I remember a figure of £2m+ but I could be wrong. Also think it was 5 years after we came out of admin but again....
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The "bubble payment "
- Thread starter Ade the green
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D
Damon.Lenszner
Guest
We were given 5 years to clear the football creditor debt which was around £5million. 50% was to be paid in instalmentsover the 5 years with the remaining 50% 'bubble' payable in October 2016. This may be less than £2.5million as 50% of any 'unbudgetted income' - cup run or player sales is used to reduce the debt.
A
adamson1alan
Guest
It's a very controversial idea, but one line of thinking is that liquidation may have been a better option.
Yes- the club would need to re-form from scratch. BUT it would have been entirely debt free and would probably still attract good sized gates (at least 3,000 in any league I reckon). Home Park can't be used for anything else, so chances are the new club would have played there. Its also possible that the Council would have bought the ground If the newly formed club started at the same level as Chester did, it would take about 3 promotions to reach the conference which ought to be possible given the size of the club in very small amateur leagues. Then it would be a case of escaping the Conference. Not easy, but there would be no debts and probably very healthy gates given the impetus of consecutive promotion seasons. The club, entering league 2, would then be in a powerful financial position to get promoted and start the proper revival. The £5m of football debts could be used for the benefit of the club.
Controversial I know. Not saying its what I wanted to happen. But with a lot of luck and things going the club's way, it might have worked out better than people think.
I'm going to get pelters for posting this !
Yes- the club would need to re-form from scratch. BUT it would have been entirely debt free and would probably still attract good sized gates (at least 3,000 in any league I reckon). Home Park can't be used for anything else, so chances are the new club would have played there. Its also possible that the Council would have bought the ground If the newly formed club started at the same level as Chester did, it would take about 3 promotions to reach the conference which ought to be possible given the size of the club in very small amateur leagues. Then it would be a case of escaping the Conference. Not easy, but there would be no debts and probably very healthy gates given the impetus of consecutive promotion seasons. The club, entering league 2, would then be in a powerful financial position to get promoted and start the proper revival. The £5m of football debts could be used for the benefit of the club.
Controversial I know. Not saying its what I wanted to happen. But with a lot of luck and things going the club's way, it might have worked out better than people think.
I'm going to get pelters for posting this !
IJN":2uthiyl0 said:
In fairness to Rob, 'bubble' is motor trade slang for the balloon payment on an HP deal.
gaspargomez":ed05o5xu said:
It's doubtful that a new club would be able to staff a ground as large as HP, not to mention get all the safety certificates, play utility bills etc.. I imagine if we'd liquidated, HP would still be padlocked.
Meant to put in two quotes:"
It's a very controversial idea, but one line of thinking is that liquidation may have been a better option.
Yes- the club would need to re-form from scratch. BUT it would have been entirely debt free and would probably still attract good sized gates (at least 3,000 in any league I reckon). Home Park can't be used for anything else, so chances are the new club would have played there. Its also possible that the Council would have bought the ground If the newly formed club started at the same level as Chester did, it would take about 3 promotions to reach the conference which ought to be possible given the size of the club in very small amateur leagues. Then it would be a case of escaping the Conference. Not easy, but there would be no debts and probably very healthy gates given the impetus of consecutive promotion seasons. The club, entering league 2, would then be in a powerful financial position to get promoted and start the proper revival. The £5m of football debts could be used for the benefit of the club.
Controversial I know. Not saying its what I wanted to happen. But with a lot of luck and things going the club's way, it might have worked out better than people think.
I'm going to get pelters for posting this !
It's doubtful that a new club would be able to staff a ground as large as HP, not to mention get all the safety certificates, play utility bills etc.. I imagine if we'd liquidated, HP would still be padlocked.
We will never know but with no debts I am sure local investment/fans buy out we would have been able to start the club again, what else can Home Park be used for????. In hindsight it may have been the best option. We certainly wouldn't have needed to go cap in hand to a former director!!!!!!
I did read with interest previous comments on how we would die if relegated and our gates would have plummeted. The gates would have initially reduced a bit probably but I am sure ours would have been way above average for the league we would have been in - a competitive budget!!! and with a winning successful side similar to this years average. What else would we do on a Saturday - go and watch Exsh1tter!!!! Glasgow Rangers are rising again largely due too the size of their crowds and I know we could have done the same.
The support we've had through the turnstiles over the last three seasons, considering the product on offer has been remarkable - much more to support the club and help it survive than enjoy the football dished up - and this is the point really. Us fans would never have let this club die. Small beginnings but we would have risen from the flames of despair.
I remember attending a Saturday game against Newport in Autumn 1985, just over a year after the FA cup semi and just over 3000 were there. We still have 12500 home fans in against Exeter this season and last. If we had a winning team in whatever league the fans would have turned up - more so I believe if we had gone through and had to start again as a fans club - just see Pompeys gates the season and in suitable numbers to ensure the survival of the club and top pay the bills.
I think we would have settled for this position at the start of the season after two years scraping out of the relegation places, but the performances when it mattered most at the business end of this season when we had a genuine chance of the playoffs have been shocking, even at Home Park, almost like the manager has lost the dressing room!!!!!! Loosing 4 out of five to give up the lucrative playoffs and a chance of Wembley - unbelievable.
