Re: Latest financial situation - all posts here : Tue Jun 26, 2012 1:40 pm  

pie.warrior wrote:

debt free means HMRC don't get paid............that will then risk the wrath of the RFL as they even have it in their operational rules that non-payment could place the club under "special measures".....ouch......

Wrong way round pal.

The HMRC were very annoyed with the RFL when they allowed Crusaders back in and wrote off the money that was owed to HMRC.

This then iirc had a knock on effect with Wakey as HMRC weren't going to let the RFL screw them again so played hardball with Wakey. (and now pretty much all sports clubs)

And we've been in special measures for about 10 weeks now, not so onerous really.... all things considered.

Re: Latest financial situation - all posts here : Tue Jun 26, 2012 1:40 pm  

pie.warrior wrote:

debt free means HMRC don't get paid............that will then risk the wrath of the RFL as they even have it in their operational rules that non-payment could place the club under "special measures".....ouch......

We've been in special measures since Easter anyway. That would end in the event of a newco which would remove hmrc debt.

Re: Latest financial situation - all posts here : Tue Jun 26, 2012 1:41 pm  

Early Bath wrote:

Cannot understand the worries here. The buyers will want the club debt free which is what they will get. Fly in the ointment may well be the RFL and points deduction or even worse demotion but I cant see that myself. Good luck anyway and I am sure there will be a future.

clearly you havent followed whats happend at glasgow rangers?

bradfords biggest problem is that the majority of the money owed is tax,the tax man has made it clear that they arnt likely to accept a few pence in the pound anymore to clear the debts has was the case with rangers.they have made there stance and i believe it will be the case again.this may or may not be enough to put off any potetial buyers i also believe its on a real knife edge which way it falls.

liquidation would almost certainly see bradford having to re-form in the championship.has always its the supporters that suffer and they are always the last to know,the directors of bradford have clearly mis-mannaged the club and even worse taken 500k in cash knowing full well it was only buying time.

Re: Latest financial situation - all posts here : Tue Jun 26, 2012 1:46 pm  

braytontiger wrote:

the directors of bradford have clearly mis-mannaged the club and even worse taken 500k in cash knowing full well it was only buying time.

The directors have mis-managed the club, no arguments from me, world champions in 2006 to bust in 2012...impressive trajectory.

But, a some of us pledging and paying knew full well it was only buying time for the club to bridge the rest of the gap. The fact that the gap kept changing in size is somewhat irrelvant (if annoying non the less)to the idea of paying to buy the club time.

Re: Latest financial situation - all posts here : Tue Jun 26, 2012 1:52 pm  

pie.warrior wrote:

debt free means HMRC don't get paid............that will then risk the wrath of the RFL as they even have it in their operational rules that non-payment could place the club under "special measures".....ouch......

The "wrath" of the RFL is a misnomer given their very member clubs justify its existence.

Removing historic debt by way of administration will surely assist any movement forward in presenting a relatively clearer platform for newco/investors. I for one, would categorically never invest in a company bleeding money from every pore and an astronomical wage bill of nigh on 300k, almost the highest in the sport. Irrespective of the morality issue behind it (if indeed their is one, this is business not the Red Cross) negating HMRC debts along with modifying the staffing roster seems a pragmatic way forward to me.

Their will be those who verbalise strongly to the contrary, but this is clearly no definitive science but instead a highly personal (and rightly given the sensitivity, social media or any media is not the platform right now I would suggest for any clarification; not withstanding Mr Guilfoyle has made the position clear).

As a poster mentioned a few pages back, this situation wouldn't be as it is if the real debt figure (both historic and wage haemorrhage levels) had been made transparent from the outset. Fire fighting in this situation is potentially easy from the outside looking in because there is no personal level of risk or core facts to work on, merely "I've done this or that before"; it holds little real value.

I have real faith there will be a solution to this that works for everybody from the newco/investors to more critically, the fans, players and sponsors. I would also like to think the RFL will be extremely supportive of a club that has done more in 16 years for Super League than most in terms of lending credibility and positive headlines to the nations media and broadcast partners.

As for Valley Parade - I would happilly play there or even Bierley Church yard as long as the club remains alive, functional and as a credible entitiy in Super League. The semantics of where we play at this stage are the least of our worries.

Re: Latest financial situation - all posts here : Tue Jun 26, 2012 2:00 pm  

braytontiger wrote:

clearly you havent followed whats happend at glasgow rangers?

bradfords biggest problem is that the majority of the money owed is tax,the tax man has made it clear that they arnt likely to accept a few pence in the pound anymore to clear the debts has was the case with rangers.they have made there stance and i believe it will be the case again.this may or may not be enough to put off any potetial buyers i also believe its on a real knife edge which way it falls.

liquidation would almost certainly see bradford having to re-form in the championship.has always its the supporters that suffer and they are always the last to know,the directors of bradford have clearly mis-mannaged the club and even worse taken 500k in cash knowing full well it was only buying time.

A new club would not be able to join the Championship, it would have to apply to join Championship 1 and then gain promotion to the Championship via the usual route.

Re: Latest financial situation - all posts here : Tue Jun 26, 2012 2:04 pm  

So, what are the chances of the RFL ground-sale deal being set aside by a liquidator?

Re: Latest financial situation - all posts here : Tue Jun 26, 2012 2:06 pm  

I think i just wanna cry

Re: Latest financial situation - all posts here : Tue Jun 26, 2012 2:08 pm  

But what would the situation in Championship 1 be next season with new clubs coming in?
Is there room in for another team? Presumably 1 team from Champsionship would need to go into SL if that is the case. But even if you got promoted from 1 to Champ you would not be able to apply for a SL licence in the next round due to administration so it'd be a long wait in Champs but with some great local derbies.
What actually needs to happen is a wholesale restructure.

Re: Latest financial situation - all posts here : Tue Jun 26, 2012 2:13 pm  

Coulby on Radio Leeds confirmed that the club borrowed £ 110,00.00 from RFL in March to pay wages etc, so I would think that the new owner will have come to some agreement to take that debt on. If its anything like Glover had at Trinity, the new buyer buys the club for a nominal sum say £ 10,000.00 BUT AGREES TO REPAY, rfl, kit suppliers, HMRC, insurance etc etc in other words the partners they need in order to run the new business. Do not think you have much to worry about except there is no way the new company will want the same wage bill as the old company was running. When you look at the size of your squad,the reported full salary cap, the size of your backroom staff, the money thrown at your juniors etc etc and all on the strength of 7000 season ticket sold then the new owner will have to cut overheads.