Venky’s, HMRC…The Plot Thickens ?

[tomphil]

It was only ever done with FFP in mind though.......

[oneandycrawford]

Can only see this ending one of three ways - 1. we get to Premier League and are sensible (like Luton) and use the money to stabilise 2. we get to the Premier League and bet the bank on loads of players and then watch as that goes pear-shaped 3. we suffer death by a thousand cuts until we eventually do (at best) a Wigan or (at worst) a Bury - or somewhere in between (like Bolton)

Afraid my bet is on number 3.

[Rogerb]

According to the accounts the club was paid interest of £769000 for the outstanding monies in the training ground deal. Such an interest payment does not suggest only £6million was left to pay. The statement that £6 million was outstanding could be read two ways. One being that it was an initial £6 million payment that was late in being paid. The accounts don't appear to show the other 11 million having already been paid as at 31st march 2023.

[philipl]

When you have billionaire owners and you are doing a deal like this, the tires are coming completely off the wheels.

At the very least, it signals there is zero confidence of any funds arriving from India in the near future.

This is literally a promotion or bust season and I have seen enough to know promotion is possible with the current squad, coaching and a smidgen of long overdue good fortune. 

I have every confidence in GB and JDT but close to none in SWAG.

[Dreams of 1995]

6 minutes ago, Rogerb said:

According to the accounts the club was paid interest of £769000 for the outstanding monies in the training ground deal. Such an interest payment does not suggest only £6million was left to pay. The statement that £6 million was outstanding could be read two ways. One being that it was an initial £6 million payment that was late in being paid. The accounts don't appear to show the other 11 million having already been paid as at 31st march 2023.

This is how I read it rogerb

It has even made me think that this loan from Crossbaron could even be a way that Venkys can get cash to BRFC, because it is clear they can't meet their liabilities due to the row with the Indian government

It could very well be that the ~£17m will come from Crossbaron and be repaid in rental income with interest of course

Which is a very bad deal for BRFC in the long run

[tomphil]

The squad just isn't deep enough for a promotion tilt as was seen the last 2 seasons and the likelyhood is it'll be weakened in January.

[JHRover]

Unfortunately even if JDT and his team manage to haul us into promotion contention by mid-season the chances of staying in contention until the summer are remote.

As these owners have proven in the last two January's they have no intention of backing the club mid-season to try and get us up and over the line. Their negligence in the last two January's has directly led to poor runs of form through February-April and with it cost us a play-off position.

If they are unwilling or unable to back the manager when sat in the top 2 or top 6 in a transfer window then we are going to struggle to ever get promoted. Rivals will do business to strengthen, our lot will undermine us.

[tomphil]

41 minutes ago, oneandycrawford said:

Can only see this ending one of three ways - 1. we get to Premier League and are sensible (like Luton) and use the money to stabilise 2. we get to the Premier League and bet the bank on loads of players and then watch as that goes pear-shaped 3. we suffer death by a thousand cuts until we eventually do (at best) a Wigan or (at worst) a Bury - or somewhere in between (like Bolton)

Afraid my bet is on number 3.

Iv'e always thought we'll end up more like Portsmouth under this ownership just not going any further down but with little chance of climbing back up.

[Rogerb]

We are losing £400,000 a week. The funds from summer transfer deals would last around 10 weeks. This money raising exercise has the hallmarks of getting us through to the January window. You can bank on more sales then.

[wilsdenrover]

28 minutes ago, Rogerb said:

According to the accounts the club was paid interest of £769000 for the outstanding monies in the training ground deal. Such an interest payment does not suggest only £6million was left to pay. The statement that £6 million was outstanding could be read two ways. One being that it was an initial £6 million payment that was late in being paid. The accounts don't appear to show the other 11 million having already been paid as at 31st march 2023.

It mentions interest is paid at Bank of India base rate + 4%.

In June ‘23 this base rate was 9.1%

£769,000 is 13.1% of £5.82 million.