So I am with you 100% on this one gaspargomez - we could have just been promoted to the conference now!!!!!!
I do fear if there are no tenants signed up for the cinemas, shops etc, come October 2016, we may well find out how this option will be.
However, I am sure our manager will use his competitive budget, supplied by our extremely successful business minded chairman who hasn't really had a number of business go through this year, to build a promotion side next season and all this will be irrelevant.
NOT!!!!!!
Really hope I'm proved wrong but something is beginning to smell as fishy as Hull Citys old ground.
It's a very controversial idea, but one line of thinking is that liquidation may have been a better option.
Yes- the club would need to re-form from scratch. BUT it would have been entirely debt free and would probably still attract good sized gates (at least 3,000 in any league I reckon). Home Park can't be used for anything else, so chances are the new club would have played there. Its also possible that the Council would have bought the ground If the newly formed club started at the same level as Chester did, it would take about 3 promotions to reach the conference which ought to be possible given the size of the club in very small amateur leagues. Then it would be a case of escaping the Conference. Not easy, but there would be no debts and probably very healthy gates given the impetus of consecutive promotion seasons. The club, entering league 2, would then be in a powerful financial position to get promoted and start the proper revival. The £5m of football debts could be used for the benefit of the club.
Controversial I know. Not saying its what I wanted to happen. But with a lot of luck and things going the club's way, it might have worked out better than people think.
I'm going to get pelters for posting this !
It's doubtful that a new club would be able to staff a ground as large as HP, not to mention get all the safety certificates, play utility bills etc.. I imagine if we'd liquidated, HP would still be padlocked.
We will never know but with no debts I am sure local investment/fans buy out we would have been able to start the club again, what else can Home Park be used for????. In hindsight it may have been the best option. We certainly wouldn't have needed to go cap in hand to a former director!!!!!!
I did read with interest previous comments on how we would die if relegated and our gates would have plummeted. The gates would have initially reduced a bit probably but I am sure ours would have been way above average for the league we would have been in - a competitive budget!!! and with a winning successful side similar to this years average. What else would we do on a Saturday - go and watch Exsh1tter!!!! Glasgow Rangers are rising again largely due too the size of their crowds and I know we could have done the same.
The support we've had through the turnstiles over the last three seasons, considering the product on offer has been remarkable - much more to support the club and help it survive than enjoy the football dished up - and this is the point really. Us fans would never have let this club die. Small beginnings but we would have risen from the flames of despair.
I remember attending a Saturday game against Newport in Autumn 1985, just over a year after the FA cup semi and just over 3000 were there. We still have 12500 home fans in against Exeter this season and last. If we had a winning team in whatever league the fans would have turned up - more so I believe if we had gone through and had to start again as a fans club - just see Pompeys gates the season and in suitable numbers to ensure the survival of the club and top pay the bills.
I think we would have settled for this position at the start of the season after two years scraping out of the relegation places, but the performances when it mattered most at the business end of this season when we had a genuine chance of the playoffs have been shocking, even at Home Park, almost like the manager has lost the dressing room!!!!!! Loosing 4 out of five to give up the lucrative playoffs and a chance of Wembley - unbelievable.
So I am with you 100% on this one gaspargomez - we could have just been promoted to the conference now!!!!!!
I do fear if there are no tenants signed up for the cinemas, shops etc, come October 2016, we may well find out how this option will be.
However, I am sure our manager will use his competitive budget, supplied by our extremely successful business minded chairman who hasn't really had a number of business go through this year, to build a promotion side next season and all this will be irrelevant.
NOT!!!!!!
Really hope I'm proved wrong but something is beginning to smell as fishy as Hull Citys old ground.
The staffing levels would have had to have been in line with the requirements of a non league club and PCC would have had to set the rent at an appropriate level and, maybe, given some form of business rate relief for a few years. It would have been possible and we would now, most likely, have been a successful, debt fee conference team. I agree with gaspargomez. I think our gates would have stood up at any level if we were being successful and progressing. The balloon payment is a worry and the annual £200k repayment comes straight out of the playing budget and, therefore, impacts directly on the performance of the team. However, we all have 20/20 hindsight and we were all delighted when the club was rescued.crownhillpilgrim":t21fvj0x said:
Where will the money for the bubble/balloon payment actually come from?
Also, am I right in remembering that the accelerated staff payments from the GTs are actually a loan from the GTs to the club and at some point the club will have to find that money also to pay back the loan?
Also, am I right in remembering that the accelerated staff payments from the GTs are actually a loan from the GTs to the club and at some point the club will have to find that money also to pay back the loan?
D
Damon.Lenszner
Guest
The Doctor":9stoxuuz said:
Yes Doc, the staff payments are a loan from the GTs to the Club. They were treated as such to negate any difficulties with PAYE/NI payments. The plan was for the GTs to be paid back the amounts that the staff would have received under the terms of the repayment plan - ie over the five year period. The GTs would then use that repaid loan money to fund other club related and/or community projects.
When the original Football Creditor payment schedule was announced we were told that the additional £1 million pa profit from the new stand would pay for the balloon/bubble - but that would have needed the new stand to be fully operational by October 2014.
If the Stand is operational by October 2015 as is now the plan then we will still be £1 million short. No detail has been made available as to how that shortfall will be made up.