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Investment (1 Viewer)

  • Thread starter mark82
  • Start date Nov 8, 2020
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mark82

Super Moderator
  • Nov 8, 2020
  • #1
Just seen Derby have agreed a takeover by wealthy investors. Does anyone think we have a chance to compete in, or even stay in, this division without significant investment? I just don't see it long term. You seemingly need to spend beyond your means to stay in this division.
 

covcity4life

Well-Known Member
  • Nov 8, 2020
  • #2
To get promoted maybe but staying up is still on as barnsely and luton showed
 
Reactions: ccfc1234

Skyblueweeman

Well-Known Member
  • Nov 8, 2020
  • #3
It is the most competitive league with the biggest prize at the end of it so I can see why everyone chucks money at it.

It's also the biggest gamble in the world. Only 3 go up so many piss in the wind trying to achieve promotion and end up screwing themselves in the process.

Tough one really. Risk future financial insecurity (and we know what that's like all too well) in trying to get up...proper shit or bust.
 
Reactions: AOM, mark82 and wingy

shmmeee

Well-Known Member
  • Nov 8, 2020
  • #4
I think ultimately you’ll always be fighting against gravity if you can’t fund an average wage Bill (£15-20m) in this division.
 
Reactions: mark82 and cc84cov
M

Magwitch

Well-Known Member
  • Nov 8, 2020
  • #5
I thought paying above your means was being clamped down on.
 

Liquid Gold

Well-Known Member
  • Nov 8, 2020
  • #6
The league is really broken financially and any number of clubs could go pop with the way they're being run if the benefactor pulled out.

I'd rather we were a yo-yo club at least. trying to run sustainably than spunk the future up the wall. Of course if we can stay competitive in the championship without chucking money away then all the better.
 
Reactions: Sky Blue Harry H, ccfc1234, mark82 and 1 other person

shmmeee

Well-Known Member
  • Nov 8, 2020
  • #7
There was talk of an £18m cap. It was shot down of course, but I’d like to think we could compete in that sort of range, even if we’d still be towards the bottom of the wage table, the gap wouldn’t be so huge and some would inevitably spend it badly.
 
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Sky_Blue_Dreamer

Well-Known Member
  • Nov 8, 2020
  • #8
Liquid Gold said:
The league is really broken financially and any number of clubs could go pop with the way they're being run if the benefactor pulled out.

I'd rather we were a yo-yo club at least. trying to run sustainably than spunk the future up the wall. Of course if we can stay competitive in the championship without chucking money away then all the better.
Click to expand...

Trouble is you go up, some players impress and get bids for. They can earn more and play at a higher level if we go down, so they leave. Then we have to replace them with unknown quantities so IF we go up again we don't know if they'll be able to hack it or not. Rinse and repeat. Only chance we've got of retaining those players up to Champ standard is to stay in the Championship.

It's far too risky a strategy and one people put forward when we got relegated from the PL. That worked well didn't it?
 
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Grendel

Well-Known Member
  • Nov 8, 2020
  • #9
Sky_Blue_Dreamer said:
Trouble is you go up, some players impress and get bids for. They can earn more and play at a higher level if we go down, so they leave. Then we have to replace them with unknown quantities so IF we go up again we don't know if they'll be able to hack it or not. Rinse and repeat. Only chance we've got of retaining those players up to Champ standard is to stay in the Championship.

It's far too risky a strategy and one people put forward when we got relegated from the PL. That worked well didn't it?
Click to expand...

We sold everything that moved when we got relegated from the PL?
 

Sky_Blue_Dreamer

Well-Known Member
  • Nov 8, 2020
  • #10
Grendel said:
We sold everything that moved when we got relegated from the PL?
Click to expand...

Who's to say we wouldn't sell everything that moved if we got relegated now? If players attract attention and can earn more, they're going to want to leave.
 

Grendel

Well-Known Member
  • Nov 8, 2020
  • #11
Sky_Blue_Dreamer said:
Who's to say we wouldn't sell everything that moved if we got relegated now? If players attract attention and can earn more, they're going to want to leave.
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The PL comparison isn’t valid as players were in the end encouraged to leave and we sold any asset we had as well. Hardly any of these players would get in any championship squad.
 

