Delighted Aberdeen are now free of their “debt servicing burden” after long-term supporters Willie and Elaine Donald proposed to reduce net debt by an astonishing £14.9m. The club have been able to service their debt but it’s been caught between paying for old overspends and driving ahead with a new stadium to provide for its future.
Aberdeen has a vibrant business and corporate entertainment sector which the club is well-placed to exploit. In the right environment, specifically, playing a regional league with a new stadium, they could be transformed into a European power, as they were back in the day.
Unfortunately, it’s not all rosy positive financial news for Scottish football clubs. Rangers International’s statement to the stock market this morning confirmed that Mike Ashley’s £2m loan will not be enough to see the club through to the end of this month. Ash’ has provided a further £1m, which will take them through to the second week in December – at least!
The statement confirms yet more money will be needed before the end of the year and that the directors have begun a cost cutting exercise. So where does this leave them?
Living week-to-week is fine if you are within sight of season ticket renewal deadline but that’s six months away. The funding requirement to get them to that day is likely to be north of £10m, with Ashley now the only wallet in town.
A great deal of analysis is taking place over his commitment to the SFA that he’ll not acquire more than 10% of the club, but this overlooks all the important factors, specifically that owning more share capital is neither necessary nor helpful to Ashley.
Football clubs are a collection of businesses. There is the football, of course, but there is also a media business (print, online), retail services, brand merchandising, corporate hospitality, there’s advertising space to fill, and with some, there’s a link to a charity, which requires administration.
The charity and football operations cost money but everything else tends to make a profit. Football clubs are horrible entities to manage. You have unrealistic competitive pressures, fans who demand conflicting objectives and your performance can be undermined by a defender’s lapse, before you’re scrutinised in public. Only lunatics would apply.
By contrast, corporate retail management is a walk in the park. Ashley already has a healthy share of Newco’s retail, merchandising and IP rights. He can and will make money out of them, and no one has been able to tell me why he’d be remotely interested in owning an ounce more than Rangers International.
The funding which will get the club through the rest of the season is likely to cost them all those profitable income streams in perpetuity. There’s a good chance security will be required over the property assets too.
Newco is pretty much hollowed-out already but the scavenging isn’t finished. By the time the consequences of all that ‘we will continue to act like a big club’ nonsense of the last two years has comes home to roost, the cost of their hubris will be laid bare to even the most blinkered mind.
All of this was inevitable when Sir David Muray overruled his board’s recommendation and sold out oldco to a liquidation expert.
TIME CHANGE Remember, we’ve got Davie Hay on the blog tomorrow from 9:30 – 11:30.
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To all those Bhoys who say they are going to see Celtic, ‘fill her boots’, but not with what you’re talking …..I will watch my beloved Celtic when they are playing football teams, not a club resurrected from liquidation by corrupt ‘corridor of power’ knuckle-daggers ….
I suppose you all feel we are going to get ‘a level playing field’ …..hahahahahahaha
lct
RIP John
Is he a Coatbrig man??
67heaven
Genuine question, will you watch it on TV?
FIELDOFDRAMS
She was held back this morning by Chris Evans prattling on R2.
HT
It was a cracker. As for the game, It didn’t gel for us and I thought John W had an excellent game and scored a significant number of goals and we couldn’t keep up. Just one of those nights
Onwards to next week and undercover :-)
HH
CRC
Sorry for DR link
BGX
“SFTB….Alex Salmond…….never voted for him….round and round and round….”
You might remember that he was the guy heading the Yes campaign, the campaign that was dominated and run by SNP members. The guy who would have been our first president and who would have been given a blank cheque by you to write our constitution. The guy whose party you are all joining in droves now, so you tell us, having denied that the SNP had anything to do with it while the referendum campaign was on.
As you say, round and round.
HT
what about trying mcgregor (after he’s been rested)
in stokes position ,
did you win at 5’s tonight ?
Izzy .. is a Wonderful.. Winger..
He has Tricks n Feints.. Speed…tae spare
Howevahhhhhhh..
He canny..n Ah really Mean this..
Mak a Dependable Cross ..in a Consistent Manner…
into the Opponent’s DANGER AREA..
The Only Thing that Ah kin Say aboot his Crossing o the Fitball..
is..
Well.. It leaves a Big DOD.. O’ A Loat tae be Desired..
n..
This Failure in his Part..
Erases .. maist o’ maist…. o’ the Good Feelin’s which Ah Wiz ..well…
Beginnin tae Feel fur him.
Izzy, Disappoints Me.
Kojo
Stil Laughin’
67Heaven – And that makes you the bigger man because …?
