El DerbyCo

[falconram]

So was Stan Collymore right in what he tweeted last week,looks increasingly likely.We are in it deeper than any of us know, I really fear for us if we go down, sad times, worse situation than the early eighties bought on buy ourselves.Looking like we could be the next Bolton.

[Mihangel]

24 minutes ago, G STAR RAM said:

There are 2 parties that would suffer from going into administration.

1 - Derby County Football Club would end up with a point deduction

2 - I will let you work out who would suffer from any financial hit.

If MM did not give a damn about the club I'm not sure he would have kept on covering the wage bill. Perhaps you could offer to step into his shoes to show how much of a damn you give about the club?

Anyway, I will try again, do you understand the implications of going into administration and how do you think MM would benefit from it?

I'm struggling to understand who people think would put us in to administration? It can only be Mel or those with a charge on the club. Which would benefit from this line of action?

[Rambalin]

5 minutes ago, Oldben said:

Efl investigated Derby over what happened with Mel and his handling of raising finance using the club, they didn't approve but lost the case.

Now efl are investigating alonso over his plans for Derby, which according to the Mail, might involve refinancing the club.

Why would efl sanction something like that by allowing Alonso to pass the fit and proper director test if it involves refinancing the club.

 

There is nothing new in the way the deal allegedly is being structured has said earlier in the thread the same method was used at Burnley and Man Utd. It is also fairly common in the business world of buying companies. 

 

[MrPlinkett]

I might be wrong, probably am, but wont our biggest expenditure be that owed and paid to the staff (mostly players), and possibly some to Cocu after being sacked and maybe still Keogh.

Usually when clubs go into administration Players etc seem fairly well protected and dont seem to suffer, it seems to be the debts owed elsewhere that are slashed, do we have many of those?

As far as i can tell Mel has been funding the running of the club, so the debt is owed to him if anything?

 

[CornwallRam]

6 minutes ago, Rev said:

What debt?

Last time I checked there were charges registered to Gabay and MSD. I think the former might have been settled, but as far as anyone knows, the latter relates to a loan. It had been said that it was for two separate loans of £15m each, but I don't think the 2nd one was ever actually taken.

I've no way of corroborating this, but I was told that the cash that Mel has injected recently has been in the form of loans and the club currently owes him £14m. That's not necessarily an issue as it could easily be that Mel will write off that debt when he sells.

Personally, I think administration would be a terrible idea. We could easily lose Pride Park and Moor Farm and be almost guaranteed to be relegated. I think that Mel would find it far easier to sell the club if he kept things ticking over, even if he sold a couple of players to inject a bit of cash - ironically our wage bill now looks to be pretty low so a new owner would have some P&S room once the stadium is open again.

IMO, Mel won't put us into administration. 

[TheSlate]

50 minutes ago, DarkFruitsRam7 said:

I have a feeling this might spark someone like Gadsby to get involved. 

Categorically not happening.

[Leeds Ram]

5 minutes ago, Rambalin said:

There is nothing new in the way the deal allegedly is being structured has said earlier in the thread the same method was used at Burnley and Man Utd. It is also fairly common in the business world of buying companies. 

 

I'm not a master of finance by any means but using the club's own assets to free up cash to enable the deal strikes me as a particularly leveraged form of 'buy out'. This might be more palatable news if we had any idea who the actual backers are and an estimate of their net worth or a semblance of a plan for the club but we have neither.  So, either there are secret backers (itself a problem) or he's literally refinancing the stadium to make this happen.. personally, if this article is true I'm not comfortable with this in the slightest and it stinks of how chancers buy football clubs. 

[GenBr]

55 minutes ago, DarkFruitsRam7 said:

I have a feeling this might spark someone like Gadsby to get involved. 

 

3 minutes ago, TheSlate said:

Categorically not happening.

Why not? Gadsby cant fund the club on his own, but one of the two other rumoured bids on the table was apparently a local consortium. The other was Americans presumably led by Sam Rush, which is presumably also the dream deal as mentioned by John Percy

[Jimbo Ram]

I fear we might be the next Wigan rather than Bolton. Sell the club and then go in to administration not long afterwards. I would feel a lot more comfortable selling to some kind of local consortium than to this chap.....

