STFC Transfer Rumours

[RobertT]

Power has loaned over two million to the club, so take away the sell on to Spurs for Luongo and consider he also needs to account for another two million plus to hold for a debenture against the club for Black and there won't be a penny left for investment.

What he has done, allegedly, is reduce the costs of the business so he shouldn't need to loan money for day to day running now.  Therefore any loans he now gives should be to buy players and it is down to him if he fancies it based on getting a return in the future as there is nothing to stop himself taking dividends or claiming interest.  Like Reg, the proof now will be if we sell anyone else this season for good money (now or in 10 months) and if that then gets invested in players (while still keeping wages within budget of course).

So far his cash has funded Byrne, Luongo, Smith, Barker, Obika and a small amount on Gladwin I think, on top of his loans for operational spend.  He has a track record to back him up right now, just depends if he sees this summer as job done or the end of the start.  The new directors may hint at the latter.

[Summerof69]

not so sure about Branco 

Might be able to flog Branco to the WWF...especially after his performance againt Flint at Trashton Gate last season.

[Skinny Pete]

Not at all. Just wondering what happens when Power's golden touch doesn't work and we have no saleable asset to keep the club going.

With the best will in the world we can't keep finding gems year  after year.

Even harder when 5 out of the 11 players will never be ours to sell.

[jayohaitchenn]

So how is the club ever going to become sustainable if we never build up a reserve. Sure, at the moment, we can stumble through a season OK financially, but as you say, when the well of saleable assets runs dry we are, yet again, up shit creek.

The 'fact' that we aren't building up a reserve remains to be seen. We just don't know what Power is going to do with any extra cash we turn over, no need to assume the worst.

I accept these posts are musings, not having a go.

[RobertT]

Well that is the point, we shouldn't need to now.  This past year may be one of about 3 years where we could have turned a profit in the last 20 plus years.  If we do that we don't need to rely on selling players every year, but the model could bring in a decent player every year or two as a bonus.  The next focus is on increasing revenue, which may be where the other directors come in.  That or selling up.

[RobertT]

This is Fittons model on drugs.

[Skinny Pete]

Surely being a Town fan makes it nigh on impossible not to fear the worst.

We've had a succession of ne'er do wells and downright crooks.

It's hard to trust

[jayohaitchenn]

Let it go, Audrey. Let it go. Shhhhhhhhhhhhh, just let it go. Uncle Lee is here now, it'll be our little secret.

[ahounsell]

I suppose what most fans would like to know is if Power lends the club £400,000 to buy Luongo who us then sold for, say, £2.5m, who retains the profit from any deal - Power or the club's bank balance.

If the club is never going to profit from these deals then we'd better be prepared for lower league football for the foreseeable.

The question is too simplistic. A more realistic scenario is :-

Power puts up £400k to buy Luongo and also loans £2 million to cover the clubs losses over the next 2 years

2 years later Luongo is sold for £2.5m, £1m of which goes to Spurs under the sell-on clause.

So while there is a notional profit on Luongo, overall there is no profit to retain, for Power or the club.

... and "lower league football for the foreseeable" is a certainty unless and until there is a ground redevelopment to make the club competitive financially with the type of clubs that inhabit the Championship

[Batch]

Let it go, Audrey. Let it go. Shhhhhhhhhhhhh, just let it go. Uncle Lee is here now, it'll be our little secret.

you make it sound like the next question will be "show me on the doll where he touched you"

[jayohaitchenn]

[Frigby Daser]

A polite FO I could not be arsed to type Premier League

Ha. Ok... Let's just call it the PL.

[Frigby Daser]

This whole debate would be answered if we had some idea of what Power's model is, why he is interested in running the club, and what the ultimate objective is.

I suspect it is trying to get to the Championship on a shoestring, by repeating last year but not bottling the final hurdle, then selling up at a profit, whilst taking a slice of any transfer activity in the meantime, both in terms of a % of profit of transfers that he funded, and Standing's agency fees. This is not based on any evidence... Just a hunch....after all, we know Lee won't do anything unless it involves profit...

[Flashheart]

back to what this thread is really about:

BBC Wiltshire Sport ‏@BBCWiltsSport  23s23 seconds ago
FOOTBALL : @BBCWiltshire understands a Swindon Town bid for striker Tom Bradshaw has been turned down by Walsall #stfc

[Skinny Pete]

Not surprised - they're after £1m for him.

Bet Storey was part of the offer