HT
From what I have seen at Celtic Park games only, against the opposition, young McGinn has been more impressive against us than Armstrong (in my opinion only)
Although both have an excellent work rate, up and down the park
I also liked what I saw in young Stanton
There is also an Aberdeen youngster, can’t mind his name (not Pawlett) who looks decent
Some decent young Scottish talent we could take a chance on ?
If we don’t have our own coming through ?
I do believe our midfield needs improving, these players could help, if Ronny does not rate them already there (Biton, Henderson, Kayal oot of contract , with Commons- I would offer Commons another year with an option for a 2nd)
Hail Hail
crc
Agree about John W tonight. I saved nothing from him.
GMS was all the rage 18 months ago,a sub most weeks now
cowiebhoy
22:32 on 12 November, 2014
d d
What were you doing in BoA today
—–//-
CowiebhoyBorderPoliceCSC
HH jamesgang
Ht
just read CRC’s match report , i’ll need to get back to 5’s so you csn beat somebody ;))
HT
Ah the old blow footy!!??
Good to see Bjmac back as we head for our 2 year anniversary in January.
HH
CRC
——–
I’m sure you make a lovely couple!
HH jamesgang
cowiebhoy-yep McGinn before Armstrong for me
K K
may your friend rest in peace
BGX you do all our intelligence a disservice.
Goodnight
CRC/SFTB
Yep, thought John was probably the difference between the two teams.
I’m still blaming the weather :-)
Marspapa
When does your transfer window open???
Jude
John, was a lovely gentleman from Clydebank. Celtic through & through.
R.I.P. “The Wean.”
John McGuinness R.I.P.
HH jamesgang
D D
Ta
CRC
You say you usually beat HT at 5s.
Tonight you played together.
You lost.
Are you scapegoating CQN’s matinee idol?
Cos pity help you if you are!!!!!
PooStirrerCSC
HH jamesgang
jamesgang
22:48 on
12 November, 2014
Aye good one! Glad we have an open minded blog :-)
HH
CRC
Cowiebhoy
in the cup game against hearts , i liked their number 7 , good pace and control , also the big black guy up front , can’t remember his name showed up well to .
SFTB
I sincerely hope TBB made that £10 donation to Mary’s Meals yesterday, after your effort at 15.59, I was seriuosly rolling aboot laughing at that, in fact if he has, and posts the page I will also donate for that effort :-)
On Footie, I thought Lenny done well last season in bringing through young Liam Henderson, and a few other on the odd occassion, I think you can see Liam has it as a player to make it.
Unfortunately nothing to do with age, can’t see it with Calum, in saying that, he does find space in the box, does nothing outside it though
As stated with some other young players playing in SPFL, again you can see they will make it, including Stanton, all my opinion only
Hail Hail
Hamiltontim
22:50 on
12 November, 2014
Question is, has marspapa officially declared his injury at home yet or is it really in his Shaun Maloney mind? :-)
HH
CRC
Cowiebhoy
You could we’ll be right about McGinn but I’ll need to watch him more closely in our next game against them before deciding.
I remain unconvinced that there’s a multitude of talent at other Scottish clubs that’s better than what we’ve got.
I agree with SFTB, we’re too eager for our own youngsters to succeed beyond our unrealistic expectations and then dismiss them as failures and end up comparing them unfavourably to guys at other clubs who are often managed more effectively.
HT
when the WIFE tells me haha !!
If we replaced Kayal & Biton with Armstrong & McGinn we’d be stronger in midfield. RD obviously doesn’t rate Biton and Kayal’s time is just about up at CP. Armstrong & McGinn are the type of player who can play the high tempo pressing game RD favours. Armstrong could go straight into first eleven, McGinn would be back up to Johansen.
CRC
she knew something was wrong when i was slower than usual getting up from scrubbing the floors , i still did’nt get the sypathy and attention HT gets from the Minx
;))
Ryan Jack is player from Aberdeen I think looks decent ?
HT, I would love to see more of our youngsters given a wee run, and would support that as an option. I also believe there to be every bit as good in Scotland, as we have signed recently, probably better value for money ?
I will only comment on what I see (live) playing against us, those mentioned have more than held their own against our midfield.
Hail Hail
Jamesgang
Glad I told Cowie my made up story about my undercover visit to BoA. Got through the Police surveillance unscathed. ;))
Jamesgang
Bully!!!
I no longer have the legs or lungs or pace or balance or vision or skill or ability.
Thanks for reminding me :-)
The Tartan Army warming up for Friday
http://youtu.be/bQLCZOG202k
Neil canamalar Lennon hunskelper extrordinaire
Wrote,”Never trust politicians”
Who did you trust when you voted “No”.
Just asking like.