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Posted
2 hours ago, davulsukur said:

Yep, agreed.Β 

The manager has now admitted we are in a transitional phase, which we were not planning on being in.Β 

I think the indications from Brittain's, Tronstad's & Travis' camp have been, we are not signing new deals. So we're now looking to move all of them on and replace with cheaper, younger alternatives.Β 

Transitioning to L1Β 

  • Like 8
Posted
8 minutes ago, BankEnd Rover said:

Michal Rosiak released by Arsenal. Weren't we after loaning him last year?Β 

Yes his name popped up last year. Dm/Rb plenty of assists in u21s football. Arsenal didn’t offer him enough. Doubt we could either. Would be a decent move

Posted

To be honest - as a strategy, it isn't the worst (i.e. sell on the high, buy cheaper foreign imports and promote from academy), at some point we have to address our income to wages ratio. The only issue is the people in charge of the strategy considerably lessens it's chances of success.

  • Like 3
Posted
2 minutes ago, DavidMailsTightPerm said:

To be honest - as a strategy, it isn't the worst (i.e. sell on the high, buy cheaper foreign imports and promote from academy), at some point we have to address our income to wages ratio. The only issue is the people in charge of the strategy considerably lessens it's chances of success.

We've been saying that's the strategy for years, yet here we are letting talent walk for free constantly.

  • Like 6
Posted
7 minutes ago, DavidMailsTightPerm said:

To be honest - as a strategy, it isn't the worst (i.e. sell on the high, buy cheaper foreign imports and promote from academy), at some point we have to address our income to wages ratio. The only issue is the people in charge of the strategy considerably lessens it's chances of success.

I'd look at the Commercial side of the club if I was interested in addressing that income to wages ratio.

Embarrassing sponsors, embarrassing season ticket sales.Β 

  • Like 8
Posted

The Transition he speaks of is 100% planned and falls in line with the cost cutting that has been gradually going on for years it hasn't just sprung onto them because someone won't sign a contract.

That is why he is here, it's why Gestede has appeared from nowhere and why Waggot has been retired earlier than he was clinging on for.

When you want to transition the playing squad it doesn't mean the whole club has to follow but it is.

I'd just like to know which agency is involved this time as chief adviser and commission taker.

  • Like 9
Posted (edited)
31 minutes ago, DavidMailsTightPerm said:

To be honest - as a strategy, it isn't the worst (i.e. sell on the high, buy cheaper foreign imports and promote from academy), at some point we have to address our income to wages ratio. The only issue is the people in charge of the strategy considerably lessens it's chances of success.

brentford had the same strategy,it worked for them because they had intelligent,commited personel working for them

who do we have working for us a budget slashingΒ  ****,a naive fomer player who is an arselicker,3 scouts who don`t appear to have a budget and finally our esteemed owners,who have ruined the club and hav`nt got a clue or interest in the game,what could go wrong with the new strategy

Edited by simongarnerisgod
not finished
  • Like 3
Posted
38 minutes ago, Rover84 said:

Yes his name popped up last year. Dm/Rb plenty of assists in u21s football. Arsenal didn’t offer him enough. Doubt we could either. Would be a decent move

He'd also require compo if we signed him, no idea on the level it would take but I think we can forget it.

  • Like 2
Posted
9 minutes ago, roverblue said:

Be interesting to see the agent fees for these 3 cheap foreign signings, we have been here before...

I bet the agents have come out of this best.

  • Like 1
Posted
1 hour ago, Crimpshrine said:

Thanks, You usually have the answers.Β 

Is it possible that to declare the funds as shareholder loans they have to state in the accounts that they want to get the money back - otherwise it would be just making use of better tax terms ie false accounting - surely they would never do that !!!Β 

Tbh I don’t know but would make sense if you had to.

Hopefully someone with more knowledge of this than me can confirm.

Posted
59 minutes ago, alcd said:

Transitioning to L1Β 

Without millions in yearly regular outside money or multi million quid sales every 6 months our budget was already league 1.

As would many others in this league be without similar so we were already dancing on thin ice and the aim here always needs to be build up and aim to punch above our budget, it nearly always has been.

Now though its become shrink to size.

Posted
1 hour ago, harryhealless1928 said:

The only positive I can take is that you don`t want a scenario like at Man Ure where they have 5 players(Garnacho,Malacia,Rashford,Antony & Sancho)collectingΒ  approx.Β£1 million a week in wages(according to the BBC) and the manager doesn`t want them. Don`t train with the first team squad. There are done for him. Also weakens the club`s bargaining position to sell at a high price.

Β 

So the low cost ,low wages ,young player model is dependant on very good scouting and a lot of luck to work!Β  Very high risk and interesting. It won`t look so good and interesting if we are bottom of the League.

