12 point deduction or pay Smurthwaite's ransom?

[Class personified]

The options are:

 

Buy out the club and ground cost around £5 million. Does the buyer then have anything left to run the club?

 

Buy out the club and pay rent to Smurf for the use of the ground. No idea of the value of the club nor the rental value. But presumably this would leave more money in the pot in the short term to run the club. Smurf is the happy landlord.

 

Buy out the club but become tenant of a ground nearby. Might be the same cost as per above but Smurf will be minus the rent and out of our lives. I suspect Smurf can take the hit though.

 

All the above put in place before the deadline.

 

Post deadline: buy the club on the cheap in administration, take the 12 point deduction and either rent from Smurf or someone else. If we are in that position I’d go for ‘someone else ‘. Probably end up in the Conference but we can rebuild. Smurf further out of pocket but again can take the hit.

 

Or we go under and resurrect ourselves as Port Vale 2019 and start again. Other clubs have done it so can we. I live in Sheffield and my brother in Stockport. We would be there.

 

The one I think will happen is the 12 point deduction and perhaps playing away from Vale Park. I can take that and the hardcore Vale fans can as well. But we will have our club back.

[PVFC86]

Nobody will buy Port Vale without the Ground. It's worthless without it.

[Howjy04]

Actually a 12 point deduction is at the discretion of the EFL as in the case of Brum who only got a 9 point deduction instead of 15.

When the accounts are published at the end of this month he will have a problem saying the club is insolvent and what has happened to the Hugill money.

Surely HMRC will be very interested in his money laundering between his different companies.

 

Ernie,be careful what you are writing.

[mikey]

The options are:

 

The one I think will happen is the 12 point deduction and perhaps playing away from Vale Park. I can take that and the hardcore Vale fans can as well. But we will have our club back.

 

I would be happy with that, although the local non-league grounds may be too small?

[Jacko51]

450k was the figure required that he quoted for 3 summer months in addition to other income.That probably covers players wages.Other income would cover the rest of the staffs wages.He did say the club made money one year and that was shown in the accounts.This included the Hughill money,even though it hadn’t been all received.It looks like cards on the table now Jean.He sounded serious on the radio.Admin will kill us.We need a buyer quickly,even then is there enough time?6

/7 weeks.

 

As I said, though, why does any club budget to spread its annual income over 9 months and not 12? Why would a club draw up it's financial plans so that all it's income is spent in 9 months leaving 3 months unfinanced? It sounds like ludicrous business practice to me?

[valefan16]

I would be happy with that, although the local non-league grounds may be too small?

 

Burton or Macclesfield would be the most realistic options, EFL standard grounds, not likely to go Stoke or Crewe due to rivalry although as much as people wouldn’t like it Stoke keeps us in the City!

 

The non league grounds are too small unless we could put Gillingham away end style stands up!

[Loggerheads Sage]

Burton or Macclesfield would be the most realistic options, EFL standard grounds, not likely to go Stoke or Crewe due to rivalry although as much as people wouldn’t like it Stoke keeps us in the City!

 

The non league grounds are too small unless we could put Gillingham away end style stands up!

 

You are correct, people saying play at Leek, we couldn't - nowhere near EFL standards. Would Stoke even LET us play there? Serious doubts. Did i read that Coventry had to find a ground within 6 miles of the city - or am i imagining that? Might have to rent off the creature for a while.

[darren1810]

If the worst came to the worst I for one hope the aforementioned Bob Young is nowhere near the negotiations.

First Ryder now this clown.

 

Due diligence my bottom.

[the valiant]

Hope we can sort this by the 5th we can have one he'll of a party if sh--waite is gone

[TJHValiant]

I’m a bit more optimistic. Smurfwaite wants to go. He will go. He is simply putting pressure on the buyers to hurry up.

 

I hope.

[Howjy04]

As I said, though, why does any club budget to spread its annual income over 9 months and not 12? Why would a club draw up it's financial plans so that all it's income is spent in 9 months leaving 3 months unfinanced? It sounds like ludicrous business practice to me?

 

I don’t think we can go back to 1/2 wages in the Summer months.It appears a strange way of doing things.Do you think that he meant the 450k had to found after May ,when he goes,and not in previous years?or has that been the case every year?

[Jacko51]

I don’t think we can go back to 1/2 wages in the Summer months.It appears a strange way of doing things.Do you think that he meant the 450k had to found after May ,when he goes,and not in previous years?or has that been the case every year?

 

He implied he did it every year. But it's madness. If, for example, you know that your income for the year is projected to be £3 million, do you spend it all between August and May or do you budget to spend £250,000 a month during the whole 12 months? I can't see the logic of what he is saying? Can an accountant help me please?

[wwindsor]

It would not be this season. We would start next season on - 12

 

Not sure if its next season the two relegated clubs could appeal to the fa/efl and get the points deduction applied this season as to replace one of them, not to sure about this but I'm sure I read something similar a while back..

[onestepatatime]

He implied he did it every year. But it's madness. If, for example, you know that your income for the year is projected to be £3 million, do you spend it all between August and May or do you budget to spend £250,000 a month during the whole 12 months? I can't see the logic of what he is saying? Can an accountant help me please?

I think it's a psychiatrist that's needed Jean, not an accountant, to understand his ramblings.

[Fosse69]

As I said, though, why does any club budget to spread its annual income over 9 months and not 12? Why would a club draw up it's financial plans so that all it's income is spent in 9 months leaving 3 months unfinanced? It sounds like ludicrous business practice to me?

Club chairman thinking from the 50s, there were few season tickets, so the main income was during the season. Players on summer wages also reduced the cash needs during the close season. Lots of businesses have uneven cash flows, don't see the problem.