SISU have not spent a penny of their own money, they have squandered £37 million of their clients money - this fact is what needs highlighting to the financial world. A £37 million loss, no plan to recover it let alone show a profit so would you want to be giving them your money to invest?
If they have its a very well kept secret and logically with the continuous cuts I cannot see one in place. The only realistic way to get that sort of money back quickly (and they are a hedge fund so everything is short term) is to be in the Premiership yet SISU seem to have misunderstood direction that was meant when they coined the term "get out of the Championship".
Everything about them is secretive though, so none of us know if they have a plan or not. I admit it looks like they don't but you don't get people to invest £37mill without previous history of successful investments and cash recovery.
SISU have not spent a penny of their own money, they have squandered £37 million of their clients money - this fact is what needs highlighting to the financial world. A £37 million loss, no plan to recover it let alone show a profit so would you want to be giving them your money to invest?
They obviously know how to make money or they wouldn't be in the business in the first place. Their mistake was obviously to presume that every business is the same and that's where they've been found out. They should have done more research before investing and trying to turn round a failing football club such as Coventry City.
Actually Colonel the evidence for the money being spent is sparse - last years accounts showed the losses to be around £20m now suddenly they are talking about £37 million yet they boasted about how the running costs had been slashed, maybe maths isn't their strong point - and they wonder why no one trusts them.
I'm not sure if there was an absence of a plan, but rather an absence of flexibility.
The plan to invest money in the front line, buying the top players from lower league clubs and (presumably) flipping them to reinvest in multiple players wasn't a bad one at all. It is the closest I can think of to an optimal strategy for a team without a genuine sugar daddy.
But there were unforseeables. Many have speculated, and I also think it's the case, that the global financial crisis of 2008 had a big effect. You can trace the expenditures up until that point - SISU were picking up the bill for ongoing losses, paying a hefty wage to a (then) reputable Chris Coleman, paying around £4m for players such as Eastwood, Westwood, Gunnarsson, Fox, Dann, upgrading Ryton, and so forth. But beyond the autumn of 2008, the time of the financial crash, you see a clear case of belt tightening. For example, Bell and McPake were brought in only after Borrowdale and Tabb had been sold.
Then there was the issue of not firing Chris Coleman, though whether that was because RR was too chummy or because they couldn't afford to pay off the contract is anyone's guess. Either way, those sorta things represent the big mistake - a lack of flexibility. You've got to back a plan like that to the hilt, see it through, be prepared to take more losses for a longer-term yield. But if the clients wanted to shut their pocket books then I guess that was their mistake to make.
Where I lose sympathy with Sisu though is the financial crash started in September 2007 with the collapse of Northern Rock. From that point on everyone could see a recession coming, everyone apart from Sisu that is.
Actually Colonel the evidence for the money being spent is sparse - last years accounts showed the losses to be around £20m now suddenly they are talking about £37 million yet they boasted about how the running costs had been slashed, maybe maths isn't their strong point - and they wonder why no one trusts them.
So we are bottom of the Championship because of bloody Lehman Brothers - Boo Lehman Out oh they've already gone. Anyone else we can blame rather than SISU? Bet its those pesky damn Greeks isn't it? Or maybe the Judahian Peoples Front?
Bewildering thing to say. Who was defending SISU?
I have my doubts about Uncle Joe.
The man who urged shareholders to surrender there certificates....the man who as recently ago as March said that '...in SISU, we are in safe hands...'....the man who was around when Richardson started to dig this hole for us....
I would like to ask the Orange Man MKII some questions about what he knows as to what has happened in the last 15 years, and what he has done to aid the situation...he seems to be the one constant....up RR arse one day, and now up Hoffman's....I hope he isn't just around for the freebies.....????
Uncle Joe is just out for himself as is Andy "the loser"Thorn.
Don't know Joe, but I used to be a member of the Premier Club at the much lamented Highfield Road - Joe used to spend the pre-match time, meeting and greeting the customers and generally playing the good host.
Now, if I'd been him, I'd have much preferred to spend that time sipping champagne far away from the "paying customers".
I can't see that he got much out of that for himself (except perhaps a sore jaw from smiling at people like me for a couple of hours) and I'm not aware that he's ever taken a salary from the club. So I'm not sure why you conclude that "he's just out for himself".
Don't know Joe, but I used to be a member of the Premier Club at the much lamented Highfield Road - Joe used to spend the pre-match time, meeting and greeting the customers and generally playing the good host.
Now, if I'd been him, I'd have much preferred to spend that time sipping champagne far away from the "paying customers".
I can't see that he got much out of that for himself (except perhaps a sore jaw from smiling at people like me for a couple of hours) and I'm not aware that he's ever taken a salary from the club. So I'm not sure why you conclude that "he's just out for himself".
How about free drinks and meals and expenses and loading over you.
How about free drinks and meals and expenses and loading over you.
Costs had to be controlled you cannot spend 120% of revenue on wages. That way lies total madness and carnage. It did for Leeds and will do for some other big clubs before long. There are simply not enough very rich idiots in the world! PUSB
You sound like George Osborne. It's not that simple in a business. This is not a household budget. If you cut investment you also cut income. We are in a downward spiral.
Did we need to get better value for money? Yes. Did we need to be careful about the contracts we gave out? Yes. Was there scope to cut admin costs? Probably. Will relegation add another £4-6m a year onto our losses, thereby wiping out all the work done in the last three years? Definitely.
SISU have looked at only one side of the balance sheet (expenditure) while paying no attention to the other (income), THAT way madness lies.
You sound like George Osborne. It's not that simple in a business. This is not a household budget. If you cut investment you also cut income. We are in a downward spiral.
Did we need to get better value for money? Yes. Did we need to be careful about the contracts we gave out? Yes. Was there scope to cut admin costs? Probably. Will relegation add another £4-6m a year onto our losses, thereby wiping out all the work done in the last three years? Definitely.
SISU have looked at only one side of the balance sheet (expenditure) while paying no attention to the other (income), THAT way madness lies.
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