Detail behind haunting words of Paul Murray

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You and I have been discussing football finances here since 2004.  In our early years Celtic lost several million pounds each year, CQN’s call was ‘we must breakeven over any business cycle’, an incredibly controversial view in those times of indulgent bling.

By 2004 Celtic hadn’t added a player who held down a sustained first team place for three years (since John Hartson in 2001).  We also lost a talisman that summer.  The pressure was on to spend, from the stands and the dug-out, but Brian Quinn, our chairman, had concerns about running at a permanent loss.  In the face of considerable criticism from the bling-brigade he stood firm.

Celtic won three of the next four league titles while reaching new territory in the Champions League as others continued to spent beyond their means and exploit unconventional taxation policies, which ultimately saw them liquidated, but while the end game was predictable, most didn’t predict it.  This resulted in strife at our club.

Finance was a focus of CQN in the early years when we produced granular analysis of accounts and budgetary forecasting.  As we became less of a basket-case the time spent debating money reduced.

We can all talk about strikers and defending, policing and political influences, good corporate governance and the SFA, but if you scratch below the surface of those with many years of CQN behind them, I suspect you’ll find people who can’t resist a football club’s cost and revenue breakdown spreadsheet….

The document which appeared on the internet yesterday on a former football club [let’s call them ExCo] was a joy.  To me, anyway.  It provided many small details which add up to one or two enormous conclusions.

ExCo forecast current year spend for 2011-12 on cleaning costs to be £380k, electricity at £455k, insurance at £374k, postage and carriage at £146k, IT at £261k, professional fees at £613k and telephone costs at £149k.  Stewarding was £593k, policing, £343k, match day ambulance, £89k.  They spent £160k on finance salaries and £176 on press office salaries while ticket operation salaries cost £268k.  The list is exhaustive, 10 pages of costs detailed.

Operating costs, before items like our old friend, amortisation, and tax (don’t laugh), were predicted to come in just shy of £37m, but the key message in all of this detail, is that if you want to operate a football club which can accommodate circa 40,000 spectators you need an infrastructure which costs around £20m.

The police, building maintenance, insurances, grass seed and everything else has to be budgeted for before you can look at player wages, not to mention transfer fees.  £268k might sound like a lot to pay for ticket office staff but if you need to issue tens of thousands of tickets you need fulfilment staff.  All those assets: enormous properties, thousands of fans, blanket media attention, can feel like liabilities to the guy with the responsibility to pay for them.

On reading this the overwhelming memory I had was of former Rangers director, Paul Murray, who a year ago told the world that Newco Rangers would not be viable, and he was hoping a Newco would have SPL football back then.  New clubs cannot qualify in European competition until after they have completed three years trading (a minimum of four years without Europe).

With no European revenue for four years, Newco would be unable to pay all those ‘fixed’ costs and put a competitive team on the field.  A big club can’t survive trapped in a small league with no European revenue.

This is reality.  Scotland has one healthy large club and has a dozen or more potentially healthy small ones, but nothing will ever be the same again.

Thanks to everyone who has bought Willie Wallace autobiography.  Orders in from Belfast, Blackpool, Bonnybridge, Burntisland and Blackrock.  If you order now you will receive a copy signed by the man himself….

Email me if you have an article for CQN Magazine inside of you waiting to get out; celticquicknews@gmail.com.


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  1. Corkcelt

     

     

    I got as far as the invite to “draw up a stool” working in the NHS that kinda threw up visual images I could do without.

  2. Cork celt

     

    You saif last night was strange..

     

    Thank crunchie im heading out…

  3. I’ve only seen the grainy footage of Murdo’s screamer in the 4-2 game but what a goal. I also liked the rocket in the ’82 League cup final.

     

     

    Hail Hail

  4. WeefratheTim on

    BT

     

    What a pleasure to meet a Legend and a wonderful family today. Absolutely enjoyed our wee tet a tet and discovering what a small world we live in. Your rehab is well on it’s way and look forward to meetings in the future. Top top guy.

     

     

    Weefra HH

  5. Weefra

     

    The pleasure was all mine

     

    Ms bt enjoyed meetimg you again and getting to speak to a long lost work mate.

