half full or half empty? - I don't care as long as someone is at the bar getting me another! Thats the W-y I like
Looks as if we could run another poll. Is Mr.B funding this venture? Does Mr.B have someone pulling his strings?
Perhaps his name is really Pinocchio then OFH? - thing is, who is Mister Geppetto? Well that's my name for him sorted then!
The idea that Mr B might be a "front man" for some behind the scenes investors is not very re-assuring. Would we really be pleased to discover that behind the scenes is someone who finds it necessary to conceal their identity and motives ? And anyway, who would use such a weak facade as Mr B? It is more likely that Mr B is acting alone, has gone to the limit of his family resources, maybe has raised some money from friends or perhaps even a hedge fund, on the security of the clubs assets (players) .I do not get the impression he has a well thought out business plan for the club, still less a clever way of turning a loss-making football club into a profitable business of any kind, He has never done that before, and has no experience in the football or property development business. To respond to Bradleysdad--- yes the Ticketus "loan" could be paid back from recent season ticket sales--but then where would the working capital for the next few months come from? Player trading obviously, so it amounts to the same thing. And I just have the impression/feeling (nothing more)that the club is being prepared for life in League One next year. But relegation must be a very distinct possibility, so it would be prudent to include this in financial planning--meaning no new contracts at the top end of our wage structure, for example. Like most other people I agree that Malky is the key here--if he stays for next season, then he may well once again be able to build a team that can survive in this division, despite the odds. If he goes in the next few weeks,then others will follow and our chances of recruiting quality replacements/loanees is diminished, and it all gets rather messy. I wonder if Mr B knew what he was getting himself into? Probably not.
