The only asset for these holding companies is the club.
Ok, lets look at it like this
Holding Company: owns as sellable assets
1 x Football Club
Football Club: owns as sellable assets
25 x First Team players plus
40 x Youth Players plus
1 x Manager
1 x Assistant Manager
X x Coaches
X x Physios
X x Medical Staff
1 x Stadium
1 x Training Centre
From an administration perspective, which is going to be easier to sell to recoup any debt owed? Plus, trying to sell the club you then have the brand name to add weight to the value (providing the club is big enough and successful enough to have a wide ranging fan base)
2 Likes
But there would be the option of selling the club’s assets if the club itself cant be sold, no?
Yes, but from the administrators perspective, it would be easier to sell the whole club rather than split it up into multiple assets.
Also, selling the club as a whole give them the greatest chance of recovering the debts
I wonder how much Moshiri is willing to continue keeping it afloat.
That is effectively the question now, if he pulls out that’s when they hit administration.
Leicester have their own questions but of course if Everton had a two point penalty applied last season they would have been relegated.
They were only 4pts ahead of Burnley the season before as well. Fundamentally how that independent panel can turn around and say the penalty was unfair on Everton is baffling when evidently they are acting in anything but good faith.
I don’t think he’s got anymore money of his own. Moshiri was a frontman for Usmanov who was quite clearly bankrolling Everton.
1 Like
I wonder if the wordings in the official Contracts are between the holding company and the personnel
I get what you’re saying though
Leicester and Leeds can well argue that. There’s a huge case of settlements as well that these two clubs would be filing.
Everton would be wise to let it be settled out of court.
1 Like
And the whole point remains that it’s harder for a promoted club to escape relegation than it is for a club like Everton.
Primarily because the promoted club wouldn’t have the same resources that a club like Everton should have. With the gap in resources between the championship teams and the lower level premier league teams , I often wonder whether being promoted to the PL makes business sense at all for the second tier clubs.
Leicester might well make the case that Everton made them lose about 100m revenue. Where’s Everton getting that money from ?
1 Like
Luton have effectively done it with the squad they had. Bournemouth hadn’t gone up two seasons ago they were facing issues.
Sheffield Utd hardly spent. Effectively all of these clubs are yo-yoing until they can get a foothold.
Swansea sadly haven’t come back and Cardiff seems to think appointing dullards is the way to promotion.
We will see what Ipswich do but a club that you would assume would have times in the top flight have been away for 20 years.
Leeds or Soton will miss out again. WBA and Norwich have already gone. It had got more varied and these things swing but Covid does seem to have tightened that door and clubs like Forest and Everton are effectively being let off.
Sadly I would hope we have something different but I can name 4 of the 7 that will be in the top 7 next season.
Norwich
WBA
Soton or Leeds
Burnley
Luton may struggle and Sheffield Utd may as well, Hull I think have made an error on Rosenior, it might not be the best of football but he evidently would have pushed for playoffs and then you’ve got Boro and Coventry.
Blackburn perhaps and then someone newish, couple of decent managers without a club so we will see.
2 Likes
I think Burnley would make a strong comeback. They have a team which is too good for the championship.
No, there were multiple entities and multiple debt facilities. Recall that RBS ended up in court with Mill Financial over the relative primacy of their respective security agreements (Mill lost). Not that different at all, with the main difference being the stadium work in progress and corresponding credit facility.
2 Likes
Everton didn’t have to undergo a leveraged buyout too. Think there’s a huge difference there. Only goes to show how poor they’ve been managed.
A leveraged buyout restricted Liverpool from spending. That wasn’t the case with Everton
Everton spent their way into trouble whereas Liverpool were made to pay for their shit owners.We were essentially paying for H&G to buy the club. Point is that Everton had the resources and then fucked it up.
There’s def a huge difference there
1 Like
Also worth mentioning that if the club folds, the players are worth nothing. When Rangers went bust in 2012 most of the players left on a free and the stadium and training facilities were sold for around £5million.
Obviously, that was liquidation rather than admistration, but having a club with PL status and a stadium is worth more than the separate assets.
1 Like
Everton should have been in administration now had it not been for some people in the PL willing or being coerced into providing them lifelines on lifelines.
I felt the PL was lenient with their punishment but then that independent panel pretended Everton had acted in good faith. Looking at them at the moment that looks like a lie as well.
so no sympathies for them
Nope.
They knew they were in the shits, but decided to spend like piss sailors on shore leave anyway, so fuck 'em
1 Like
And the years when they declared they won the transfer league.