Latest Rumours SUFC up for sale

[JD]

Someone (Chris Phillips?) asked a question about the finances and Ron said that it was important that the transition between now and whenever the new owners took over was smooth. We are negotiating with HMRC over debt (and there's others, as he said they were the reason for the embargo "primarily").

I think the sort of direct questions you mention wouldn't (and maybe couldn't) have been met with direct yes/no answers, especially in relation to debts as he won't want to be accused of creating a preference as we still owe HMRC money. However, we can all get the flavour... he didn't look at all concerned about the future - short or long term - and looked somewhat relieved. He even confirmed that all the income streams available would be for the benefit of the club and Tom Lawrence will know all about what that can bring.

But for Ron, I do think it's over in his head and the final paragraph of the statement had very much a "Thank you and goodbye" feel.

The more I think about it, he's gone.

The point is, those questions should have been asked, at least then he would know that we’re not as thick as he thinks!

 

[* ORM *]

Not sure I follow?

Leasing the stadium will include the right to operate the whole “building”, which would include the facilities that can be used to generate non match-day income?

The stadium is designed to offer multi use facilities, the whole point of which (if maximised) makes the club more sustainable.

any buyer of the club will need to be clear on how this can be used effectively as part of the lease

My line of thinking is that if it is only the club for sale then any leasing of FF maybe only be for match days and may not include all the other facilities FF may have to offer.

 

[tommy tucker]

do you not find it a bit warped how he says he’s spending his son’s inheritance on the club whilst on his way to generating 100million for his family?

Would not think his son is slightly concerned about his inheratance .One he has made his own money And two if as ron beleves he will make more money from the houseing than the new stadium .I cant see his son going short can you .

 

[tommy tucker]

My line of thinking is that if it is only the club for sale then any leasing of FF maybe only be for match days and may not include all the other facilities FF may have to offer.

Did ron not say he does not want to be a land lord to fossetts And once up and running he will sell that off as well .So there should not be any rent i thought he said .

 

[kentblues]

My line of thinking is that if it is only the club for sale then any leasing of FF maybe only be for match days and may not include all the other facilities FF may have to offer.

There seems to be confusion. It is the club AND stadium for sale. That is the preferred option. But if a buyer leased the stadium he made clear that the new owners would get all the revenue streams from the stadium

 

[Chris Powell's mate]

This might answer a question or two about the paucity of searching questions at the press conference.
The alert time for the conference was interesting.

CP apart, who in the media would be up to speed with the train wreck that is Southend United?
Let's say a news desk has been told in three/four hours they have to get someone to Roots Hall.

Firstly, they're not 100% sure what it's about, and secondly, someone has to do serious homework in the time it takes to travel and present themselves.

Thirdly, as much as we adore and revere the club, to outsiders, SUFC is small fry.
That leaves CP.
Yeah, I would have asked about current funding/embargoes etc, but he still has to maintain some sort of relationship with the club.

Maybe, that's an excuse, but I can think of many who get banned from a club because they don't like your questions, including yours truly, btw.

Is that ducking the issue? Maybe. But doing what job you can in the circs has to carry some weight.

 

[Kat_r]

Would not think his son is slightly concerned about his inheratance .One he has made his own money And two if as ron beleves he will make more money from the houseing than the new stadium .I cant see his son going short can you .

That’s exactly what I meant. He was pretending he’s spent the inheritance on the way to guaranteed income every month for life for his family.

The blatant misdirection is quite unnerving

 

[leeblue]

So what exactly would I be 'buying'
Southend united football club on its own is a massive loss making business.
So I'll give you a quid.
I'm taking on millions in debt?
No thank you.
And I get the opportunity to buy a stadium....with the prospect of what returns on that?
What business savvy person would do this?
Lack of in depth questions from those present disappointing to say the least.
Surely any prospective buyer will want a slice of the property action

 

[Kat_r]

Corrected for accuracy.

Firstly, their income is years away as the flats have got to be built. Ron may well die before he receives a penny.

Secondly, the flats won't be owned by him; it'll be by a company (or companies) and we have no idea as to how much of that he has already split or sold. We have no idea what his income will be (and it's not our business) but he has had to fund a club for 25 years in order to get that possibility of a return.

But his reward isn't relevant today; it may never actually be received for various reasons. But all things being equal, he and his family will do well eventually.

Yup. And to just say the inheritance is all spent trying to play the victim knowing the exact opposite is true I.e. there will be a lot of money just strikes me as very, um, wrong.

They are pretty much laughing at fans. Pathological levels of disingenuousness

 

[sufc4life21]

He has gone on record previously to say that the debt would be written off once FF was built - yesterdays comments seem to suggest this is now not the case?
I can’t see what has changed - SUFC is still the sole enabler for huge pot of gold for RM.
Any buyer of the football club would have to sign a deal to either buy FF or lease it - no other option would be allowed right?
So surely writing off the debt is still essential and possible?