     

    Small world.

  6. Googy bhoy

     

    Im sure estadio national set one up a couple of years ago.

     

    Think you would need a private site to prevent orc infiltration

  7. 67Heaven ... I am Neil Lennon..!!.. Ibrox belongs to the creditors on

    Keevins wants to make his mind up…..a few weeks ago he confidently stated that ANY. Celtic fan who said they didn’t miss oldco was a “LIAR”………. Tonight he says “a section of the Celtic support want to see oldco ‘finished’ ….. Perhaps he could explain why any fan who misses them would want them ‘deed and buried’……… What a wee silly fud he teally is……

     

     

    Incidentally,it’s finally dawning on him and his crew that sevco are entering ‘deep shoite’….

  8. Thanks to everyone who has ordered the first ever CQN Book – Willie Wallace Heart of a Lion. The books arrive in Glasgow on Thursday and so does Willie Wallace. If you want to get your copy signed by the Lisbon Lion please order in the next few days. Sales have been astonishing – it’s made even Paul smile!

  9. Neil canamalar Lennon hunskelper extrordinaire on

    Read kojo’s advice and it made a lot of sense but it also made a liar of him, this is the guy who told us there is nothing to learn from history now telling us about economic cycles eh

  10. blantyretim

     

     

    19:05 on 17 May, 2013

     

    Googy bhoy

     

    Im sure estadio national set one up a couple of years ago.

     

    Think you would need a private site to prevent orc infiltration

     

     

    …………..,

     

     

    If we have had one and it was not successful then may not be worth it.

     

     

    Would have to be a private site.

     

     

    There are ones like Lions Den like that.

  11. The Boy Jinky on

    Googy

     

     

    Not sure you want me as a fb pal … its all boobs and bums on my page

  12. Neil canamalar Lennon hunskelper extrordinaire on

    You canny make a list withou philbhoy, now there’s another who has been missing for a while

  13. che

     

     

    19:07 on 17 May, 2013

     

    Googy

     

    Aye lets make a list….

     

     

     

    A list of pros and cons or of those that would join.

     

     

    I like the idea of putting faces to names. The support of others outside the noise of CQN

  14. googybhoy ♥ celtic

     

     

    18:58 on 17 May, 2013

     

    Talking to a few CQN ers on Facebook and wondered what what would be the pros and cons of a Facebook Group of CqNers?

     

     

    Anyone any thoughts?

     

     

    ******

     

     

    Without giving your suggestion too much thought, I don’t think it would be a good idea.

     

     

    Why create another forum for CQN.

     

     

    I’m sure that I’m not the only one who doesn’t use Facebook, so what it would look like would be a divisive clique.

     

     

    However, if it is the will of the blog, carry on.

     

     

    I suppose the Facebook club could be called Craft Quick News!! : > )

  15. canamalar,

     

     

    Anyone who takes Kojo’s word as Gospel, is an Idiot.

     

     

    Kojo talks a loata sense tho, IMO

  16. Googy

     

    Think its a cracking idea, but some of us do have a face for radio.

     

     

    TBJ

     

    All boobs and bums, that’s the friends list isn’t it?

  17. thomthethim

     

     

    19:13 on 17 May, 2013

     

     

    neil canamalar lennon hunskelper extrordinaire

     

     

    19:14 on 17 May, 2013

     

    Another clique is exactly what is needed

     

     

     

    No wish to form any clique but a good point.

  18. If I ever get repetitive strain injury in my “scroll on by” finger I’m gonna be hitting Kojo wi’…….a LAWSUIT!

  19. WeefratheTim on

    neil canamalar @1914

     

     

    Can I be part of that clique? Hahaha

     

     

    Weefra HH

  20. Jaysus wept,

     

    why would it be a clique?

     

    Think the suggestion is some of us are already on fb so why not have a group on it,

     

    Any fb mods on is the CQN Mag page a possible platform?

  21. Neil canamalar Lennon hunskelper extrordinaire on

    Weefra…,

     

    I though you started the free range clique, how many cliques do you want to be in :o)

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