[Wolfie]

24 minutes ago, MrPlinkett said:

I might be wrong, probably am, but wont our biggest expenditure be that owed and paid to the staff (mostly players), and possibly some to Cocu after being sacked and maybe still Keogh.

Usually when clubs go into administration Players etc seem fairly well protected and dont seem to suffer, it seems to be the debts owed elsewhere that are slashed, do we have many of those?

As far as i can tell Mel has been funding the running of the club, so the debt is owed to him if anything?

 

He wasn't sacked. Mutual Consent.

That's not to say there might have been some small settlement as part of the agreement.

[Rev]

7 minutes ago, CornwallRam said:

Personally, I think administration would be a terrible idea. We could easily lose Pride Park and Moor Farm and be almost guaranteed to be relegated. I think that Mel would find it far easier to sell the club if he kept things ticking over, even if he sold a couple of players to inject a bit of cash - ironically our wage bill now looks to be pretty low so a new owner would have some P&S room once the stadium is open again.

Agreed. 

I believe all football debts, like payments to players and other clubs, have to be paid in full regardless of administration or not.

It's quite possible our largest debt in owed to Mel, therefore we'd gain nothing from administration.

[Leeds Ram]

Just now, G STAR RAM said:

Not at all, I only have the same information to me as other fans.

I'm just trying to work out why people are saying we will go into administration.

I think it's just indicative of the panic and lack of information surrounding the club in its current state. 

[Carnero]

10 minutes ago, G STAR RAM said:

I'm just trying to work out why people are saying we will go into administration.

Because they don't know what it is and what it entails. It's just a term that football fans have picked up over the years and now use without any real understanding.

[Anag Ram]

Mel as the latest revelations about Alonso surface

 

[RoyMac5]

1 hour ago, G STAR RAM said:

There are 2 parties that would suffer from going into administration.

1 - Derby County Football Club would end up with a point deduction

2 - I will let you work out who would suffer from any financial hit.

If MM did not give a damn about the club I'm not sure he would have kept on covering the wage bill. Perhaps you could offer to step into his shoes to show how much of a damn you give about the club?

Anyway, I will try again, do you understand the implications of going into administration and how do you think MM would benefit from it?

If Morris didn't keep covering the wages he'd have nothing to sell to get money back on. What use would a football ground be with no team to play in it? Ahhhh I get it now, what use could the ground be?!

[RoyMac5]

4 minutes ago, Anag Ram said:

Mel as the latest revelations about Alonso surface

 

Ay, it takes a lot to fool a canny business man like Mel!

[StarterForTen]

5 minutes ago, Carnero said:

Because they don't know what it is and what it entails. It's just a term that football fans have picked up over the years and now use without any real understanding.

I don't mean to be pious but some football fans see Administration as the 'short term pain for long term gain' approach to seeing a their club become a better football team. Sorry, but advocating administration is morally corrupt.

Any business that goes into administration has a knock-on effect for other businesses that don't get paid what they are rightly owed; quite often leading to a few people losing their own livelihoods for no fault of their own. At the very least it deprives entities like HMRC of revenue.

To suggest that pathway is right because it will wipe out debt - and by obvious inference, allow a football club to spend on players again - is wrong on every level.

[DCFC1388]

Why are we believing the Daily Mail?

[RoyMac5]

Just now, DCFC1388 said:

Why are we believing the Daily Mail?

Because it's believable?

[G STAR RAM]

7 minutes ago, StarterForTen said:

I don't mean to be pious but some football fans see Administration as the 'short term pain for long term gain' approach to seeing a their club become a better football team. Sorry, but advocating administration is morally corrupt.

Any business that goes into administration has a knock-on effect for other businesses that don't get paid what they are rightly owed; quite often leading to a few people losing their own livelihoods for no fault of their own. At the very least it deprives entities like HMRC of revenue.

To suggest that pathway is right because it will wipe out debt - and by obvious inference, allow a football club to spend on players again - is wrong on every level.

Unsurprisingly HMRC dont suffer the same as other creditors.