Debt Free In 12 Months (15 June 2024)

Yeah usually something like this, so they give us say £750k now in return for say the £1m instalment when it's due, basically a cash advance for guaranteed money. Pretty common move in football and easy money for the lenders.

 

What’s the source for this ? And more importantly what does Uncle Ron think about it ?

 

100% normal. Only the low IQ people can't see how this will potentially benefit us. Unless your Man City, just about every mid-large transfer is paid in instalments. Why? The biggest problem for the majority of professional clubs is cash flow. This will give us cash on the hips to buy players / grease the hands of agents in far flung continents (or even Scotland!) for players which will hopefully turn out to be the next Pedro / Asprilla, etc.

Of course, we might waste it all on some 1 legged donkey of a footballer but that's discussion is for another thread!

 

I’m sure you think you are being smart but the cash flow point is obvious to everyone.

However if you do this for every transfer to meet current expenditure (as we always do) then you will bring all your receivables forward and be left with your outgoing transfer instalments still owing without any offset.

 

Your argument is really weak IMO (this time, not always) so that's why your having a personal dig. This is only going to turn into a pozzo in/out debate and we both know where we stand.

 

This is exactly the concern I have as well. It makes complete sense in some situations to leverage it. But if we're meant to be *externally* debt free come June 2024 then this undermines the message in its entirety and creates yet more muddled and contradictory messaging, especially when we seemingly do this every 6 - 12 months as we're always playing catch up to the interest on the payments. At some point you would expect the installments per sale to be enough to solve any current cashflow otherwise it will never stop and we sell tomorrow's investment for today's problems.

 

The club bullsh1tting the fans again? Shock.

 

Having a dig? You came in with accusing people who were critical as having low IQ so maybe some self reflection is in order.

 

It's no different to a payday loan. Could easily say unless you're Elon Musk you only get income in monthly instalments and therefore can't buy all those nice shiny things in the Black Friday sales. Only the low IQ people can't see how taking out a salary advance and spending it now is a good thing.

 

What’s IQ? Is it like xG?

 

Very hard to say what this means without understanding current and future liabilities (e.g. we could be borrowing the money to buy new players now without any current or future liabilities or we could be borrowing money to pay down current debt whilst also having sizeable future liabilities).

However given what we do know about the club finances and the downward trajectory on the pitch, this probably is not a good sign.

 

Parlaci FC in the mud

 

That's the thing isn't it. This much heralded new approach of increased communication is heavily caveated with the eternal truth, that nothing anyone senior at the club says can be trusted.

More fool those who fail to heed this.

 

I’d like to know if this is for working capital , in which case I guess there is no choice , but would be more of a worry, as it suggests the club is nowhere near sustainable and goes against the debt free premise , unless we still need to get a few higher earners off the books.

Alternatively if it’s to invest in January , then I’d hope we are going to invest wisely this time or not at all as it looks as if we are likely to finish mid table so would rather we spend on genuine longer term prospects.

 

I'd worry more if it was to invest in January given our pisspoor hit rate with signings in the past 3-4 years. Plus without much more money to come down the line to borrow against this would very much feel like the last roll of the dice.

 

Yes but those mistakes were before we learned our lessons, hired and then fired Manga and gave VI complete autonomy and a 5 year deal come hell or high water.

Let's give things a chance.

 

My support is hanging by a thread at this point but I’m prepared to give Gino a little while longer to turn things around. Say a decade or two.

 

I'll criticise gino when he does something wrong, but he's earned the right for us to give him time to put things right.

 

Listen Moog, we asked Gino to Parlaci and he Parlaci'd

In 12 months time, if it turns out we were lied to i'll be the first person to hold my hands up and move the goalposts again

 

Exactly. We never asked him to tell the truth did we

 

Hang on, are you saying people who don't heed your advice are fools? Fools tend to have low IQ right?

I heed you and I pity the fools.

 

Italian media today saying we have taken out a loan hedged against the Sarr fee from Macquarie bank to free up some liquidity.

Presume this could be ahead of wanting to make moves in January?

Anyone who understands the financials have any insights?

 

I believe they’ve taken out a Macquarie loan so they can make the repayment on another Macquarie loan.

 

Try scrolling up a bit first...

 

aha thanks UEA. Will keep my fingers crossed it’s for transfers rather than working capital then!

 

Surest sign yet that Sarr is going to make an emotional return in January.

 

I think the plan is to take out so many loans, borrowed against so many different things, that no one knows who owes what, and it all gets written off.

 

nah I’m pretty sure it’s just an article he has written about the Macquarie loan on the dart sale.

 

Debt free by July 2024 though. We’re so smart, we’ve taken out an £11m loan and Marseille will pay the instalments!! Gino’s done it again.

 

Their fans will be fuming! Ratford ftw!

 

"Your honour, my client couldn't possibly be in debt because the debt he owes to a bank is going to be paid by another club at a net loss of around £1m to my client and in lieu of the other club paying his club the money they owe directly"