Comment on Past the Event Horizon by Not The Huddle Malcontent.
Would be a good day to announce administration for sevco!
Then again…..any day would be good for that
Merry christmas everyone
Past the Event Horizon
PhilMacGiollaBhain says: (194)
December 22, 2013 at 10:20 pm
43 1 Rate This
Tif Finn says: (1049)
December 22, 2013 at 10:14 pm
I think it is HIGHLY significant that RIFC/Sevco has not been able to secure a line of credit from a bank.
That tells you so much about how their sustainability as a business is viewed.
We are all well versed here that a sustainable football business IS possible at Ibrox.
However they must live within their means (gasp) and that will entail-finally-someone leveling with the fans.
I have to disagree with that….i think it is impossible to see how they can live within their means.
Sure, they can cut costs significantly – offload Murray park, cut squad size and salary, reduce directors salaries/bonus’s – looks easy on paper, but getting rid of Murray Park itself won’t be easy. Building houses is a no no there, so who is picking up large empty areas of flat land?
maybe a deal can be done with their rugby playing neighbours to move onto the site (allowing them to sell their own site which will get permission for housing) but who else is likely to pick it up? So, they could actually be stuck with it. I guess they could shut it down and mothball it for a few years and go back to running up and down the sands at Gullane beach.
Cutting the player wage bill won’t be easy….these guys signed on for the long haul and “the journey” they expect to see wages rise year on year as they climb the leagues – they won’t be easily released without a pay off. They are NOT going to receive a transfer fee for players at the current level, if they do, it will be in the 50-100k range. The players won’t want to leave lucrative contracts behind either – so they could be stuck with them for another 2/3 years.
Directors salaries could be cut easily enough but further costs are going to be hard to cut – police, stewards, catering staff, ticket office staff will remain constant so long as crowd sizes do. Rates bill will rise slightly as the level of competition they are playing in increases (they got a big cut when they entered SFL3 after the previous occupants of Ibrox having played in the SPL) Gas/electricity/phone bills remain constant, transport costs constant
Simply enough, there isn’t much to cut away – unless you are looking at closing a stand and having part time football players….which in turn means reduced income and hence further costs required.
I don’t see a sustainable business model – their costs are too high for the income they can generate. Unless the fans bite a 100% increase in season ticket cash and are prepared to watch a mid table team – then the spiral will begin.
Alternatively, someone is going to have to take a leap of faith, put £15M in the pot, carry out severe wage cuts/playing staff cuts, bump up the prices, renegotiate the catering/merchandise deals and hope the fans remain loyal until the manager can overcome the on field issues and get into the CL – when they’ll get their money back
then, and only if the manager can repeat it year on year, can they think about increasing the squad budget to something comparible to Celtics
and theres the problem, they might manage a 1 off, rise above the rest – but maintaining that is the problem, the good players will be bought/leave, the replacements won’t be up to the standard and other teams will invest in their own squad.
I am not convinced it is a sustainable model – someone needs to pour cash in for no return. That simple.
Past the Event Horizon
so, banning people carrying flags as they can be used to smuggle pyros……..talk about throwing the bairn out with the bathwater
why not simply move in and arrest anyone who lets of a pyro/smokebomb? it’s not like it’s impossible to see where it came from
I understand flags/bags are checked before entry to the ground – so, just check them.
the clubs are starting to regard fans as a hindrance – they better be careful for what they wish for.
Past the Event Horizon
I doubt Wallace is on anything greater than £10k a week, in fact i’d say he’s likely to be on something like £5-7.5k a week
That wage ensures he isn’t going to any other club in Scotland (even if they would pay a transfer fee to Sevco)
But if they do get a bid – be it £500k or £5M (i know, shhh, stop laughing) his wages would be a small saving in the great scheme of things – only £200k saved until the end of the season (and Brian Stockbridge will be returning that sum)
Given that they are losing £1M a month, then his departure won’t buy then any more than a month – unless some idiot does offer £5M (is souness working these days?)
The entire WAGE bill is £7M per annum for the team. They would need to sell EVERY player in order to stop the losses between now and the end of the season
Why We Need to Change
This one AmFearLiathMòr?