The idea: don`t get promoted(way too much financial outlay will then be required) but don`t get relegated either(not enough revenue coming in ).Β 

Due acknowledgement to Tomphil2 that looks like the strategy(if you can call it that)!

I dont really get your comments financially.

Even if you spent a reasonable amount in the Prem but that season would still be far better financially than treading water in the Championship.Β 

In League 1, the wage bill would drop considerably and that is by far our biggest expense so that would outweigh the reduction in income.Β 

The Championship is possibly the worst league to be in financially.

  • Like 1
Posted
1 hour ago, DavidMailsTightPerm said:

To be honest - as a strategy, it isn't the worst (i.e. sell on the high, buy cheaper foreign imports and promote from academy), at some point we have to address our income to wages ratio. The only issue is the people in charge of the strategy considerably lessens it's chances of success.

I agree.

Problem with the strategy is that it changes. We originally didn't sign Bath because we decided he was too old and we cocked up the paperwork. Then we sign a bunch of revived 45s to provide a solid foundation under Eustace.Β 

Now we are back to developing youngsters with the new manager. This is not a project or a strategy. This is the equivalent of trying to make the quarterly results look good for the shareholders. In this case, one shareholder.Β 

It does appear that JDT and now Ismael are youth focused. Bottom line if it doesn't work and we are looking like the drop, both he and the model will be for the chop.Β 

Ironically Brentford have had to adjust their model with Keith at the helm by signing Henderson to steady the ship.Β 

What goes around comes around Β 

Posted
18 minutes ago, roversfan99 said:

I dont really get your comments financially.

Even if you spent a reasonable amount in the Prem but that season would still be far better financially than treading water in the Championship.Β 

In League 1, the wage bill would drop considerably and that is by far our biggest expense so that would outweigh the reduction in income.Β 

The Championship is possibly the worst league to be in financially.

Now the Chicken Chokers have apparently figured that one out they’ll see to it that we’ll be out of it.Β 

Posted
4 hours ago, Crimpshrine said:

OK, fair enough in that respect - I know you have a better knowledge of all this than I do, but declaring shareholder loans rather than equity investment is really just for the tax advantages I would guess?. In reality I don't think the owners are expecting this money back or treating it as a debt. It's just money that was needed for running costs.. The club has no loan repayment plans as far as I know.

Directors A & B form Limited Company C and as a result of the company needing capital to commence trading and the directors having the capital in their own names, they lend the company Β£100k. This is then shown as a creditor in the accounts.

The company begins to trade and after 5 years, builds up some capital in the business and has Β£50k in the bank. This can then be used to repay the directors who can then receive the money free of any tax liability, as it is the return by the company of part of the loan, they made.

The accounts will then show the Β£100k reduced to Β£50k to be repaid at a later date when the company has the funds and the directors decide to repay it.Β 

Posted (edited)

A few posts have been made about how the parent company (Venkys London Limited) funds the football club (The Blackburn Rovers Football and Athletic Limited) and what is the nature of that funding.

Venkys London Limited is a subsidiary ofΒ Venkateshwara Hatcheries Pvt. Ltd which is the ultimate holding company and controlled by Desai and the Rao brothers.

To fund Rovers, Venkys London Limited issue shares with proceeds then loaned to the football club and shown in the football club's balance sheet under 'Creditors - amounts falling due within one year' (last accounts at 30 June 2024 showed an amount of Β£134 million up from Β£123.1 million the previous year).

Notes to the accounts advise these are interest free loansΒ and Venkys London Limited will not recall these loans within 12 months of the date the football club's financial statements are approved (signed off by CEO Waggott and the club's auditors on 12 December 2024).

Edited by Mercer
  • Like 2
Posted
43 minutes ago, Mercer said:

A few posts have been made about how the parent company (Venkys London Limited) funds the football club (The Blackburn Rovers Football and Athletic Limited) and what is the nature of that funding.

Venkys London Limited is a subsidiary ofΒ Venkateshwara Hatcheries Pvt. Ltd which is the ultimate holding company and controlled by Desai and the Rao brothers.

To fund Rovers, Venkys London Limited issue shares with proceeds then loaned to the football club and shown in the football club's balance sheet under 'Creditors - amounts falling due within one year' (last accounts at 30 June 2024 showed an amount of Β£134 million up from Β£123.1 million the previous year).

Notes to the accounts advise these are interest free loansΒ and Venkys London Limited will not recall these loans within 12 months of the date the football club's financial statements are approved (signed off by CEO Waggott and the club's auditors on 12 December 2024).

And presumably they could write these off by so much each year but don't ?

Having one company owing the parent 130 million must somewhere somehow have some tax advantages against the profit the parent makes ?

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