Generic clubs in financial crisis Thread

[Franchise FC]

hm..worrying news.

http://www.watfordobserver.co.uk/sport/ ... isconduct/

Points deducted?

Why the hell don't the law-makers define the penalties when they make the rules ?
Then everyone would know what to expect and we'd get some transparency.
Watford appear to have broken the rules, but no-one knows what arbitrary punishment they'll get - anything from a reprimand to fines to points

Surely if the penalties are defined it makes it less likely that someone will try to avoid the rules

[PieEater]

I thought this was a pretty good summary of the dodgy Bassini

Okay so let me get this straight. LB was given permission to take over our club by the football league. In one season he (allegedly) spent our income on drugs, prostitutes, bentleys and casinos. He transfered around 1.5-2.5 million in loans to himself, but made sure the debt was in the clubs name and therefore if he sold the club, he would not have to pay a penny of the loan back (or even any interest of repayment). He also took half a million from the club to refurnish a pub, spent a fifth of that whilst pocketing the rest (and did not declare any of it); when the takeover happened he then got to keep this pub. When people tried to stop him (Safegate) he just called the police and had the long serving employees removed from the premises. He then sold the club for 10-15 million pounds more than he bought it for which left us in fairly significant debt, with a potential points penalty and almost certain fine to come. This man had no real money himself in the first place, would not disclose where or how he was going to pay for the club and had (two?) failed businesses beforehand, after one of which he changed his name. I'm starting to feel like even Harry's dog could convince the FL that he would make a fit and responsible owner.

[handbags_harris]

Coventry City given 21 days to pay unpaid rent for the Ricoh Arena or face a winding up order (source SSN)

[SPARTA]

Coventry City given 21 days to pay unpaid rent for the Ricoh Arena or face a winding up order (source SSN)

http://uk.eurosport.yahoo.com/news/foot ... 2U-;_ylv=3

Ricoh Arena bosses are owed £1.6million in total from the club - £1.1 million in rent after the Sky Blues stopped making their payments 10 months ago. Should the club fail to meet the Boxing Day deadline, they would have to declare themselves insolvent and face closure.
A full statement from Arena Coventry Limited, the stadium owners, read: "Following the refusal of Coventry City Football Club and its owners, Sisu, to pay outstanding rent to Arena Coventry Limited (ACL), the ACL Board has today issued a statutory demand to Coventry City Football Club (CCFC)."
The statement continued: "The statutory demand covers the £1.1million owed by CCFC to ACL in rent arrears of a total £1.6million owed by the club.
"This is not a course of action the ACL Board wanted to take. However, the behaviour of Sisu, the owners of CCFC, has left the board with no choice but to issue the statutory demand."
The League One club were unavailable for comment when contacted by Press Association Sport.

[handbags_harris]

IS £110,000 a month rent normal in corporate terms?

[GreaterTorontoRoyal]

IS £110,000 a month rent normal in corporate terms?

Well if you figure 20,000 at £20 a pop that is £400,000 and two games a month makes it £800,000.
Granted, Coventry doesn't get 20,000.
Not sure about the actual going rates, though.

[Franchise FC]

IS £110,000 a month rent normal in corporate terms?

I've no idea how much the Ricoh cost to build but if you assume it was £20m and the owners want to recover their money in 25 years (plus a profit of course) then somewhere about £1m sounds about right.

[Alexander Litvinenko]

Bury take short term loan from the PFA, citing "cash-flow" problems due to recently postponed games.

[Stooper]

Coventry negoatiaiting a move to Nene Park....capacity 6500.

[Tony Le Mesmer]

Christ, Nene Park is rapidly turning into a football hospice

[On High]

Coventry negoatiaiting a move to Nene Park....capacity 6500.

How far is that from Cov? Must be an hour away?

Death knell for club sadly

[Barry the bird boggler]

Coventry negoatiaiting a move to Nene Park....capacity 6500.

[Stooper]

Coventry negoatiaiting a move to Nene Park....capacity 6500.

http://www.northantstelegraph.co.uk/news/local/coventry-city-looking-at-possible-nene-park-move-1-4573545

[Stooper]

Cov now looking at Hinckley's Marston's Stadium - capacity 4500

http://www.bbc.co.uk/sport/0/football/20714161

[SPARTA]

Cov now looking at Hinckley's Marston's Stadium - capacity 4500

http://www.bbc.co.uk/sport/0/football/20714161

Their ground can hold 4,329 fans.
The Ricoh Arena's capacity is 32,609.

