| Paying off the loan 22:19 - Aug 22 with 3963 views | HARRY10 |
............or at least making the interest payments, as I presume what was spent on buying the club is seen as a realisable asset - as with the players.
The capital borrowed appears to be anything between £40m - £50m, which at an interest rate of 7% per annum would be around £3m*.
Promotion to the Championship adds an extra £7m to our income. However if nearly half of that goes in interest payments, where then the budget to upgrade the squad.
Of course interest payments can be deferred, but for how long ?
Clubs who have recently been promoted, and sent heavily Fulham, WBA came straight back down again - meaning their parachute payments will most likely not cover the cost of staged transfer payments and the wage bill. That's why so many 'fall by the wayside' once relegated.
The only way I can see money generated to the level needed will be through the transfer market. Cue Mike Aston and Webster, Bristol to Brighton.
* approx figures to make the point, not any claim of absolute accuracy |  | | |  |
| Paying off the loan on 11:42 - Aug 23 with 737 views | hype313 |
| Paying off the loan on 11:41 - Aug 23 by Keno |
dont you mean investment?
Do you know the difference between a loan and an investment? |
Clearly not. |  |
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| Paying off the loan on 11:44 - Aug 23 with 732 views | Keno |
| Paying off the loan on 11:42 - Aug 23 by hype313 |
Clearly not. |
Perhaps he'd like to 'lend' me £5,000 then? |  |
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| Paying off the loan on 11:56 - Aug 23 with 706 views | hype313 |
| Paying off the loan on 11:44 - Aug 23 by Keno |
Perhaps he'd like to 'lend' me £5,000 then? |
Only if you invest it in me. | |
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| Paying off the loan on 12:00 - Aug 23 with 698 views | Keno |
| Paying off the loan on 11:56 - Aug 23 by hype313 |
Only if you invest it in me. |
Deal!!
But if Im making an investment we will have to set up regular repayments and work out the interest due at 7% | |
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| Paying off the loan on 12:07 - Aug 23 with 671 views | hype313 |
| Paying off the loan on 12:00 - Aug 23 by Keno |
Deal!!
But if Im making an investment we will have to set up regular repayments and work out the interest due at 7% |
Suppose it's half of Sprucey's rate, go on then. | |
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| Paying off the loan on 13:02 - Aug 23 with 621 views | HARRY10 |
| Paying off the loan on 11:41 - Aug 23 by Keno |
dont you mean investment?
Do you know the difference between a loan and an investment? |
it appears one of them is not expecting a return on its investment - or so some on here would have us believe
however in the real world the pension fund will be expecting a return - something I will state again that will not be met by promotion to the Championship - and if as claimed the club can be sold as a PL or potential PL club, then why would it be sold, as the buyer would only be buying the club if there was a certainty of making money
as tomore moey being available, then why wait - it is clear that more money will need to be spent on the ground, so where is the benefit in delay ?
I don't believe this is as open ended as some on here would like to think, with the return being an indeterminate amount over an indeterminant period - otherwise what would decide the amount paid back ?
Football clubs, especially the playing squad, can be a bottomless pit of money unless there are limits to what is put in, and a minimum to what is taken out.
That we have signed five players on a free suggests the sums made available are not as high as first suggested, or those players are a relatively risk free way of 'trading' players. | | | |
| Paying off the loan on 13:12 - Aug 23 with 612 views | Keno |
| Paying off the loan on 13:02 - Aug 23 by HARRY10 |
it appears one of them is not expecting a return on its investment - or so some on here would have us believe
however in the real world the pension fund will be expecting a return - something I will state again that will not be met by promotion to the Championship - and if as claimed the club can be sold as a PL or potential PL club, then why would it be sold, as the buyer would only be buying the club if there was a certainty of making money
as tomore moey being available, then why wait - it is clear that more money will need to be spent on the ground, so where is the benefit in delay ?
I don't believe this is as open ended as some on here would like to think, with the return being an indeterminate amount over an indeterminant period - otherwise what would decide the amount paid back ?
Football clubs, especially the playing squad, can be a bottomless pit of money unless there are limits to what is put in, and a minimum to what is taken out.
