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Takeover Talk ToTT Style

Takeover Talk ToTT Style

Swings and roundabouts, apples and pears.

Why wouldn't he be prepared to sell the club for £80m if he can recoup what he wants/the club owes him in other ways? Also, I seem to recall from a while back that they would be getting money from this club even after he sold up.Forget about the £80m figure and scoffing at it - it's all smoke and mirrors when it comes to football finances.

Just for the record, I am dead against British clubs being owned by foreigners and more dead set against people from countries that haven't got a bloody clue about football owning clubs in this country. Football in this country needs to pay its way, as they keep telling US.If you have to rely on rich Arabs, Russian billionaires, tax exiles and the export of American debt to be a successful club over here, then the game is seriously fucked in my eyes. It also implies that there is a limit to how much money you can earn from a football club by the normal rules of running a business - and in that, it would not surprise me in the least if Ashley sold up.

From the last accounts, the only way the club is going to earn more money is through increasing revenue - merchandise/shirts and advertising.

If you wanted a Newcastle top, where would be the cheapest place to get it - club shop or SD? How much does SD pay for the advertising and naming rights at the club?Given that the revenue income from the club on that score appears to be somewhat limited, where is the money going to come from? Selling players for profit surely, in much the same way that the Carroll sale put the gloss on recent accounts. As time goes on, other clubs will get wise to what we are doing in Europe and outbid us, things will become more difficult doing business around Europe. In addition, the selling club will drive a harder bargain when they see the profit we can make. We already know that investing in youth is a complete lottery, with very little breaking through into the first team and it also takes time.

In summary, I would not be a bit surprised if Ashley sold up - maybe we have already reached our limit as far as profitability, whilst maintaining the air of a club progressing on the field too, is concerned.Maybe there will be a fire sale of our best players in the coming weeks. That would make the £80m asking price look utterly immaterial in a flash.





Click here to join in the debate on the club forum.

Writer:Taff on Tyne
Date:Wednesday July 11 2012
Time: 11:24AM

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Comments

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Excellent take on our current position. I enjoyed reading that.
oldleazes
11/07/2012 21:30:00
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