No one worried at the level of spending..?

[NickG]

You are also forgetting that for most people a large proportion of their money is taken up with food, accomodation, bills, petrol etc. etc. Whilst I have no doubt Marcus spend more money on nice food, houses, cars etc. etc. It will still be a much lower proportion of his income.

 

Basically what I'm saying is that ML can put a much higher portion of his income towards 'recreational', for want of a better word, prospects.

 

eaxctly right, and some reports put him even richer

[Dark Munster]

I’m more worried about NC. If he gets fed up with it all (he’s already thrown his toys out the pram a few times) and decides to go back to banking that he knows well and is good at, will ML still want to own us and put someone else in the top job.

 

Good question.

[Chez]

NC has said publically that the investment has not come from any debt. He was quite clear that there is no debt so whether that's "evidence" or not is up to you, but I suggest he would look somewhat silly if it was untrue.

 

I believe the club became debt free when they did the deal to buy it. But I don't think anything has been said about the financial workings of the club sinced then.

 

I'm not saying anything is wrong, I'm just saying no one really knows and therefore there will always be a nagging feeling that we could be left exposed at some point especially if we are spending much more than we were earning.

[Chez]

It's not just Pompey tough. Man United, Liverpool, Hull etc are all in a terrible position financially.

 

is that a Blackadder Goes Forth style inclusion of Hull there?

[verlaine1979]

Is the idea that there's a huge pot of gold for reaching the premier league a bit of a daydream? Looking at the most recent breakdown of profit and loss I could find (admittedly over a year old) it basically sounds like nobody outside the top four/London is making anything other than small change in profits, regardless of the size of their debt. Obviously, most aren't even making that.

 

http://www.guardian.co.uk/football/2008/oct/22/premierleague

 

The most recent Deloitte football finances report put the wages/revenue ratio of premier league clubs at 62% on average, though this is skewed heavily by the turnover of the larger clubs. Additionally it mentions that each increase in television revenues to the league has been met with an equal or greater increase in player wages.

 

It appears the pot of gold only exists if you win something - you don't get rewarded for sitting mid-table.

[CB Fry]

:smt042 Let's say he gets out after 10 years (when he's in his seventies), takes Saints to the PL, and sells for a tidy profit of say £50 million. So he would make about £5 million per year on average: that means buying Saints earned him about 0.2% per year extra on top of his £2.5 billion.

 

He really needs that extra money!

 

 

What is the matter with some people?

 

It's not about "needing the extra money". It's just that it is a business venture and will be treated as such.

 

Who anywhere "needs the extra money"? Did Ronaldo "need the extra money" when he went from Man United to Madrid? Does Jonathan Ross "need the extra money" his next contract is going to get him? Do the Bankers quibbling about five or six figure bonuses "need the extra money". Does Rupert Murdoch "need" any extra money? Is he stopping any time soon?

 

Can you give me a thousand pounds please? I'll PM you my address and you can send me a cheque tomorrow. After all, I could easily work out what a tiny percentage of your income that is over ten years, meaning you won't be "needing the extra money" either.

 

You can laugh at me but the idea that ML is just throwing money around for the fun of it is simply ridiculous. This is a business venture for Cortese to run and it will run a course which will hopefully see us promoted twice very quickly.

Edited 12 January, 2010 by CB Fry

[Ponty]

I''m confused, TDD. Are we the Man City of League 1 or are we the Portsmouth of League 1?

[BadgerBadger]

I can't believe some of the 'whats ifs' flying around FFS:

 

-NC is a trusted servant of ML, been running his accounts and investments for years

-everthing NC does is under scruntiy and he is gonna make unpopular decisions, that's what successfull people do

-ML dosen't come across as a playboy dodgy character who's out for a quick buck and will use us

-NC and ML seem measured and forward thinking

-ML has stated he was drawn to the history and link to the church (granted that theres very little left of the church thing)

-they're investing money in a business, that's what wealthy successfull people do, matters not a jot if if it's from his back pocket or not the end result is speculate to accumulate - although I still think there is an element of philanthropy going on however small

 

we're just not used to being in this position and some people just can't get their heads around it

 

relax and let it takes it course.

 

Cut the men some slack and let's see how we go

Edited 12 January, 2010 by BadgerBadger

[hughieslastminutegoal]

The thing is that we are being very clever about the way we spend our money. We are buying players who can hopefully compete in the Premiership but on League 1 (or a little above - no doubt things will be written into contracts) wages. A lot of teams go up a division and then have to buy a completely new set of players while still trying to offload the existing ones (and their wages) that got them there. We are showing a bit of forward planning - lets hope we've got it right.

 

..and probably getting players a fair bit cheaper at the moment, too.

If we can get a playoff place then everyone else in the playoffs will be very worried.

[Polaroid Saint]

It's also worth remembering that technology (coupled with a massive social shift in private spending) opened the door for BSkyB and the Premier League back in the early nineties. Football and Satellite TV were fine bedfellows for each other and remained so for many years. The money kept on rolling.

 

It is only now that technology will play it's hand again. Technology will force Sky into a more open market where - thanks in part to the massive popularity of the English game world wide - other providers will compete.

 

Whilst there is a strong chance that in a upward economy this could generate more money for the clubs through competitive bidding, I believe it will actually result in a reduced spend overall in favour of better rights/security in an uncertain fiscal future.

 

Skyplayer is already showing how Sky will offer coverage, whilst anyone a little bit internet-savvy (with a good fast connection) can find any and every premiership game streamed live online somewhere.

 

HD obviously keeps us glued to our TVs for now, but even HD will be obtainable online very shortly.

 

3D is - currently - a bit of an embarrassment (all the tech company CEOs wetting themselves over what is a very dull technology, whilst RnD departments in all the major nervously fiddle about with silly specs).

[Legod Third Coming]

Is the idea that there's a huge pot of gold for reaching the premier league a bit of a daydream? Looking at the most recent breakdown of profit and loss I could find (admittedly over a year old) it basically sounds like nobody outside the top four/London is making anything other than small change in profits, regardless of the size of their debt. Obviously, most aren't even making that.

 

http://www.guardian.co.uk/football/2008/oct/22/premierleague

 

The most recent Deloitte football finances report put the wages/revenue ratio of premier league clubs at 62% on average, though this is skewed heavily by the turnover of the larger clubs. Additionally it mentions that each increase in television revenues to the league has been met with an equal or greater increase in player wages.

 

It appears the pot of gold only exists if you win something - you don't get rewarded for sitting mid-table.

 

Accoding to John Motson's autobiography you get at least £38m in Sky revenue and £11m parachute payments for two years.

 

Which is why the Play-Off Final is worth £60m.

 

Which I would venture is considerably more income than we're getting now!!!

 

Of course, because of Bosmam we have to spunk it all away on wages but that's at least a choice we would have to make...