Our debt

How much of our £800,000 loss each season is down to paying off ex players and managers, ?

My thinking is, if a good proportion of our debt is down to paying off past employees,

Maybe in a season or two with no other additions to that list,

It might that be too difficult to break even,

Then we will not have to rely on any new chairman to fund the losses,

Does anybody have a clue. ?

i'd check the accounts and ask our (former) illustrious chairman for a breakdown of costs but the s.n.o.s. have taken the accounts off the 'net

Quoted Text

Does anybody have a clue.

There is no doubt paying off staff is an expensive waste of money.

However, it goes deeper than that. Basically the fixed costs of the club have to be recovered across the season. And most of that comes from attendances and to an extent TV rights, plus some contribution from other commercial activities. (Inevitably the income is all relative to the success, or lack of it, on the field).

Roigh and mean, given the level of fixed costs plus the marginal cost of staging a home game, less income from other activities, means the club needs an average gate (including season tickets) of around 3500 just to have a chance of breaking even.

That's why JF keeps banging on about an "anchor tennant" - he wants someone to help "pay the rent" and contibute to the fixed costs to reduce the burden on the club, leaving more money for on field activities.

Falling attendances spell disaster for the club and put more pressure on the directors to fund the shortfall.

Hope that helps

Great Question

Does anybody have a clue. ?[/quote]

Quoted from thebigeasy

There is no doubt paying off staff is an expensive waste of money.

However, it goes deeper than that. Basically the fixed costs of the club have to be recovered across the season. And most of that comes from attendances and to an extent TV rights, plus some contribution from other commercial activities. (Inevitably the income is all relative to the success, or lack of it, on the field).

Roigh and mean, given the level of fixed costs plus the marginal cost of staging a home game, less income from other activities, means the club needs an average gate (including season tickets) of around 3500 just to have a chance of breaking even.

That's why JF keeps banging on about an "anchor tennant" - he wants someone to help "pay the rent" and contibute to the fixed costs to reduce the burden on the club, leaving more money for on field activities.

Falling attendances spell disaster for the club and put more pressure on the directors to fund the shortfall.

Hope that helps

Thanks for that.