Wendies in trouble again

[Saxondale]

http://news.bbc.co.uk/sport1/hi/football/teams/s/sheff_wed/9172914.stm

[Rich Pullen]

They can't go on like this for much longer though, shirley?

[Saxondale]

Um, they can and dont call me Shirley?

[Rich Pullen]

Um, they can and dont call me Shirley?

Beautifully replied.

[tans]

Im quite looking forward to the away game in april

[jonny72]

Same old routine that a number of clubs are going through at the moment. Winding up order issued for unpaid taxes with the amount on the order being paid shortly before the court hearing. In the meantime, they haven't paid any other tax bills as they become due which at the same time are going through the system resulting in another winding up order being issued not long after.

Clubs are using HMRC as an overdraft facility, one of the many things the football authorities need to clamp down on. 

[flammableBen]

Can I have a pointed easy version of Wednesday's troubles? My brother in law is a fan, but he's been really good about my nephew being a swindon fan, to the point that he came along to the playoff final supporting swindon himself. He says that Charlie (my nephew) should support where he grows up. Which I agree with because it's swindon.

On the reverse I'ld like to know how fucked they are so I can wind him up/

[pauld]

Can I have a pointed easy version of Wednesday's troubles?

They keep not paying their tax/VAT. So HMRC issue a winding-up order. So they scrabble around and beg/borrow money to pay the winding-up order on the tax that's overdue from 6 months ago and pay it off at the last minute. Unfortunately one of the ways they do that is to not pay the tax that's currently due. So HMRC issue another winding up order. And so on.

They're basically betting everything on "investors" who'll come forward and put millions in as the current board manifestly can't sustain the club and have no plan other than "Someone else should give us a pot of money to piss up the wall like we've been doing for the last 10 years". So they keep going out to find investors who variously turn out to largely be a figment of the board's imagination, not actually have the money needed or not be to the current board's liking (because they want to have control of the club once they've put their money in, rather than just handing it over like good chaps).

So it's now got to the stage where they have to cut a deal with someone while simultaneously fighting off the HMRC vicious circle. The question is can they keep all the balls in the air long enough to find someone to do a deal with, or does it all come crashing down and they have to go into admin.

[Phil_S]

They keep not paying their tax/VAT. So HMRC issue a winding-up order. So they scrabble around and beg/borrow money to pay the winding-up order on the tax that's overdue from 6 months ago and pay it off at the last minute. Unfortunately one of the ways they do that is to not pay the tax that's currently due. So HMRC issue another winding up order. And so on.

They're basically betting everything on "investors" who'll come forward and put millions in as the current board manifestly can't sustain the club and have no plan other than "Someone else should give us a pot of money to piss up the wall like we've been doing for the last 10 years". So they keep going out to find investors who variously turn out to largely be a figment of the board's imagination, not actually have the money needed or not be to the current board's liking (because they want to have control of the club once they've put their money in, rather than just handing it over like good chaps).

So it's now got to the stage where they have to cut a deal with someone while simultaneously fighting off the HMRC vicious circle. The question is can they keep all the balls in the air long enough to find someone to do a deal with, or does it all come crashing down and they have to go into admin.

Hmm, sounds a bit like the Diamandis school of how to run a business

[Simon Pieman]

They should try wonga.com

[nevillew]

That 10 point (potential) deduction could be very helpful to us

[Summerof69]

Hmm, sounds a bit like the Diamandis school of how to run a business

Howard Wilkinson's been going to the Baghdad Bob school on how to sell a business :

"How close are we to investment? We're that close. But it's like those miners in Chile. They're told they're going to get out in November, but they won't believe that until they climb out and see the sun in the sky.

http://news.bbc.co.uk/sport1/hi/football/teams/s/sheff_wed/9037232.stm

[pauld]

Not sure if this makes it better or worse

http://news.bbc.co.uk/sport1/hi/football/teams/l/leicester_city/9183098.stm

What they really need is a Mandaric-Ridsdale-Gaydamak dream team

[Batch]

Administration a "distinct possibility"

http://news.bbc.co.uk/sport1/hi/football/teams/s/sheff_wed/9187930.stm

[pauld]

Administration a "distinct possibility"

http://news.bbc.co.uk/sport1/hi/football/teams/s/sheff_wed/9187930.stm

And from that article:

Deputy prime minister Nick Clegg, a Sheffield MP has offered his help to keep the club afloat, and is understood to be considering talks with the Co-operative bank as the High Court hearing approaches

Hope they're not relying on any of his promises, their board's "reassurances" are probably worth more.