It seems this is the latest point of discussion. The fabled revenues and the fact the club must buy them back.
So what are they worth then?
I suppose the answer to that is "whatever someone is prepared to pay for them".
I suppose the answer to that is "whatever someone is prepared to pay for them".
I suppose the answer to that is "whatever someone is prepared to pay for them".
Its a complex situation. Do we want the revenues for FFP or the profit for the bottom line. If it's revenues how are we going to use that to our advantage when the amount to budget for FFP would be more than the profit, what will make up the shortfall.
Once you know what we want it's still not easy.
If they want everything at the Ricoh then I think Compass paid around 4m for a quarter of the JV company so on that basis to buy the whole lot back 16m. Of course to do a full valuation you would have to assess any changes to the fortunes of the JV since it was formed, ie: what impact has the club leaving had.
Even then it's not straightforward. Do you value it with or without the club. The argument can be made both ways.
Or do they just want what is generated on matchdays. You could value that differently, make an argument that the JV is not getting that money now so won't miss it. Again that's too simple as you have to factor in events ACL have to turn down due to the league requirements for the club to have first call on the stadium.
It's a complex situation and to me, if we're talking a short term Ricoh return as SISU claim it would be, it may be easy just to forget this side of things. The increase in revenue over Sixfields would be huge without taking this into account so why let the whole deal potentially fall down over a relatively small amount.
The £16 million I assume is for 43 years of the remaining leads isn't it? Wasn't the actual sale of match day revenues for £6 million over 50 years?
Matchday revenues were initial given to the club as part of their share in ACL, when they sold that share to Higgs they of course had the option to buy that share back at a formula price but as we know that option disappeared thanks to the non payment of rent. I don't think the matchday revenues have ever been sold as a stand alone item have they?
This is the problem, there's so many different ways you can come at it to value their worth and the difference can be millions.
No Dave it isn't a problem. Over 3 years they are with at the most around £150,000. Considering ACL have been received the clubs payment in addition to the payments from the two directors I don't think it's difficult to offer the club the match day revenues in the rental price. Then after 3 years they go back to ACL - frankly it's not difficult at all and they should just offer it.
Lets face it , they have royally fucked up big time by not taking half the Ricoh when they aquired CCFC.
Isn't twice earnings normally a rough guide to a business' value? So about £2m seems to be a decent starting point.
This all begs the question of why ACL would enter into a joint venture with an organisation actively trying to bankrupt them mind.
So you are saying when we sold them we were ripped off and if a new buyer came in £86 million is reasonable for the lease period?
The £16 million I assume is for 43 years of the remaining leads isn't it? Wasn't the actual sale of match day revenues for £6 million over 50 years?
Must be worth many millions. It is the reason we are at Sixfields isnt it? Or has the story changed again. Or worth lots and are essential when it suits Tim worth fuck all when he has to buy them. I must stop being so cynicalIt seems this is the latest point of discussion. The fabled revenues and the fact the club must buy them back.
So what are they worth then?
Must be worth many millions. It is the reason we are at Sixfields isnt it? Or has the story changed again. Or worth lots and are essential when it suits Tim worth fuck all when he has to buy them. I must stop being so cynical
How much does it take to upkeep an older ground eg fratton park?
For the club its worth £1.85 million in player budgets over 3 years. To ACL and compass its worth zero unless we play there.
We didn't sell just them though. We sold 50% of ACL as well. Also I'd expect that earnings were significantly higher in the Championship.
I have literally no idea what you're on about in the rest of the post. Sorry.
Where is that £1.85 million going to come from? Those revenues are going to generate that amount of profit so whats going to make up the shortfall. No point raising the amount you can spend under FFP if you don't actually have the money to spend.
Why isn't there any point?
Spending money we didn't have is what got us in this mess in the first place. Don't see how doing the same thing is going to help us in the future.
Spending money we didn't have is what got us in this mess in the first place. Don't see how doing the same thing is going to help us in the future.
Can you name 1 other football in the league that doesn't have match day revenues?
I suppose the answer to that is "whatever someone is prepared to pay for them".
I'm not entirely sure what point you're trying to make here Grendel. I would love us to get all the revenues I just think the idea that we are entitled to them for free is a bit wide of the mark and I certainly wouldn't be in favour of spending what we don't have just because the FFP limit we have been set allows us to.
The point I am making is that we sold them off over a 50 year lease. To purchase them for 3 years is a fraction of the selling price. £50,000 a year is 50% of the profit generated by ACL at its peak for these revenues. Therefore they should easily be packaged in a short term deal for the clubs benefit.
Can you name 1 other football in the league that doesn't have match day revenues?
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