That we have signed five players on a free suggests the sums made available are not as high as first suggested, or those players are a relatively risk free way of 'trading' players. |
So thats a no the. Lets go back to basics shall we ....
Loan - is a sum of money paid to another party with the return of that money agreed by a repayment schedule of payments which include the term over which repayment is due, the interest rate being applied and how often repayments are due.
Investment - is a sum of money paid to a third on which there is no set down schedule for the repayment of that money but the payee will usually have some share or say in how the recipient conducts future business.. There may be payments from the recipients to the payee, called dividends by these are not usually fixed. The payee will hope the value of recipients business grows and thus the value of the investment will grow.
So which of those does the money recieved the club fall into??? | |
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| Paying off the loan on 14:49 - Aug 25 with 478 views | JammyDodgerrr |
| Paying off the loan on 13:02 - Aug 23 by HARRY10 |
it appears one of them is not expecting a return on its investment - or so some on here would have us believe
however in the real world the pension fund will be expecting a return - something I will state again that will not be met by promotion to the Championship - and if as claimed the club can be sold as a PL or potential PL club, then why would it be sold, as the buyer would only be buying the club if there was a certainty of making money
as tomore moey being available, then why wait - it is clear that more money will need to be spent on the ground, so where is the benefit in delay ?
I don't believe this is as open ended as some on here would like to think, with the return being an indeterminate amount over an indeterminant period - otherwise what would decide the amount paid back ?
Football clubs, especially the playing squad, can be a bottomless pit of money unless there are limits to what is put in, and a minimum to what is taken out.
That we have signed five players on a free suggests the sums made available are not as high as first suggested, or those players are a relatively risk free way of 'trading' players. |
You seem to be suggesting that the fund is chucking money at it whilst also suggesting they don't nearly have enough money as they claim?
Despite most of our business being free transfers, the wages will be considerable, especially for those we lured from the championship. Wouldn't surprise me if Edwards, Edmundson and Chaplin for example are on a considerable sum. |  |
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| Paying off the loan on 14:55 - Aug 25 with 471 views | Cotty |
People just make s*** up to get upset about, don't they. Really odd. |  | | |
| Paying off the loan on 17:38 - Aug 25 with 422 views | PrideOfTheEast |
| Paying off the loan on 13:02 - Aug 23 by HARRY10 |
it appears one of them is not expecting a return on its investment - or so some on here would have us believe
however in the real world the pension fund will be expecting a return - something I will state again that will not be met by promotion to the Championship - and if as claimed the club can be sold as a PL or potential PL club, then why would it be sold, as the buyer would only be buying the club if there was a certainty of making money
as tomore moey being available, then why wait - it is clear that more money will need to be spent on the ground, so where is the benefit in delay ?
I don't believe this is as open ended as some on here would like to think, with the return being an indeterminate amount over an indeterminant period - otherwise what would decide the amount paid back ?
Football clubs, especially the playing squad, can be a bottomless pit of money unless there are limits to what is put in, and a minimum to what is taken out.
That we have signed five players on a free suggests the sums made available are not as high as first suggested, or those players are a relatively risk free way of 'trading' players. |
Whilst your post is ridiculous it did surprise me that there was frequent reference to FFP in early communication as I had understood equity to be exempt from the core calculations - perhaps I’m wrong. If I’m right then they can effectively invest whatever they want to.
Obviously the investors need to operate within certain limits, in the same way ME did, but I expect the real benefit of the change will be seen in the division above when we’ll have the funds to compete at the top end of the division. Perhaps also in January, ie you could see us buying a Celina type for a couple of million quid in January if we thought it’d make a difference - that sort of investment on perm signings was never going to happen under ME.
The ground stuff will all come a bit later. Needs a good amount of planing and it’s fairly obvious that they’ve all been wrapped up with recruitment etc which is clearly more important short term.
The only way this fund gets a return is if we go up (and probably up again). What they do when we reach that level is the most interesting aspect of the whole deal. Not easy to shift Ipswich for hundreds of millions m the minute we go up to the PL. Not easy to take cash out as to stay up we’d need to spend. Etc [Post edited 25 Aug 2021 18:35]
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