AFCCOVENTRY

Well-Known Member
  • Nov 8, 2020
  • #12
Football is just bollocks these days. Spend beyond your means for a pot luck gamble at the premiership. I would rather we are just sensible financially and survive as a football club. We’ve already been burnt by money and greed in the boardroom.
 
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Grendel

Well-Known Member
  • Nov 8, 2020
  • #13
AFCCOVENTRY said:
Football is just bollocks these days. Spend beyond your means for a pot luck gamble at the premiership. I would rather we are just sensible financially and survive as a football club. We’ve already been burnt by money and greed in the boardroom.
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We before fans were banned decided to waiver after least £4m extra revenue. We are financially insolvent and supported by short term additional loans every season to bridge gaps and it seems are prepared to commit to a £50m building plan while insolvent and prepared to deny ourselves revenue - cool
 
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mark82

Super Moderator
  • Nov 8, 2020
  • #14
Magwitch said:
I thought paying above your means was being clamped down on.
Click to expand...

Let's hope that actually happens. Not much sign of it yet.
 

mark82

Super Moderator
  • Nov 8, 2020
  • #15
Grendel said:
The PL comparison isn’t valid as players were in the end encouraged to leave and we sold any asset we had as well. Hardly any of these players would get in any championship squad.
Click to expand...

Kind of agree. There are players that have the potential to be regulars at this level though. I'm thinking Dabo, O'Hare, Hamer. Others have some way to go to prove they can hack it at this level (Dabo also a bit of an assumption, not really played properly yet this year).
 

better days

Well-Known Member
  • Nov 8, 2020
  • #16
mark82 said:
Just seen Derby have agreed a takeover by wealthy investors. Does anyone think we have a chance to compete in, or even stay in, this division without significant investment? I just don't see it long term. You seemingly need to spend beyond your means to stay in this division.
Click to expand...
It seems that the putative new owners of Derby have previously agreed to buy more than one other English club
But on each occasion they were unable to come up with the money after they'd agreed the deal
Football really is insane
Takeovers are complicated enough for a normal company being sold to a UK buyer
But football clubs in the top two divisions are being sold to buyers from some of the most untrustworthy countries in the world And fans stand back in the hope that they will be better than the people who currently own their team
 
Reactions: Jay Cee, Deleted member 5849 and mark82

Barnsley

Well-Known Member
  • Nov 8, 2020
  • #17
You have to, buy cheap, develop, sell, reinvest. Then once you’ve done that, You have to, buy cheap, develop, sell, reinvest. Then once you’ve done that, You have to, buy cheap, develop, sell, reinvest.

It’s the only way to run self-sufficiently at this level.
 
Reactions: slyblue57, Sky Blue Pete, mark82 and 4 others
R

Rugby Sky Blue

Active Member
  • Nov 8, 2020
  • #18
covcity4life said:
To get promoted maybe but staying up is still on as barnsely and luton showed
Click to expand...
To be fair Barnsley got luck last season with Wigan's points deduction.
 

Barnsley

Well-Known Member
  • Nov 8, 2020
  • #19
Rugby Sky Blue said:
To be fair Barnsley got luck last season with Wigan's points deduction.
Click to expand...

We would have stayed up if Wigan and a few others weren’t spending above their means, Sheffield are an absolute shambles imagine how bad they’d be if they weren’t spending way above their means.
 
Reactions: CanadianCCFC, clint van damme and mark82

AFCCOVENTRY

Well-Known Member
  • Nov 8, 2020
  • #20
Barnsley said:
We would have stayed up if Wigan and a few others weren’t spending above their means, Sheffield are an absolute shambles imagine how bad they’d be if they weren’t spending way above their means.
Click to expand...

Any other teams on for a point deduction this season?
 

Barnsley

Well-Known Member
  • Nov 8, 2020
  • #21
AFCCOVENTRY said:
Any other teams on for a point deduction this season?
Click to expand...

I would have thought so. Your landlords are due one at some point surely.
 

covcity4life

Well-Known Member
  • Nov 8, 2020
  • #22
Rugby Sky Blue said:
To be fair Barnsley got luck last season with Wigan's points deduction.
Click to expand...
If only a team had pts deduction this season....
 
