by WestYorksRoyal » 06 Mar 2024 09:56
by Greatwesternline » 06 Mar 2024 09:56
blythspartan I accepted a while back that the club is probably oxf*rd. I will always be prepared to donate some money to help keep the club afloat. I’d even buy my season ticket for next season knowing that it might become null and void. I appreciate a lot of fans wouldn’t want to, but I’d happily take the chance.
by Elm Park Kid » 06 Mar 2024 10:03
GreatwesternlineWestYorksRoyalElm Park Kid
It wouldn't, from what I heard this morning it's much worse than that. And the issue is the lack of trust in Dai, you're asking average fans to raid their savings and give money to a Chinese Billionaire who doesn't want to spend his own.
I'm expecting that the club will announce something by the end of the week.
Sounds pretty dire. The Directors must be getting close to wrongful trading; they can be banned from other directorships and roles in the UK if they keep trading knowing the club is insolvent, and make themselves liable to personal claims from creditors who are left out of pocket.
They have the authority to place us in administration, but it may not be possible as someone needs to agree to pay the administrators. It sure as hell won't be Dai. This comes back to whether SJM, SCL and other local business peers could club together, as administration >>>>>>>>liquidation.
They are miles away from wrongful trading. In the summer the club could sell all its players, hire cheaper ones, and use the windfall of new season tickets and TV money to carry on trading, albeit as a much less competitive club. The only way they could be wrongful trading is if the clubs fixed costs (rent and depreciation on assets and the absolute bare minimum staff to function as a going concern) are above the minimum income they can expect next season.
With regards to paying the administrators, if a judge agrees to put Reading into administration the administrators are the first people paid out of the proceeds raised. There are companies in far worse financial situations that RFC limited who get put into administration and administrators get paid.
by WestYorksRoyal » 06 Mar 2024 10:06
by Greatwesternline » 06 Mar 2024 10:12
Elm Park KidGreatwesternlineWestYorksRoyal Sounds pretty dire. The Directors must be getting close to wrongful trading; they can be banned from other directorships and roles in the UK if they keep trading knowing the club is insolvent, and make themselves liable to personal claims from creditors who are left out of pocket.
They have the authority to place us in administration, but it may not be possible as someone needs to agree to pay the administrators. It sure as hell won't be Dai. This comes back to whether SJM, SCL and other local business peers could club together, as administration >>>>>>>>liquidation.
They are miles away from wrongful trading. In the summer the club could sell all its players, hire cheaper ones, and use the windfall of new season tickets and TV money to carry on trading, albeit as a much less competitive club. The only way they could be wrongful trading is if the clubs fixed costs (rent and depreciation on assets and the absolute bare minimum staff to function as a going concern) are above the minimum income they can expect next season.
With regards to paying the administrators, if a judge agrees to put Reading into administration the administrators are the first people paid out of the proceeds raised. There are companies in far worse financial situations that RFC limited who get put into administration and administrators get paid.
Remember though that Derby's administration ended up costing £3m in fees, which were underwritten by Mel Morris. Administrators would be coming into a business with a hostile owner, almost no liquid assets and a hope that the final sale price will be enough to at least cover their fees. Which it honestly might not be - the club itself would probably be worthless if it wasn't for Bearwood, and a training ground is probably not going to push the value into the multiple millions.
by Elm Park Kid » 06 Mar 2024 10:31
GreatwesternlineElm Park KidGreatwesternline
They are miles away from wrongful trading. In the summer the club could sell all its players, hire cheaper ones, and use the windfall of new season tickets and TV money to carry on trading, albeit as a much less competitive club. The only way they could be wrongful trading is if the clubs fixed costs (rent and depreciation on assets and the absolute bare minimum staff to function as a going concern) are above the minimum income they can expect next season.
With regards to paying the administrators, if a judge agrees to put Reading into administration the administrators are the first people paid out of the proceeds raised. There are companies in far worse financial situations that RFC limited who get put into administration and administrators get paid.
Remember though that Derby's administration ended up costing £3m in fees, which were underwritten by Mel Morris. Administrators would be coming into a business with a hostile owner, almost no liquid assets and a hope that the final sale price will be enough to at least cover their fees. Which it honestly might not be - the club itself would probably be worthless if it wasn't for Bearwood, and a training ground is probably not going to push the value into the multiple millions.
The stadium and training ground can be sold for £3m. Pre-contract agreements can be entered into for player sales prior to the window opening. And the players could have their contracts cancelled outright and the clubs cease to exist. Believe me, the administrators would get paid.
The only thing that stops players contracts getting cancelled early is they would constitute not paying football creditors which gets you points deductions. Administrators dont have to worry about those niceties.
by Greatwesternline » 06 Mar 2024 10:45
Elm Park KidGreatwesternlineElm Park Kid
Remember though that Derby's administration ended up costing £3m in fees, which were underwritten by Mel Morris. Administrators would be coming into a business with a hostile owner, almost no liquid assets and a hope that the final sale price will be enough to at least cover their fees. Which it honestly might not be - the club itself would probably be worthless if it wasn't for Bearwood, and a training ground is probably not going to push the value into the multiple millions.
The stadium and training ground can be sold for £3m. Pre-contract agreements can be entered into for player sales prior to the window opening. And the players could have their contracts cancelled outright and the clubs cease to exist. Believe me, the administrators would get paid.
The only thing that stops players contracts getting cancelled early is they would constitute not paying football creditors which gets you points deductions. Administrators dont have to worry about those niceties.
The fact that you mentioned the stadium suggests you might not have all the facts with this one .. ..
by Sutekh » 06 Mar 2024 10:48
GreatwesternlineElm Park KidGreatwesternline
The stadium and training ground can be sold for £3m. Pre-contract agreements can be entered into for player sales prior to the window opening. And the players could have their contracts cancelled outright and the clubs cease to exist. Believe me, the administrators would get paid.
