Is there a club in England thats not in debt?

[USAUnited33]

I was reading online a few weeks ago all the clubs that were having financial problems. Now I know football clubs are always in debt one way or another but is there any club in England that is not in debt?

[Harry Boulton]

Not sure there are many top level football clubs not in debt in some way or another. Finances are levered heavily in most sports.........

[ranny fash]

From what I've heard, West Brom are OK. I have read that Hull are in good shape financially as well, although they will need to spend to remain competitive on the pitch next season.

Forest were the most financially sound Championship club last season, although we are funded by a wealthy fan/owner. I don't think he expects to get the money back, realistically.

[Neeto]

I know Reading are not in debt. I believe Madejski and other people from Reading have come out saying we aren't in the red. Although he is trying to sell the club, so he could just be blowing smoke to lure in potential buyers.

[fifa_bobbyjoe]

An excellent question that deserves a considered response. Debt in itself is not such a bad thing if you know how to manage it well. Debt is used to leverage the capital of the company to produce a greater rate of return whilst placing some of the risk in the clubs own capital in the hands of creditors. So far so good.

Then comes the short sighted economc policies of the governments like those of Bush, Blair and Howard encouraging people to spend like there is no tomorrow. Because all of the oil in Iraq (the world's largest resources outside Saudia) is theirs now to do what they wish to do with it. It will underwrite the excesses. They will remain in government.

Wrong. You can fool some of the people some of the time. You can't fool all of the people all of the time. Soccer is a business. From a working class pastime and an enjoyable one at that, Georgie Best and the Charlton's made the game sexy and it got caught up with the hype of Beatlemania. It became another industry tied to tabloid culture and the leeches that go with it.

The Banks that lent, lent because of the collateral that came with the speculative nature of soccer. It was not the players as assets that they recklessley lent clubs on. It was for the valuable real estate and cash flow at the gates that they were allowed to secure at bargain basement prices because the conditions of the loans have always been predatory and prohibitive. Managers signed on. Why? because of the perks they could earn from grandioise expansion and the terms that were tied to the lending and the club internal policies that rewarded them for doing so.

The Chickens have now come home to roost. When one examines the background of club owners one gets to realise that the umpire, the state regulators, had been asleep at the wheel for all this while.

A bunch of runaway robber barons from Russia and Thailand pumping questionable resources into clubs and no one asks, are these fit and proper people by definition under the act?

The result is that you have clubs asking questions as whether or not some Arab sheik will now come to the rescue. The Arabs got rich not by buying useless debt but by buying it for cheap at your expense.

No one wants a public inquiry to determine what went wrong. A quick sell off at bargain basement prices is what they want so that the loot will never be traced. A new dawn. A new leaf turned over. There needs to be a new attitude in British soccer. It can be redeemed but the tough decisions need to be looked at if not taken.

Each of the teams in European and British soccer need to consider the performance and the capabilities of each payer they spend squillions recruiting to their sides at club expense. A similar exercise needs to be considered for management and their boards.

Once in and paid for, life for many in soccer becomes too comfortable and secure and complacency sets in. Renegotiate contracts mid stream and make a player a performer not a pop star. Their remuneration has to match their performance and not their image or the 'flash in the pan' many become.

There are no guarantees in life and certainly none in soccer. Liverpool, Everton and others languishing in financial purgatory wondering if a white knight will come along and bail them out of their financial mess are admitting to their lack of managerial merit or ability. These are large financial entities which require responsible imaginative financial and legal solutions and not poker mentality jackpot dreams.

There is a way out, and ‘jumping from the frying pan into the fire is not it. Debt has to be re negotiated, sold and the entire structure of the club and its finances re structured. Not by the Big 5 accounting or law firms either. There is too much conflicting interests and they were in themselves party to the structures that are now responsible for the current financial crisis.

No American or Arab or anyone else regardless of race or religion is going to get things right for these clubs. They need to seek out, listen and formulate workable solutions. It can be done. It has been done and it will not be done unless these jokers get their act together. Much of the problem lies with them wanting quick fixes so as not to expose the obscene perks they gave themselves and the benefits from player transfers not always or altogether paid to the club or its responsible entity.

If they want to they can. There are those who will seek and will find. The nexus with big accounting and legal firms and corporate failures is the stuff legends (nightmares) are made of. There needs to be an inquiry as these are public funds and the type of ‘fit and proper’ characters who are allowed into the boards and ownership of the game needs to be spotlighted in a public inquiry or Royal Commission.

Fifa_bobby joe

[THFC6061]

Here's a table I compiled showing the debt of the Premier League Clubs as of 2007-08 (last available published figures):


http://img.photobucket.com/albums/v239/jyarden/AAA%20April%202009/1-2091.jpg

http://img.photobucket.com/albums/v239/jyarden/AAA%20April%202009/1-916.jpg


http://img.photobucket.com/albums/v239/jyarden/AAA%20April%202009/1-2284.jpg


http://www.myfootballfacts.com/index.html

[Harry Boulton]

I've read in various places that Liverpool now have a £350m loan levered against the club which is due for repaymeny before the end of the month?

Whether or not those rumours are true or not I'm not sure.

With regards toi Chelsea, we know that these figures don't portray a realistic figure of their financial sitatuation. Abramovic bank-rolls them and those "debts" are actually owed to him. He's unlikely to be calling them in. Ever.

[robii]

Even Man Citeh is in debt ? Doesn't the sheik own the club ?
Isnt there transfer budget around 1 billion ?
:)

[mike hunt64]

My club Birmingham City are in pretty good shape, run by the owners as a business.

[psc2009]

QPR isn't in debt. They don't spend a dime.