justfoxes Posted 20 June 2015 Posted 20 June 2015 As written in some papers with their usual end of season let's find something to write about well found this fascinating article for the top ten premier leagues and their debts! Leicester come in at no8 with a debt of £103m see for yourself what's your thoughts on this? http://talksport.com/football/revealed-top-10-premier-league-clubs-most-debt-150618149584?p=2
Aus Fox Posted 20 June 2015 Posted 20 June 2015 I'm pretty sure all the debt was written off, how old are the figures being used?
cc_star Posted 20 June 2015 Posted 20 June 2015 Poorly researched rubbish. The owners converted the debt they'd ran up since joining us, into equity We are £0.00 in debt, own the stadium... The whole kit & caboodle /close thread
davieG Posted 20 June 2015 Posted 20 June 2015 Already posted here http://www.foxestalk.co.uk/forums/topic/74166-the-do-they-mean-us-thread/?p=3450145
st albans fox Posted 20 June 2015 Posted 20 June 2015 Just another article to throw onto the ever growing garbage heap of journalistic crap. If the journo's attempted to write without preconceived ideas and agenda's, they would be sooooo much better.
Jace Posted 20 June 2015 Posted 20 June 2015 Arguably the top 10 most financially secure clubs in the Country right now
Brown Nose Posted 20 June 2015 Posted 20 June 2015 Poorly researched rubbish. The owners converted the debt they'd ran up since joining us, into equity We are £0.00 in debt, own the stadium... The whole kit & caboodle /close thread The article is drivel but there is one slight amendment to this summary. The club do not own the stadium, King Power bought and own it. I expect that they did it this way to offer some protection to their investment but it does mean that the club and the stadium are treated as separate concerns. Since the owners put £120m of equity into the club about 18 months ago, we have accumulated further debt (£21m in our last season in the Championship). It remains to be seen how the finances have been in the Premier League. Our income is obviously substantially up, but we have paid hugely increased wages/bonuses and transfer fees. I'd not be surprised to see us having made a small loss in our first season in the Premier League.
DANGEROUS TIGER Posted 20 June 2015 Posted 20 June 2015 The article is drivel but there is one slight amendment to this summary. The club do not own the stadium, King Power bought and own it. I expect that they did it this way to offer some protection to their investment but it does mean that the club and the stadium are treated as separate concerns. Since the owners put £120m of equity into the club about 18 months ago, we have accumulated further debt (£21m in our last season in the Championship). It remains to be seen how the finances have been in the Premier League. Our income is obviously substantially up, but we have paid hugely increased wages/bonuses and transfer fees. I'd not be surprised to see us having made a small loss in our first season in the Premier League. Good post.
yorkie1999 Posted 20 June 2015 Posted 20 June 2015 All i know is that if you not in debt, the taxman comes knocking.
Richmondfox Posted 20 June 2015 Posted 20 June 2015 The article is drivel but there is one slight amendment to this summary. The club do not own the stadium, King Power bought and own it. I expect that they did it this way to offer some protection to their investment but it does mean that the club and the stadium are treated as separate concerns. Since the owners put £120m of equity into the club about 18 months ago, we have accumulated further debt (£21m in our last season in the Championship). It remains to be seen how the finances have been in the Premier League. Our income is obviously substantially up, but we have paid hugely increased wages/bonuses and transfer fees. I'd not be surprised to see us having made a small loss in our first season in the Premier League. It's only debt if they have taken out a bank loan or whacked it on the credit card for the nectar points and not paid it off. The owner has a personal wealth of over 1.6 billion dollars. Them buying Kram and Leo is the same as me buying a new pair of trainers. As anyone who can use google (or should know if you're a fan) can find out the money was lent to the club from the owners then cleared as a commitment to the business and club. It was never real debt as it was money they spent and owed back to themselves. FFP is uncompetative for people who have money to spend, instead of just aiming at owners who just put it on the never never.
Sir Fynwy Posted 20 June 2015 Posted 20 June 2015 The article is drivel but there is one slight amendment to this summary. The club do not own the stadium, King Power bought and own it. I expect that they did it this way to offer some protection to their investment but it does mean that the club and the stadium are treated as separate concerns. Since the owners put £120m of equity into the club about 18 months ago, we have accumulated further debt (£21m in our last season in the Championship). It remains to be seen how the finances have been in the Premier League. Our income is obviously substantially up, but we have paid hugely increased wages/bonuses and transfer fees. I'd not be surprised to see us having made a small loss in our first season in the Premier League. The KP is a registered community asset and linked to the football club http://www.leicestermercury.co.uk/Leicester-City-s-King-Power-Stadium-officially/story-20045476-detail/story.html
LCCFox96 Posted 20 June 2015 Posted 20 June 2015 I doubt we are completely debt free, few football clubs are these days. But over £100mil of debt, I don't think so! We are down around £20-25mil when we came up, and with income and outputs increased at roughly the same rate, I'd be amazed if that figure has got worse during our first Premiership season. If I had to take an educated guess at our current financial status it would be around £10-15mil of debt, which in this day and age is fairly secure in footballing terms.
Richmondfox Posted 20 June 2015 Posted 20 June 2015 I think people could be getting debt and losses mixed up, especially in regards to FFP which makes things even more confusing. If I lose £100 cash on a roulette table then that is a loss, if I lose it from my overdraft/credit card then that is debt until I pay it off, then it's a loss.
Babylon Posted 20 June 2015 Posted 20 June 2015 I think people could be getting debt and losses mixed up, especially in regards to FFP which makes things even more confusing. If I lose £100 cash on a roulette table then that is a loss, if I lose it from my overdraft/credit card then that is debt until I pay it off, then it's a loss. The money was lent to the club, the club was paying interest on said loan... It was a debt.
Babylon Posted 20 June 2015 Posted 20 June 2015 The KP is a registered community asset and linked to the football club http://www.leicestermercury.co.uk/Leicester-City-s-King-Power-Stadium-officially/story-20045476-detail/story.html That was an application by the trust and nothing to do with the owners or the actual ownership of the stadium. Ground as far as I know was owned by one of their other companies.
Sir Fynwy Posted 20 June 2015 Posted 20 June 2015 That was an application by the trust and nothing to do with the owners or the actual ownership of the stadium. Ground as far as I know was owned by one of their other companies. The ownership may be with one of the KP companies but it can't be sold or detached from the club without first allowing the club/supporters to buy it, this protects the club from asset stripping
Richmondfox Posted 20 June 2015 Posted 20 June 2015 The money was lent to the club, the club was paying interest on said loan... It was a debt. Ok yes, but I was coming from the view that the debt isn't to an outside party like a bank, but to themselves. The interest seemed like a way for them to draw money but then they realised it isn't how football works outside of the prem. Either way the club is healthy due to having wealthy owners.
Bayfox Posted 21 June 2015 Posted 21 June 2015 It's only debt if they have taken out a bank loan or whacked it on the credit card for the nectar points and not paid it off. The owner has a personal wealth of over 1.6 billion dollars. Them buying Kram and Leo is the same as me buying a new pair of trainers. As anyone who can use google (or should know if you're a fan) can find out the money was lent to the club from the owners then cleared as a commitment to the business and club. It was never real debt as it was money they spent and owed back to themselves. FFP is uncompetative for people who have money to spend, instead of just aiming at owners who just put it on the never never. If only business accounting was as simple as that. If you buy some trainers. You buy it with money you have or borrow it Lcfc cannot just spend all kps money. Ffp has put paid to that. If we are spending more than we earn. We are in debt as a business.
Recommended Posts
Archived
This topic is now archived and is closed to further replies.