Colin Steins Smile
Well-Known Member
For what it's worth here's my analysis on the current environment surrounding our club and who are losing out?
I understand the strength of feeling about the fact our club should be playing in Coventry and I was one of those that felt SISU was a plague on our club and swore never to attend home games, whilst they were owners. However, seeing the development of playing side of the club over the past few seasons. I relented and became a season ticket holder again to back MR and the team
I feel for the supporters who stuck to their principles and avoided attending St.Andrews last season, missing out on a great experience of seeing a young, skilful and committed team play.
My reasoning for returning to the "fold" as a season ticket holder was that whatever I did would not affect SISU, as they are running the club on a [roughly] cost neutral basis. I appreciate that the accounts will show an interest charge against the club, but this is not being realised and seems to stay on the balance sheet.
Therefore, if MR and his team are to prosper then every pound spent, on home tickets by supporters, gives him a better chance of achieving his goals. If this was the case, then the prospects of SISU selling up and departing are increased, as their mode of operation is investing in businesses to add value, cut costs and sell on. If the club fails to hold it's own in the Championship and starts falling back towards the lower divisions again. Then it's far more likely that SISU will remain owners, as there is no prospect to sell the club on at a price for them to recoup their investment. Remember, it's only a couple of years that the club was one step away from the National League, rather than the Premier League.
In respect to the Ricoh Arena, which was built with the aim of helping the regeneration of that area of our city. This has stalled, due to lack of investment and Coventry City Councils aims are not being fulfilled. The value of a Championship and ....dare I say a Premier League team playing at the Ricoh is worth many millions of pounds per annum and generates significant secondary spend for SME's in the area.
Therefore, IF, the suggestion that CCC was the third party on insisting in an indemnity clause. This is tantamount "to shooting yourself in the foot", as it undermines the strategic plan for the City and prosperity of it's residents, through employment opportunities and direct and indirect revenues from other businesses being attracted to develop the grounds surrounding the arena.
As for Wasps, who are clearly CCC's preferred partner in this debacle. Then agains the backdrop of a business plan that is not delivering the revenues that they projected. The decision the failure to achieve an agreement with CCFC is another blow to them reaching financial sustainability and devalues the naming rights to the arena, further reducing the viability of the project.
In conclusion, I suggest that the losers in this debacle are:
1.Supporters who have missed out on games.
2. MR and his team who denied the funds to take us to the next level or hold our own in the Championship.
3. The residents of Coventry and Warwickshire, who are denied the facilities and job opportunities that a successful redevelopment around the Ricoh would generate.
4. The Council tax payers of Coventry, who would see a lot more investment in services if businesses were attracted to the area.
5. CCC who are allegedly putting barriers in the way of achieving the aims in their strategic plans for the City.
6. Wasps who need greater and more income streams.
The one stakeholder that is not being hit is SISU, in the short term, as they run the club on a cost neutral basis.
I understand the strength of feeling about the fact our club should be playing in Coventry and I was one of those that felt SISU was a plague on our club and swore never to attend home games, whilst they were owners. However, seeing the development of playing side of the club over the past few seasons. I relented and became a season ticket holder again to back MR and the team
I feel for the supporters who stuck to their principles and avoided attending St.Andrews last season, missing out on a great experience of seeing a young, skilful and committed team play.
My reasoning for returning to the "fold" as a season ticket holder was that whatever I did would not affect SISU, as they are running the club on a [roughly] cost neutral basis. I appreciate that the accounts will show an interest charge against the club, but this is not being realised and seems to stay on the balance sheet.
Therefore, if MR and his team are to prosper then every pound spent, on home tickets by supporters, gives him a better chance of achieving his goals. If this was the case, then the prospects of SISU selling up and departing are increased, as their mode of operation is investing in businesses to add value, cut costs and sell on. If the club fails to hold it's own in the Championship and starts falling back towards the lower divisions again. Then it's far more likely that SISU will remain owners, as there is no prospect to sell the club on at a price for them to recoup their investment. Remember, it's only a couple of years that the club was one step away from the National League, rather than the Premier League.
In respect to the Ricoh Arena, which was built with the aim of helping the regeneration of that area of our city. This has stalled, due to lack of investment and Coventry City Councils aims are not being fulfilled. The value of a Championship and ....dare I say a Premier League team playing at the Ricoh is worth many millions of pounds per annum and generates significant secondary spend for SME's in the area.
Therefore, IF, the suggestion that CCC was the third party on insisting in an indemnity clause. This is tantamount "to shooting yourself in the foot", as it undermines the strategic plan for the City and prosperity of it's residents, through employment opportunities and direct and indirect revenues from other businesses being attracted to develop the grounds surrounding the arena.
As for Wasps, who are clearly CCC's preferred partner in this debacle. Then agains the backdrop of a business plan that is not delivering the revenues that they projected. The decision the failure to achieve an agreement with CCFC is another blow to them reaching financial sustainability and devalues the naming rights to the arena, further reducing the viability of the project.
In conclusion, I suggest that the losers in this debacle are:
1.Supporters who have missed out on games.
2. MR and his team who denied the funds to take us to the next level or hold our own in the Championship.
3. The residents of Coventry and Warwickshire, who are denied the facilities and job opportunities that a successful redevelopment around the Ricoh would generate.
4. The Council tax payers of Coventry, who would see a lot more investment in services if businesses were attracted to the area.
5. CCC who are allegedly putting barriers in the way of achieving the aims in their strategic plans for the City.
6. Wasps who need greater and more income streams.
The one stakeholder that is not being hit is SISU, in the short term, as they run the club on a cost neutral basis.