I do hope my maths is right. 😁

 

Edited October 24, 2023 by wilsdenrover

[Paul Mellelieu]

Not a chance of promotion this season, so a lt to worry about.

[Rogerb]

9 minutes ago, wilsdenrover said:

It mentions interest is paid at Bank of India base rate + 4%.

In June ‘23 this base rate was 9.1%

£769,000 is 13.1% of £5.82 million.

I do hope my maths is right. 😁

 

The interest paid is up to march 23 for the year 

Bank of India was significantly higher than the UK between 7 and 8per cent . Which would sit with 12 per cent of 6 million

Edited October 24, 2023 by Rogerb
Add text

[wilsdenrover]

8 minutes ago, Rogerb said:

The interest paid is up to march 23 for the year 

Bank of India was significantly higher than the UK between 7 and 8per cent . Which would sit with 12 per cent of 6 million

I’ve now found this in the Venky London accounts (to June ‘22)

Note 26 seems to confirm the profit from disposal of fixed assets relates to the training ground.

It appears they received the monies rather than BRFC - I’m not sure how that helped us with FFP…

 

[Mashed Potatoes]

3 minutes ago, wilsdenrover said:

I’ve now found this in the Venky London accounts (to June ‘22)

Note 26 seems to confirm the profit from disposal of fixed assets relates to the training ground.

It appears they received the monies rather than BRFC - I’m not sure how that helped us with FFP…

 

Those accounts are the consolidated accounts of the VLL group which include the football club.

[wilsdenrover]

1 minute ago, Mashed Potatoes said:

Those accounts are the consolidated accounts of the VLL group which include the football club.

Thank you.

Does that mean the payment should be somewhere in BRFCs accounts as well?

[Mashed Potatoes]

4 minutes ago, wilsdenrover said:

Thank you.

Does that mean the payment should be somewhere in BRFCs accounts as well?

Yes

[wilsdenrover]

6 minutes ago, Mashed Potatoes said:

Yes

Thank you again - I think I’ve found it…

[Mashed Potatoes]

5 minutes ago, wilsdenrover said:

Thank you again - I think I’ve found it…

Actually, no that's not right. Profit on intangible assets is profits on sale of players - in this case mainly Adam Armstrong. The profit on the sale of the training ground was booked in the club's accounts in 2021 - the accruals principle in accounting means you don't have to receive the cash to book the profit provided that the auditors are satisfied that the money will be paid.

[wilsdenrover]

6 minutes ago, Mashed Potatoes said:

Actually, no that's not right. Profit on intangible assets is profits on sale of players - in this case mainly Adam Armstrong. The profit on the sale of the training ground was booked in the club's accounts in 2021 - the accruals principle in accounting means you don't have to receive the cash to book the profit provided that the auditors are satisfied that the money will be paid.

It says tangible rather than intangible though.

Note 29 confirms this relates to the training ground (I think!)

Thank you for the other info.

 

 

 

 

 

Edited October 24, 2023 by wilsdenrover

[Andy]

5 hours ago, Paul Mellelieu said:

Not a chance of promotion this season, so a lt to worry about.

As I write this, we are 3 points off 3rd...

[neophox]

Remember money from Raya will be coming in....

[neophox]

Is there anyone that would be serious to buy us? 

[Andy]

2 minutes ago, neophox said:

Remember money from Raya will be coming in....

I know it's only Football Manager, but it's surprisingly and consistently accurate.

Rovers get somewhere between £12m-£15m across two different clauses for Raya, from Brentford.

And in true Venky's fashion, I received about £2m of it to spend...

[Upside Down]

11 hours ago, wilsdenrover said:

Maybe Brighton was a tad optimistic - sadly we’ll never know…

We were in Brighton's position when they took over.

That was with zero backing as the taps were turned off.

Best case would be above that.

[47er]

1 hour ago, neophox said:

Is there anyone that would be serious to buy us? 

Please not this again. There's always someone. Look around at other clubs.