BushBlade
Bullshit, Lies And Deceit Every Season
- Joined
- Dec 3, 2013
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- 27,988
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If I was a multi billionaire investor or had access to those types, I wouldn't bother with a championship club unless it was in admin. It's too big a risk. Newcastle are a reasonably big club in England with a solid fan base but little international profile. And PCP have only offered £250m for them, plus contingency payments based on then staying in the PL.
So if they're worth £250m, what would a club our size be worth? Maybe £200m if in the PL? Maybe a bit less. Wolves apparently have spent £60m plus what they paid for the club. According to reports £45m. So, if they go up and are able to shift the club on immediately they're going to make a decent profit. That's if they can sell before the next season starts and someone else picks up the tab for the new signings they'll need to stay up. That won't be a massive sum because they've already got a decent team but it will still be tens of millions.
That looks OK on paper. Decent return.
But if something had gone wrong, and they hadn't gone up, you're looking at eating into that potential profit. Take Brighton. Something like £25m for six seasons before they went up (and that's ignoring the £100m they spent on the stadium). They're not worth what Newcastle are worth so someone's already looking at writing off some of their investment. Even Spurs, who are very tightly run, only make small profits in relation to turnover. So it's going to take a long time to recover that investment loss, even if Brighton stay up for several years.
Get it really wrong, like SISU, and you lose almost everything.
It seems a high risk business, one where you have to really know what you're doing to actually make money.
So if they're worth £250m, what would a club our size be worth? Maybe £200m if in the PL? Maybe a bit less. Wolves apparently have spent £60m plus what they paid for the club. According to reports £45m. So, if they go up and are able to shift the club on immediately they're going to make a decent profit. That's if they can sell before the next season starts and someone else picks up the tab for the new signings they'll need to stay up. That won't be a massive sum because they've already got a decent team but it will still be tens of millions.
That looks OK on paper. Decent return.
But if something had gone wrong, and they hadn't gone up, you're looking at eating into that potential profit. Take Brighton. Something like £25m for six seasons before they went up (and that's ignoring the £100m they spent on the stadium). They're not worth what Newcastle are worth so someone's already looking at writing off some of their investment. Even Spurs, who are very tightly run, only make small profits in relation to turnover. So it's going to take a long time to recover that investment loss, even if Brighton stay up for several years.
Get it really wrong, like SISU, and you lose almost everything.
It seems a high risk business, one where you have to really know what you're doing to actually make money.
