Consortium ready to save Blues

[Smiffy]

As mentioned in the other thread. Thought this was worthy of a new thread.

Front page story today with the headline "We'll buy the Blues for £1...and pay off the debts" says group of local businessmen.

Story reads...

A consortium of wealthy businessmen want to save Southend United.

The group made up of 10 life long Blues fans, want control of the club before Wednesday's High Court hearing.

The people involved in the potential takeover have made millions of pounds in a variety of businesses, including retail, security and mobile phones.

None of them currently want to be named, but the majority are season card holders at Roots Hall.

They want to buy the club for £1, are prepared to take on the debts and want to replace Ron Martin as Chairman.

A Spokesman for the group said "Administration is something nobody wants, If Ron Martin has the money then that's fantastic and we really do wish the club all the best. But we're like a lifeboat really in case of emergency and they don't have the money. If they haven't then they should say so now to avoid losing ten points, that would be a disaster"

The consortium has vowed to provide cash needed to keep the club "playing and trading" until the end of the season. And the group already has plans for next season. The spokesman added "From the start of the 2010-2011 season the club will be run in a business like manner, on a debt free basis that will avoid it running into another similar crisis that only serves to destabilise the management of the club and negatively effects the playing staff and the many thousands of loyal supporters"

The group are also keen to strengthen the squad and move into Fossetts Farm. The spokesman added "If and when the proposed move to Fossetts Farm takes place, we intend to take the club there in robust form and hopefully in a higher division to its new and permanent home."

 

[palexander]

Interesting!

 

[Boreham Shrimper]

If they truly are in this for the long haul and a way for the club to continue to move into Fossetts Farm and continue to receive some of the revenue from the development can be found then yes please, especially if they are personally wealthy enough to keep the club going in the short to medium term.

The question is, will Ron go through with it, especially if his "building blocks" come good and he can get the money together to save us from going into administration on Wednesday? I'd wager he wouldn't given the amount of time and money he has personally spent on the club.

 

[Bromley Blue]

I've got mixed feelings about this. It will be great to see the club retain those 10 points but I just can't see Ron Martin walking away. As people have said he has a lot invested in the whole Fossetts Farm project in both time and money.

Ron comes across to me as a very proud man and I think the only way we'll be saved from the administrators is if Ron can secure some sort of loan to pay off the HMRC and buy himself some more time to sort the club's finances out.

The consortium does sound interesting and the part about them all being season ticket holders is encouraging. Who knows eh?

 

[BLUEBLOOD]

I can't see this being anything other than a non runner .. there is no chance of RM selling for £1

 

[Boreham Shrimper]

I've got mixed feelings about this. It will be great to see the club retain those 10 points but I just can't see Ron Martin walking away. As people have said he has a lot invested in the whole Fossetts Farm project in both time and money.

Ron comes across to me as a very proud man and I think the only way we'll be saved from the administrators is if Ron can secure some sort of loan to pay off the HMRC and buy himself some more time to sort the club's finances out.

The consortium does sound interesting and the part about them all being season ticket holders is encouraging. Who knows eh?

Another thought just crossed my mind. Does anyone know whether Ron has been able to secure the funding for the Fossetts Farm project or how far away he is from doing so? We haven't had a statement about the development for quite a while now due to more pressing issues! His only remaining card is said project and if he can't do so, it's clear the club will quickly run out of money as he personally can't afford to plough any more into the business.

 

[Rusty Shackleford]

The Echo has this one slightly wrong. The word 'consortium' needs to be replaced by the word 'powerbase'.

 

[Bromley Blue]

If they truly are in this for the long haul and a way for the club to continue to move into Fossetts Farm and continue to receive some of the revenue from the development can be found then yes please, especially if they are personally wealthy enough to keep the club going in the short to medium term.

The question is, will Ron go through with it, especially if his "building blocks" come good and he can get the money together to save us from going into administration on Wednesday? I'd wager he wouldn't given the amount of time and money he has personally spent on the club.

Anyone get the feeling the "building blocks" could turn out to be another "warchest"?

To be fair to Ron one week is not very long for someone to secure a 700k loan though.

 

[Southminster_Shrimper]

I can't see this being anything other than a non runner .. there is no chance of RM selling for £1

what constitutes "the club" and what constitutes the bits that are owned by RM in his various company guises? what would they actually buy for £1 if people are saying that the club doesnt have many assets other than some of the players but seems to have quite a large debt.

would RM keep control of the other bits under his other companies?

that must be quite attractive, as it would appear to be ditch the bad bit and keep the good bits with an "i have done all i can, over to you as i have run out of money". or is that not possible/not wanted?

 

[McNasty]

Perhaps a statement from GK along the lines of "You oiks can all sod orf" is imminent.

 

[Benfleet Blue]

Anyone get the feeling the "building blocks" could turn out to be another "warchest"?

To be fair to Ron one week is not very long for someone to secure a 700k loan though.

The Inland Revenue debt will probably be for the year ended 5th April 2008 which is why the overall debt is so much higher.

He's therefore known of the debt for a very long time and to say he's had a week to secure a loan is a bit misleading.

Even if the High Court debt is cleared the remainder will become due, and that will be for a considerably higher sum, and how that will be financed is a very big question.

 

[Boreham Shrimper]

Anyone get the feeling the "building blocks" could turn out to be another "warchest"?

To be fair to Ron one week is not very long for someone to secure a 700k loan though.

Possibly, in which case there are going to be some very angry fans if he doesn't sell, despite the amount he personally has invested in the club.

As for the time he's had, this debt is 2 years old and although the procedures have changed this year due to an agreement between HMRC and the Football League (I think), one of the golden rules of business is that the taxman must be paid. You cannot escape a tax debt and whilst he hasn't been helped by the credit crunch and delays in the planning for Fossetts Farm, there was always a risk that this would happen.

 

[Clinton Baptiste]

So we're the pound shop football club now!

 

[McNasty]

So we're the pound shop football club now!

but you can't get a cup of tea in the ground for a pound !

 

[Boreham Shrimper]

So we're the pound shop football club now!

If we were we wouldn't be in this mess. They've been raking it in during the recession!

 

[A Century United]

I can't see this being anything other than a non runner .. there is no chance of RM selling for £1

£1? Does that mean £1 plus paying off Ron for what he has already written off?

"playing and trading" until the end of the season. And the group already has plans for next season. The spokesman added "From the start of the 2010-2011 season the club will be run in a business like manner, on a debt free basis that will avoid it running into another similar crisis that only serves to destabilise the management of the club and negatively effects the playing staff and the many thousands of loyal supporters" "

Is that a serious quote? A laudible aspiration, but frankly I can't see how they could do that in half a season without dropping us to League two.

 

[BLUEBLOOD]

£1? Does that mean £1 plus paying off Ron for what he has already written off?



Is that a serious quote? A laudible aspiration, but frankly I can't see how they could do that in half a season without dropping us to League two.

Its all rather ambiguous isn't it .. i'm not doubting this groups good intentions, but i'm pretty sure only RM and his closest aides truly know the state of the clubs finances, and the monies that contractually have to be paid out on a weekly basis

Better the devil you know than the devil you don't ??

 

[ozzy-shrimper]

If this is all true and an offer is made, it will truely show how confident Ron Martin is about getting the club out of this by his decision.

 

[Swiss Tony]

but you can't get a cup of tea in the ground for a pound !

You can't get onions,at any price.

 

[BLUEBLOOD]

You can't get onions,at any price.

Thats cos we use them to pay Laurent and JFC ;)