Derby County Administration (with the slight possibility of Liquidation still there)

[StarterForTen]

2 hours ago, atherstoneram said:

As a tax payer i would like to see the club pay what they owe.

Just as a matter of interest, what's your view on paying the other debts the club has accrued? Should they all be paid in full too?

[rammieib]

Any future transactions with local suppliers, such as Roadrider (or whichever bus companies supply that) are simply going to want cash up front.

Any future football Club dealing with us is going to want cash up front.

This Is Mel’s Legacy.

 

[atherstoneram]

5 minutes ago, StarterForTen said:

Just as a matter of interest, what's your view on paying the other debts the club has accrued? Should they all be paid in full too?

In principle yes but it doesn't work like that,unsecured creditors are left to fight over the remains if there are any.

[Miggins]

On 04/10/2021 at 14:21, i-Ram said:

Your hope is only to watch Liz Hurley masticate? Come on buddy, raise your game.

She appears to have an enormous tic.?

[Crewton]

1 hour ago, Tamworthram said:

I would be surprised if they're not classed as floating otherwise, according to my understanding of such things, Rooney would have to obtain the permission of the lenders before selling a player regardless of whether we were in administration or not. 

Given that we apparently turned down offers for both Lawrence and Buchanan shortly before going into Administration, it make me wonder?

[Crewton]

20 minutes ago, rammieib said:

Any future transactions with local suppliers, such as Roadrider (or whichever bus companies supply that) are simply going to want cash up front.

Any future football Club dealing with us is going to want cash up front.

This Is Mel’s Legacy.

 

Not if a new owner has credibility and the business plan etc is signed off by the EFL, including undertakings to pay all creditors on time, which I think they will insist on. People want the business.

[derby8]

43 minutes ago, Coconut's Beard said:

West Ham are having some seats moved closer to the pitch and getting their stewarding costs for 4 years paid for at a cost of around £35m, they're aren't paying for any of it themselves though, that's down to the taxpayer.

How about a straight swap? Force West Ham to pay for their own damn running costs, boom, £35m in the HMRC coffers, write off our £25m debt, £10m profit. Great deal.

Think the story is that had West Ham stayed at Upton Park the taxpayer would have an even higher bill for the OS white elephant !

[RoyMac5]

25 minutes ago, atherstoneram said:

In principle yes but it doesn't work like that, unsecured creditors are left to fight over the remains if there are any.

I don't think that's how principles work, but that suggests you only want us to pay all we owe to HMRC because they're a secured creditor?

[observer]

Just to add BAD debt is a part of any business whether your bob the window cleaner, msd a local supplier or even the almighty HMRC.

Its factored into decisions and sometimes insured against.

Everyone can sit on there high horse and say this and that, but none of us know the true finances and what should be done or how a football club is actually financed and ran day to day.

 

[DCFC Kicks]

So if the £15m owed to MSD is against the stadium, and the stadium is owned by Mel. Doesn't that mean the £15m is owed by Mel? 

[derby8]

New owner puts in cash to pay off agreed amount of debts and gets club, stadium and training ground freeholds.

In short term will try and retain players we have. Significant additions unlikely. Stadium probably has maintenance arrears that need sorting. Holds 33,000 could be expanded to 41,000. Training ground probably needs a bit of backlog maintenance too.

So club debt free, stadium and training ground should be tip top sometime next year. Owner then considers current budget, budget at ffp level, budget at break even. Decides way forward and explains to supporters.

May go for budget at break even to start, partly depends on division we're in, then considers raising to nearer ffp level in due course.

Derby County in good hands !

[atherstoneram]

9 minutes ago, RoyMac5 said:

I don't think that's how principles work, but that suggests you only want us to pay all we owe to HMRC because they're a secured creditor?

Other secured creditors might agree to a lower offer.

[Yani P]

HMRC won't get all they are owed either necessarily will they..

[kevinhectoring]

16 minutes ago, DCFC Kicks said:

So if the £15m owed to MSD is against the stadium, and the stadium is owned by Mel. Doesn't that mean the £15m is owed by Mel? 

The stadium is not owned by Mel. 

[Miggins]

5 hours ago, PistoldPete said:

It could be curtains.

Just you leave our @Curtains out of this! He is as innocent as a newborn!

[kevinhectoring]

1 hour ago, Oldben said:

Bbc: Derby County owe £15m to MSD Holdings, it has been confirmed by the US investment group.

That's a relief, I thought it was 30 million.

I think they have reported what the club owes. I think the stadium owning company might have a separate loan which the club has guaranteed 

Edited October 6, 2021 by kevinhectoring

[Tamworthram]

39 minutes ago, Crewton said:

Given that we apparently turned down offers for both Lawrence and Buchanan shortly before going into Administration, it make me wonder?

Yes but if players were regarded as fixed assets, it would mean the lenders approval would be required for any player sale regardless of whether we were operating normally, about to go into administration or actually in administration. I really can’t imagine that to be the case. 

[derby8]

Just now, kevinhectoring said:

I think they have reported what the club owes. I think the stadium owning company might have a separate loan 

That's why a buyer will probably explain to the administrator what they want, club debt free, stadium freehold, training ground freehold. Administrator comes back after discussions with relevant parties and proposes a cash settlement for the package, the all in sum the buyer needs to pay. The buyer considers. This may take several rounds to complete...

[Tamworthram]

1 minute ago, Tamworthram said:

Yes but if players were regarded as fixed assets, it would mean the lenders approval would be required for any player sale regardless of whether we were operating normally, about to go into administration or actually in administration. I really can’t imagine that to be the case. 

@CrewtonJust to add, and things are getting a bit technical now, I think floating charges may crystallise and become fixed upon default. So, if the club defaulted on any loan secured by a mortgage debenture, all charges become fixed. Time for me to back out me thinks. I’m probably already well beyond my sphere of actual knowledge. ?

[Miggins]

2 hours ago, angieram said:

You didn't answer the question. You said "I would like to see the club pay what they owe". I was asking you if you wanted HMRC paying in full, even if it puts us out of business. 

 I guess it's more a case of the club should pay what the club owes. It upsets me to see the club in such financial turmoil but we should pay what we owe. HMRC can afford this loss but smaller businesses who supplied us in good faith should not have to lose out. They shouldn't lose money because of our ineptitude. I desperately want to see our club survive but debts should be paid off.