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Sky Blue Harry H

Well-Known Member
  • Nov 8, 2020
  • #23
Barnsley said:
I would have thought so. Your landlords are due one at some point surely.
Click to expand...
Birmingham, I presume you mean ? (thought they'd been let off)
 
M

Magwitch

Well-Known Member
  • Nov 9, 2020
  • #24
How much did each club get in the help out money handed down by the Premier league recently ?
 
P

PurpleBin

Well-Known Member
  • Nov 9, 2020
  • #25
Sky Blue Harry H said:
Birmingham, I presume you mean ? (thought they'd been let off)
Click to expand...

No, he means our other landlords mate.
 
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Sky Blue Harry H

Well-Known Member
  • Nov 9, 2020
  • #26
PurpleBin said:
No, he means our other landlords mate.
Click to expand...
Are they our landlords ? Thought landlord was different to owners (if you are referring to SISU) Perhaps semantics on my part.
 
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rob9872

Well-Known Member
  • Nov 9, 2020
  • #27
Sky Blue Harry H said:
Are they our landlords ? Thought landlord was different to owners (if you are referring to SISU) Perhaps semantics on my part.
Click to expand...
Not only you H! My assumption was that he was referring to Blues as our 'landlords'.
 
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mark82

Super Moderator
  • Nov 9, 2020
  • #28
rob9872 said:
Not only you H! My assumption was that he was referring to Blues as our 'landlords'.
Click to expand...

He was. Think the sarcasm was missed in PurpleBin's response.
 
Reactions: Sky Blue Harry H, PurpleBin and Barnsley

Razzle Dazzle Dean Gordon

Well-Known Member
  • Nov 9, 2020
  • #29
I think other teams have shown that you can stay up, atleast in the short term (2-3 seasons). I cant see us managing more than 2-3 seasons at this level if groundsharing at St Andrews, if players do well they will inevitably move on and we will have to keep successfully replacing them. I suppose it's possible, just seems highly unlikely in anything more than the short term.
 
K

KenilworthSkyBlue

Well-Known Member
  • Nov 9, 2020
  • #30
AFCCOVENTRY said:
Any other teams on for a point deduction this season?
Click to expand...

I think it's a lottery because it's not necessarily as simple as looking at who tops the table in incurring the most losses. As proven by the Wigan fiasco. Don't get me wrong, it's certainly an indicator, but in my opinion it's whether a club's owners have the means or drive to continue pumping tens of millions per year into what is effectively a giant blender for cash especially when income is reduced, a sufficient bailout is looking increasingly less likely and crowds aren't likely to return in full this season. Perhaps more crucially, it's also dependant on how Covid has affected their businesses/personal wealth.
 
Last edited: Nov 9, 2020

Offhegoes

Well-Known Member
  • Nov 9, 2020
  • #31
If the Warwick University stadium plan comes through, we would suddenly be a more attractive club for investors, but until that time I can't see it. I've seen enough this season to think we can compete with the current squad. Keep ourselves in the Championship, and maybe at some point we will finally have our own ground again in Coventry.
 
M

Magwitch

Well-Known Member
  • Nov 9, 2020
  • #32
Offhegoes said:
If the Warwick University stadium plan comes through, we would suddenly be a more attractive club for investors, but until that time I can't see it. I've seen enough this season to think we can compete with the current squad. Keep ourselves in the Championship, and maybe at some point we will finally have our own ground again in Coventry.
Click to expand...
By the time that comes through which in my opinion is a pipe dream we might not exist. This stadium fiasco won’t go on forever
 
S

SBT

Well-Known Member
  • Nov 9, 2020
  • #33
Offhegoes said:
If the Warwick University stadium plan comes through, we would suddenly be a more attractive club for investors, but until that time I can't see it. I've seen enough this season to think we can compete with the current squad. Keep ourselves in the Championship, and maybe at some point we will finally have our own ground again in Coventry.
Click to expand...

111 days and counting since the last (and first!) update on the new stadium
 
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robbiekeane

Well-Known Member
  • Nov 9, 2020
  • #34
So what can new owners do today under the FFP rules? Can derby splash millions and millions or will they be penalised for that?
 
L

Legia Sky Blue

Well-Known Member
  • Nov 10, 2020
  • #35
robbiekeane said:
So what can new owners do today under the FFP rules? Can derby splash millions and millions or will they be penalised for that?
Click to expand...

Their owner will probably buy their training ground for £100m!!
 
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