He got no choice if he wants to sell the club...... its in his best interest to wipe the debt completely or to reasonable sum which can attract new owners. He knows he can't recoup that money from anything to do with Southend united unless some how they get to premier league in the next 5 years which aint gonna happen. Property side he can and more some.

 

[kentblues]

So what exactly would I be 'buying'
Southend united football club on its own is a massive loss making business.
So I'll give you a quid.
I'm taking on millions in debt?
No thank you.
And I get the opportunity to buy a stadium....with the prospect of what returns on that?
What business savvy person would do this?
Lack of in depth questions from those present disappointing to say the least.
Surely any prospective buyer will want a slice of the property action

The debts will be netted against the value of club plus stadium. He will get what the club is worth to the buyer either way.

What you are really asking is why on earth would anyone want to buy a football club. A very fair question. Yet there are many buyers or potential buyers it seems…

 

[Kat_r]

So what exactly would I be 'buying'
Southend united football club on its own is a massive loss making business.
So I'll give you a quid.
I'm taking on millions in debt?
No thank you.
And I get the opportunity to buy a stadium....with the prospect of what returns on that?
What business savvy person would do this?
Lack of in depth questions from those present disappointing to say the least.
Surely any prospective buyer will want a slice of the property action

Somebody looking for a status symbol or wanting the feeling that they own part of the west despite hating its morals. Looking at you Middle Eastern billionaires. Never underestimate how they get off on The feeling of owning the west. They are supremacists

 

[bazzashrimper]

Corrected for accuracy.

Firstly, their income is years away as the flats have got to be built. Ron may well die before he receives a penny.

Secondly, the flats won't be owned by him; it'll be by a company (or companies) and we have no idea as to how much of that he has already split or sold. We have no idea what his income will be (and it's not our business) but he has had to fund a club for 25 years in order to get that possibility of a return.

But his reward isn't relevant today; it may never actually be received for various reasons. But all things being equal, he and his family will do well eventually.

Indeed. I’m sure aged 45 he wouldn’t have bought the club if he realised his pot of gold would be ready for his late 70s and inheritance

 

[Supa Shrimpa]

So what exactly would I be 'buying'
Southend united football club on its own is a massive loss making business.
So I'll give you a quid.
I'm taking on millions in debt?
No thank you.
And I get the opportunity to buy a stadium....with the prospect of what returns on that?
What business savvy person would do this?
Lack of in depth questions from those present disappointing to say the least.
Surely any prospective buyer will want a slice of the property action

That's how I read it. The buyer would have the club (and it's debt) and a stadium (that's not even built yet). He said the club would get the income from the stadium. So, what's in it for the buyer, if they're not going to get the residential income aswell ? Still more questions than answers, and that's probably why he got the media in at the last minute (no time to prepare). Anyway, at least he's prepared to sell up and get out of our club. That's gotta be a bonus

 

[kentblues]

He got no choice if he wants to sell the club...... its in his best interest to wipe the debt completely or to reasonable sum which can attract new owners. He knows he can't recoup that money from anything to do with Southend united unless some how they get to premier league in the next 5 years which aint gonna happen. Property side he can and more some.

It is really simple. If you buy the club and stadium, and the club has 10m of debt, what you pay for club and stadium is 10m less than you would have paid had the club no debt?
This is how it works. So yes it is effectively written off/accounted for one way or another.

 

[Kat_r]

Indeed. I’m sure aged 45 he wouldn’t have bought the club if he realised his pot of gold would be ready for his late 70s and inheritance

I see it as it’s more about his family owning a chunk of Southend rather than him. Again, the sense of Power and dynasty they comes with it. Pathetic really.

 

[londonblue]

Don't hold your breath too long on that meeting next week, he intimated that that won't happen following the announcement today, in the video in reply to a direct question about a meeting requested by Paul.

That's not the way I interpreted it. I saw it has him saying in light of the news the trust may decide to cancel, not him.

 

[bazzashrimper]

It is really simple. If you buy the club and stadium, and the club has 10m of debt, what you pay for club and stadium is 10m less than you would have paid had the club no debt?
This is how it works. So it is effectively written off/accounted for one way or another.

And given most of the debt is to R Martin…

 

[Sparte]

They get the club, nothing else.
Any buyer will also be signing a deal to lease roots hall and then either buying FF or leasing it.

Bit like buying a car registration number but not the car….

 

[southend_aussies]

I genuinely fear this announcement could be the end. What prospective buyer is going to come in and spend millions of dollars on a club deep in debt, with no assets, loses millions a year and with the lure of a stadium which doesn’t exist and has aspects not approved by council.