The only thing that stops players contracts getting cancelled early is they would constitute not paying football creditors which gets you points deductions. Administrators dont have to worry about those niceties.
The fact that you mentioned the stadium suggests you might not have all the facts with this one .. ..
That's fair. I am aware that the stadium is not owned by RFC. So take that out of the equation. It does also provide the administrators with an option. We could play somewhere else, and boom we no longer have to pay £1m or whatever is on Mad Stad rent.
by Greatwesternline » 06 Mar 2024 11:59
SutekhGreatwesternlineElm Park Kid
The fact that you mentioned the stadium suggests you might not have all the facts with this one .. ..
That's fair. I am aware that the stadium is not owned by RFC. So take that out of the equation. It does also provide the administrators with an option. We could play somewhere else, and boom we no longer have to pay £1m or whatever is on Mad Stad rent.
And which ground is up to standard that someone would be willing to share or rent to Reading for next to nothing?
by morganb » 06 Mar 2024 12:08
by WestYorksRoyal » 06 Mar 2024 12:13
by Norfolk Royal » 06 Mar 2024 12:29
morganb I know that STAR are trying to get more information about how much the shortfall is and will then to coordinate some fund raising but what can be done/who can be approached if a whip round by the fans doesn't raise sufficient money?
Does anyone know of any local businesses that can be approached ( Purple Turtle springs to mind plus SCL of course. Blue Collar Food)
Or local celebrities who would be willing to chip in - Amazons fundraising concert? Ricky Gervais charity gig for Reading FC? In conversation with Bill Oddie? Dance-a-thon featuring Robbie Savage? Who wants to find a Millionaire with Chris Tarrant?
by Snowflake Royal » 06 Mar 2024 12:38
Norfolk Royalmorganb I know that STAR are trying to get more information about how much the shortfall is and will then to coordinate some fund raising but what can be done/who can be approached if a whip round by the fans doesn't raise sufficient money?
Does anyone know of any local businesses that can be approached ( Purple Turtle springs to mind plus SCL of course. Blue Collar Food)
Or local celebrities who would be willing to chip in - Amazons fundraising concert? Ricky Gervais charity gig for Reading FC? In conversation with Bill Oddie? Dance-a-thon featuring Robbie Savage? Who wants to find a Millionaire with Chris Tarrant?
A course of riding lessons hosted by Felix Bowness, fees to be donated to Reading FC.
Fans pay to be lambasted by Jeremy Kyle on the pitch at half-time.
Kate Middleton, from Bucklebury, does a meet and greet in the hotel foyer for a fee to be donated to RFC, abdominal surgery allowing.
by blueroyals » 06 Mar 2024 13:07
by Pepe the Horseman » 06 Mar 2024 13:23
Hendo Honestly, the most I can probably stretch to right now is a ST for next year. Struggling to justify anything else with everything else going on at the moment.
Would I like to chuck a couple of grand at the club, yeah 100%. Realistically, not possible right now.
by morganb » 06 Mar 2024 13:42
Pepe the HorsemanHendo Honestly, the most I can probably stretch to right now is a ST for next year. Struggling to justify anything else with everything else going on at the moment.
Would I like to chuck a couple of grand at the club, yeah 100%. Realistically, not possible right now.
I've just signed Charlie Savage.
by Pepe the Horseman » 06 Mar 2024 13:58
morganbPepe the HorsemanHendo Honestly, the most I can probably stretch to right now is a ST for next year. Struggling to justify anything else with everything else going on at the moment.
Would I like to chuck a couple of grand at the club, yeah 100%. Realistically, not possible right now.
I've just signed Charlie Savage.
Are you also selling nudes?
https://twitter.com/PepetheHorseman/sta ... 9516891476
by Sutekh » 06 Mar 2024 14:16
GreatwesternlineSutekhGreatwesternline
That's fair. I am aware that the stadium is not owned by RFC. So take that out of the equation. It does also provide the administrators with an option. We could play somewhere else, and boom we no longer have to pay £1m or whatever is on Mad Stad rent.
And which ground is up to standard that someone would be willing to share or rent to Reading for next to nothing?
You're talking about it from a footballing perspective. An administrator need not care about such things. A stadium can be found to complete fixtures as required.
by Hendo » 06 Mar 2024 15:00
Pepe the HorsemanmorganbPepe the Horseman I've just signed Charlie Savage.
Are you also selling nudes?
https://twitter.com/PepetheHorseman/sta ... 9516891476
Check your DMs
by Lower West » 06 Mar 2024 19:09
Elm Park KidWestYorksRoyalElm Park Kid In terms of points deduction, it won't make any difference to whether the players agree to a wage deferral or not.
It's going to be hard to get anyone to invest in the club whilst Dai appears to be acting in bad faith.
Any idea how much Howe has involved Dai? Any risk we get a repeat of Genevra where a deal seems to be on and then all falls apart when Dai gets involved?
If no sale happens, it's the end. The EFL will ask us to prove we can survive next season, we won't be able to, goodnight.
Staying up in L1 is a means to an end of helping a deal. Without that it's a meaningless achievement.
So, my (admittedly second hand account) is that Dai really has had no involvement at all until it comes to sign off. All of the negotiations and ground work for the sale have been done solely by Howe/Bowen and others at the club. It's hard to overstate just how little communication Dai has had with the club about anything; they're just keeping their fingers crossed that he'll sign on the line if a reasonable, legitimate offer comes from someone he doesn't consider to be a rival. But no one actually knows. Dai brushed off all offers last year and there are no guarantees that he won't do the same now. He's not acting in a way that suggests he cares about money - otherwise he'd just fund the club on time.
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