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Posts tagged ‘financial’

Too much credit

Today seeks to clarify the future with regards to ‘football creditors’ in the Industry.  How often have I been in debates on seemingly ‘straight forward’ definitions as to what’s ‘in’ and ‘out’ of the football creditors list.   The importance often in my acting as adviser to a bidding party that seeks to understand more fully the investment implications of any expression of  a desire to take over a failing club.

e-petition describes the current debate as: “When football clubs go out of business or into administration in the main with large debts it is the football industry that protects itself through this rule. This means that other clubs, players on large contracts, are always guaranteed to receive monies owed to them but the companies servicing clubs with outstanding invoices only receive whatever the creditors agreement allows, normally 1/2p in the pound”.

Of course, depending on whom I’m representing, I might be either for or against the motion to change.  However, in that I seek a ‘level playing field’ in most instances it would appear only fair that the rules governing administration for football become streamlined with those for business as a whole.  Certainly, HMRC agrees and seeks parity for this sector of the economy with the rest of the real world. Since the Enterprise Act, HMRC has lost its status as a preferential creditor and joined the ranks of unsecured ­creditors in an insolvency situation.

Last chance Salou

….or indeed anywhere else in Europe.  Time is running out to access up to £60K for any sports clubs or educational institutions that might want to send people to Europe for ‘work experience’.  We can assist.  Email me now for a copy of our brochure on this particular funding stream.  This consultancy support is a collaboration between NAVITAS Sports Consultancy and ACROBAT Consulting & Marketing LTD.  The deadline for funding bids is February 2012, with notification of successful bids made in May 2012.The dates of the actual tours can be flexible to meet your needs.

The European Commission Lifelong Learning Programme (LLP) awards around €80 million each year to UK projects that use European partners to address areas of lifelong learning. One strand of this funding relates to opportunities to send young people to other participating European countries to undertake a period of work experience. The funding can support students/athletes from both individual and team sports and includes all costs for project management, travel, preparation and subsistence meaning that, if successful, the tours can be delivered at no cost to you.

I would be delighted to hear of any enquiries from:

1. Football clubs outside of the Football League with an education/apprenticeship programme for 16-19 year olds;
2. National Governing Bodies with apprenticeship programmes;
3. Sports Colleges with a Football/Sports Academy.

The key element is that the organisation must have learners who are undertaking vocational education (e.g. BTECs, NVQs etc).

Reign in Spain

Over in continental Europe, Spain’s Government has taken a significant step to outlaw a previous, controversial law which allowed clubs that were strapped for cash to avoid relegation by going into administration.  I’m sure Barry Hearn wouldn’t have liked this law much! 

Racing Santander was the last club to seek protection from creditors under the former law, in the summer.  Others that have taken this unfair advantage have included big brands such as two of the ‘Reals’: Mallorca and Zaragoza (a member of my family is on the management team there).   I can’t help but smile here, thinking of the Turks use of ‘Real’ in an attempt to avoid passing-off and copyright (aka ‘Real’ Koç).  Players and the indigenous Trade Union have applauded this move, said to be a key reason for the stand-off and strike pre-season at La Liga.  The dispute between Spanish footballers and the Professional League has just been rectified with players finally agreeing to call off strike action.   The players apparently account for a liability of some 50 Million Euros from clubs using the Law to not fulfil financial obligations, amongst other reasons.  “This reform will prevent the undesirable use and abuse of certain instruments of the bankruptcy law and ensure stability and equality in sports competitions” – the Government has commented, according to Reuters News Agency.

 Twenty-one clubs in Spain were either in administration, recently exited or in the process of applying. So it’s officially an epidemic?  A tightening up of laws can only help create that ‘level playing field’!

Friday night

How I enjoyed last night’s football.  Plus a tipple in Ye Olde Vic and Our Lady’s as pre-match warm-up and post-match contemplation. A combination of a draw against fellow ‘Hatters’ Luton Town after trailing, and a return to Friday Night Football. 

I used to query with former marketing/commercial regimes at County whether they had undertaken any analysis to determine whether Fridays or Saturdays were best financially for the Club.  Must admit never got a reasoned response.  Naturally, there are pros and cons of the day we play, but for people like me with young children, I can enjoy my beloved County and have two full days uninterrupted for other pastimes that they might choose to pursue each weekend.  For some reason the entire family don’t necessarily want to visit EP every week.

I was brought up on a diet of Friday Night Football.  I seem to recall others like Tranmere Rovers FC and Southend United FC did similar.  I understand discussions have been held with a view to moving some Scottish Football League games to Friday evenings.  Ligue 1 in France will be scheduled in the same way under the terms of the French top flight’s television deal commencing 2012 – 13.  The Australian Football League (‘Aussie Rules’) promote matches on that night in conjunction with the Seven Network and remain convinced it is an optimum fixture for publicity and income.  Does anyone know any lower league clubs that have adopted Fridays and launched promotional tactics to entice supporters of other clubs successfully that are playing the day after?