All debt repaid before investment...?

[dublin 10 blade]

Have you ever employed a tax 'avoidance' advisor?

No but I could point you to a gentleman of this parish who had a humble abode in switzerland , but now ply's his trade in the land of the rising sun , , but looking at your address you've already met .

 

[blade too long]

We never really had debt , just a piece of paper with IOU £30M in Kevins pocket
if we start now from a zero balance things are looking rosey

 

[blade too long]

catchphrase

 

[Hartley Hare]

I suspect McCabe has converted his loans to shares (equity). This way he has capitalised all the interest he is owed, and left the door open to one day getting his money back through a sale of the shares or buy back by company.

This could be part of an agreement if the club return to the Premiership, which makes sense, as the only prospect of the club having sufficient funds to repay his loans is a return to the top league, well that or Murphy turning into the new Gareth Bale which seems quite unlikely.

I am interested to see how the new money is introduced, loans with interest to be added (Bad), or new shares (Better). We need some creative thinking as well to boost income to comply with the fair play regulations.

HH

 

[blade too long]

who cares , it means we are sheffields only debt free club

 

[UnitedBlade]

I am interested to see how the new money is introduced, loans with interest to be added (Bad), or new shares (Better). We need some creative thinking as well to boost income to comply with the fair play regulations.

HH

Loans are expressly not allowed under SCMP to contribute to wages ie we wouldn't be able to go beyond 60% of our turnover. A loan would only be useful if it was to underpin other losses for the club or to improve infrastructure or Academy.

Whereas, extra sponsorship and injection of equity allows us to push beyond the 60% of "normal" turnover. In effect it allows us to boost the turnover figure that the 60% is calculated against.

Given they have said his money will go towards the first team, I can't see it being loans.

 

[judge]

I suspect McCabe has converted his loans to shares (equity). This way he has capitalised all the interest he is owed, and left the door open to one day getting his money back through a sale of the shares or buy back by company.

This could be part of an agreement if the club return to the Premiership, which makes sense, as the only prospect of the club having sufficient funds to repay his loans is a return to the top league, well that or Murphy turning into the new Gareth Bale which seems quite unlikely.

I am interested to see how the new money is introduced, loans with interest to be added (Bad), or new shares (Better). We need some creative thinking as well to boost income to comply with the fair play regulations.

HH

its only a pound he might put it in a card

 

[riselikeasalmon]

Aren't the debts just in the holding company/companies (along with the freehold), whereas the new investment is in the football club company - was that not the point of the shenanigans with moving the freehold?

 

[KenMcnaughtsNuts]

No way on this planet McCabe has written off his money. Not that i think he should. he'll be wanting to get it back somehow. Apart from that we didnt really have debts, so i cant see that much has changed.