ACL have issued League One Coventry with a Boxing Day deadline to pay the claimed amount of rent, or face a winding-up petition.
However, the Sky Blues believe that the rent is too high in relation to other clubs of a similar level, and are keen to negotiate with ACL.
The club are also interested in retaining some of the match-day revenue, which currently goes to ACL

What a mess that club is. It's one thing not owning the stadium you play in, but the match day revenue doesn't go into the clubs pocket either! Oh my days. It sounds like they need a permanent move from that ground.

[biscuitman]

Football fan first.

Sad days for Coventry. Strong possibility of moving from a stadium they've not once sold out.

http://www.bbc.co.uk/sport/0/football/20714161

Coventry City hold talks with Hinckley over stadium move
Coventry City have held provisional talks with Hinckley United over playing at the Blue Square Bet North side's Greene King Stadium.

Coventry are looking at other grounds as they discuss a £1.1m bill in rent arrears with Arena Coventry Limited (ACL), the owners of the Ricoh Arena.

And Hinckley, who have been hit by a three-point deduction, told BBC Radio Leicester they discussed a potential share with the Sky Blues.

Their ground can hold 4,329 fans.

The Ricoh Arena's capacity is 32,609.

ACL have issued League One Coventry with a Boxing Day deadline to pay the claimed amount of rent, or face a winding-up petition.

However, the Sky Blues believe that the rent is too high in relation to other clubs of a similar level, and are keen to negotiate with ACL.

The club are also interested in retaining some of the match-day revenue, which currently goes to ACL.

As a result, Coventry have been searching for a contingency plan if a deal for the Ricoh falls through, and reports suggested that they could move to Nene Park, home of the now disbanded Rushden & Diamonds and latterly Kettering Town.

However the Sky Blues, who have averaged just under 10,500 fans this season, could now move 13 miles away to Leicestershire if a deal is struck with Hinckley.

Coventry currently lie 15th in League One following their relegation from the Championship last year, and are on a run of three wins out of their last four league matches.

Hinckley received a points deduction on Thursday for failing to pay five players' wages and now sit on zero points after 18 games in their division.

[SPARTA]

viewtopic.php?f=3&t=94689&start=3900#p3517583

[Royal With Cheese]

Football fan first.

Sad days for Coventry. Strong possibility of moving from a stadium they've not once sold out.

http://www.bbc.co.uk/sport/0/football/20714161

Coventry City hold talks with Hinckley over stadium move
Coventry City have held provisional talks with Hinckley United over playing at the Blue Square Bet North side's Greene King Stadium.

Coventry are looking at other grounds as they discuss a £1.1m bill in rent arrears with Arena Coventry Limited (ACL), the owners of the Ricoh Arena.

And Hinckley, who have been hit by a three-point deduction, told BBC Radio Leicester they discussed a potential share with the Sky Blues.

Their ground can hold 4,329 fans.

The Ricoh Arena's capacity is 32,609.

ACL have issued League One Coventry with a Boxing Day deadline to pay the claimed amount of rent, or face a winding-up petition.

However, the Sky Blues believe that the rent is too high in relation to other clubs of a similar level, and are keen to negotiate with ACL.

The club are also interested in retaining some of the match-day revenue, which currently goes to ACL.

As a result, Coventry have been searching for a contingency plan if a deal for the Ricoh falls through, and reports suggested that they could move to Nene Park, home of the now disbanded Rushden & Diamonds and latterly Kettering Town.

However the Sky Blues, who have averaged just under 10,500 fans this season, could now move 13 miles away to Leicestershire if a deal is struck with Hinckley.

Coventry currently lie 15th in League One following their relegation from the Championship last year, and are on a run of three wins out of their last four league matches.

Hinckley received a points deduction on Thursday for failing to pay five players' wages and now sit on zero points after 18 games in their division.

That sounds like a bit of pre-negotiation posturing to me. Nothing to get that worried about.

[Bandini]

Sad news

[Seal]

Interesting insight re: FFP I received today.

UEFA are genuinely taking this seriously, they are even employing a third party, sponsorship measurement company to evaluate the commercial revenue claims of each club. Therefore if club X says they receive £50m per annum from sponsorship (and there looks like being a conflicted third party investment ala Man City), this company will provide UEFA will a POV on if that is a fair or inflated market rate - to establish if it is genuine revenue stream or essentially a financial donation to inflate the books.

The club in question will then be told what the fair value is, and how much it can be used against FFP.

The company have been told they need to be prepared to go to court to back up their valuations.

Bad news for Man City, Chelsea, PSG & Zenit in particular...