• Welcome to the ShrimperZone forums.
    You are currently viewing our boards as a guest which only gives you limited access.

    Existing Users:.
    Please log-in using your existing username and password. If you have any problems, please see below.

    New Users:
    Join our free community now and gain access to post topics, communicate privately with other members, respond to polls, upload content and access many other special features. Registration is fast, simple and free. Click here to join.

    Fans from other clubs
    We welcome and appreciate supporters from other clubs who wish to engage in sensible discussion. Please feel free to join as above but understand that this is a moderated site and those who cannot play nicely will be quickly removed.

    Assistance Required
    For help with the registration process or accessing your account, please send a note using the Contact us link in the footer, please include your account name. We can then provide you with a new password and verification to get you on the site.

Yer Blues

Not Always Sarcastic ⭐
Joined
Jan 23, 2007
Messages
5,106
As part of the Club’s policy of supporter communication I thought it may be helpful to advise of a couple of changes affecting football finances which were discussed last week between the whole of the Football League Clubs.

Four times a year Football League Clubs meet to discuss matters pertaining to the sport both on and off the field. Clubs, of course, compete on the field but off field activities are discussed openly and best practice is shared and, generally, in good spirit. This year, at the invitation and cost of the League (but sponsored by Thomas Cook), three delegates from SUFC attended the conference. Interestingly, although it is called Chairmen’s Conference, Ron was unable to attend and the meetings were attended by myself, Garry Adamson and the Club Secretary, Helen Norbury.

Items on this year’s agenda included:

  • A presentation on the new and improved internet subscription service provide by FLi – more details to follow.
  • An update of the Football League Trust and its work with youth and in the community.
  • A discussion on the Leagues Insolvency policy.
  • A report on League Football education policy.
  • A presentation and discussion as to how clubs can become involved in the World Cup bid and be a part of the event
  • Third party ownership of players.
Occasionally the League will bring in consultants from the realms of sport to advise on various aspects of off the field management and processes. This year Deloitte delivered a presentation on the state of the game using, as a background, the Deloitte report on Football Finances. The theme was very positive in that Club’s had significantly increased their attendances and income levels over the past 10 years. However, on the flip side, losses with Football League clubs had increased mainly due to the significant rise in player wages costs. The clubs within the three divisions of the Football League leagues lost a combined total of £90m between them in the 2007-2008 season and wages paid by Championship Clubs and League One were 87% and 78% of turnover respectively. This position is not sustainable and something has to change.

Discussions then took place generally on what proposals might be considered to bring costs more under control. There is no easy answer to this and I am sure that the debate will continue for many months ahead.

These losses bring cash flow pressures on all of the loss making clubs which can result in poor payment records with creditors. HMRC is, in most cases, a large if not the largest creditor of clubs resulting in many clubs being forced towards and into administration. To help remedy this position the League has, over the last six months, agreed with HMRC a standstill arrangement whereby in return for clubs agreeing to pay the correct monthly amount when required going forward HMRC will agree to allow clubs to pay off any arrears as at 1 July 2009 over an extended period.

This is clearly a helpful arrangement and one which clubs including Southend United will take advantage of as it too has been carrying a fluctuating HMRC debt in its accounts since before my time. Last July the Club’s parent company injected some £650,000 to overcome the HMRC position.

In view of our other areas of communication I thought supporters might like to hear about other, broader areas of debate affecting the football industry.

As with all Club matters we try to pre-plan and these are two important areas to address.

I will, if supporters consider it useful, provide a quarterly bulletin following each FL meeting.



Geoffrey King
 
Last edited by a moderator:
Has Geoffrey been on a PR course? Good info well presented, I hope we do get the quarterly updates. Thanks for posting that, BG.
 
If GK is reading this can we have some photos of the SUFC contingent going large in a selection of classic blues shirts (Hi-Tec, Elonex, United Artists)?
 
Thanks Bobby. I'm somewhat alarmed to hear that we're still carrying large amounts of HMRC debt and having to agree with them to schedule it.

Still, it shows you how times have changed. HMRC used not to think twice before marching off to the Winders court to have companies wound up and put into administration (as almost happened to us in 2000). Now, at a time when companies are going bust of their own accord, it might be politically inopportune if HMRC were seen to be sending companies to the wall quicker than might otherwise be the case... hence their willingness to schedule payments.

Still, it's a bit depressing to hear that we're still in debt to the taxman...

Matt
 
Thanks Bobby. I'm somewhat alarmed to hear that we're still carrying large amounts of HMRC debt and having to agree with them to schedule it.

Still, it shows you how times have changed. HMRC used not to think twice before marching off to the Winders court to have companies wound up and put into administration (as almost happened to us in 2000). Now, at a time when companies are going bust of their own accord, it might be politically inopportune if HMRC were seen to be sending companies to the wall quicker than might otherwise be the case... hence their willingness to schedule payments.

Still, it's a bit depressing to hear that we're still in debt to the taxman...

Matt

The accounts show tax and social Security as being 888,469 (1,304,646-2007) but nothing for interest on overdue, so we can't be that behind in paying
 
Back
Top