"Fit-and-proper-person" Test?

[pjg1876]

http://www.coventrytelegraph.net/sport/football/football-news/football-league-consider-new-rules-13007082

 

Appropriate timing

[CambridgeDon]

I think club owners should have to give a Directors Guarantee (poss to FA), yes this negates the limited to which the company trades but would make them personally accountable for debt helping make sure they run the club in a fit and proper way.

 

 

This was given a good airing on Sky Sports Special a couple of weeks ago in a discussion about Orient. All the commentators on the panel (four former pro's) were in favour because it would act as a financial disincentive to any potential owner to know that they would have to pay up front for any reckless or incompetent behaviour that resulted in the company going bust. Good idea if you ask me - it would certainly focus a few minds as well as help protect the clubs.

[Paul6754]

Something needs to be done. Something along the lines of "Any money an Owner/Director puts into a club is gone and is not refundable at any time is worth considering although I don't know how this fits in with usual business practice. This would sort the wheat out from the chaff.

 

It is one thing to be incompetent and take the hit but toatally different to be incompetent and expect others to pick up the tab.

[elav trop 1876]

This was given a good airing on Sky Sports Special a couple of weeks ago in a discussion about Orient. All the commentators on the panel (four former pro's) were in favour because it would act as a financial disincentive to any potential owner to know that they would have to pay up front for any reckless or incompetent behaviour that resulted in the company going bust. Good idea if you ask me - it would certainly focus a few minds as well as help protect the clubs.

 

Didnt know much about Director Guarantee until i had a customer in manchester a good few years ago that always was late paying but wanted the product i represented , my boss told me to close the account due to continual late payment and probable risk (reducing the credit limited would have meant stifling the sales as well pro-forma) so he came out with he would only deal on this basis as they were personally responsible for any monies should they go bump- tough sell but got there in the end.

 

If all owners have to sign a declaration to personally cover any debt in their agreement with the FA it might make them think twice although i'm sure there would be a loophole somewhere