Beadie v Aberdeen
(By outside the D, do you mean inside the penalty box?!! )
Why We Need to Change
I see the subject of Gate Sharing raised it’s head again in the last few days….great topic.
I seem to remember one of the Jambo boys doing a great analysis of this back in RTC days
I think we need to establish what we are hoping to achieve by going down a “gate sharing” route.
It’s easy to say we are spreading/equalising the income for clubs and levelling the playing field, but it’s not that straight forward
Some clubs like St J, Hibs, Celtic (and increasingly many others in the modern scottish game) are run responsibly and will pay off debts, balance the books, improve infrastructure whilst some other clubs are absolute basket cases and will blow it on buying any passing player who will prop them up for a few months (yes Sevco, you!!!)
So, guidance needs to be put in place
I suggest we want clubs to target the following criteria (for example only – i haven’t thought this through entirely)
1. Financial stability – adopting some form of FFP model where clubs must, on the whole, break even – something like break even over a 3 season period – allowing an overspend one year to be balanced out in subsequent years, strict controls on wage to turnover ratios, maybe even a wage cap based on turnover
2. Player development – clubs should be encouraged to develop their own youth players…ideally scottish players, but in reality it doesn’t matter, if they can scout, sign and develop a 14-17 year old Bulgarian who comes through into the 1st team, then fine. But, the pathway should be for youngsters coming through the ranks and into the 1st team rather than the previously flawed models of trying to buy players in (which is a much rarer event outwith Celtic these days) or paying over the jobs for journeymen players looking for a payday.
Following on from that though, for the benefit of the domestic game, i think clubs should also be rewarded for playing domestic reared players – i.e. keeping talent developed in scotland in scotland.
3. Finally, clubs should be rewarded based on their on field performance.
now that we have established some loose criteria for what we need clubs to do to be successful and therefore rewarded with real cash money, we need to find that money.
The subject of gate sharing is a hard one for fans to swallow, but it is undeniable that the scottish game was mush more competitive when gates were shared.
So, lets not start there, lets start with UEFA money!
Celtic get approx £20M for reaching the CL group stages. Alone, that far outstrips the income of many clubs, so why not “tax” it.
Lets take 50% of all UEFA monies and through it into a “prie pot” (Europa monies will go into the prize pot too, i’m not suggesting just Celtic fund this)
Then, lets put a “tax” on transfers – say 10% of all transfer fees received goes into the prize pot.
Then onto the subject of “gate sharing” Instead of splitting the gate 50/50 with the opponent on the day, I suggest we start more modestly. in the 1st year, lets take 10% of the ticket income for the year (ST’s or walk up) and throw that into the prize pot as well. it can be ramped up to 50% over a number of seasons.
Into the prize pot goes all the other commercial income generated by the league – TV, sponsorship deals etc.
that then gives us a big pot of cash
That can then be divided up based on the earlier criteria – run a tight financial ship, bring through a lot of youngsters and play a lot of scottish players and do well in the league and you could get more than the team that wins the league but had huge debts, no youth players and full of foreigners.
Over a period of 10 years, this would hugely level the playing field in Scotland, we’d see much more competition, we should see more stability at clubs as they manage finances better and we should hopefully see a lot more youngsters come through – and reach the quality that is needed to improve the quality of the game overall.
Anyway, that is my thoughts on the subject (and i guess that is why my name was not mentioned in the list of posters that were missed!!)
Why We Need to Change
“He latest post suggests that 30,000 STs will bring in a modest £5.4M after deduction of VAT. That would mean an average £180 per ST.”
naw, 30k tickets at £225, less 20% VAT = 5.4M
I guess you have to factor in the number of concession tickets into that equation….that will severely hamper the ave ticket price.
Pretty sure from last accounts the ave st price was about £225 – so, i’d expect it to be 5% higher this year as they stated (4% after VAT!)
Why We Need to Change
Hola SFM community
1st off, I applaud and welcome moves by Big Pink to grow the blog/forum and it’s influence. You have to keep moving forward or die.
Having said that, i think you may be over reaching with such a broad remit.
Football is the worlds biggest sport and you will have a huge potential audience sticking to it.
it’s what all the current contributors know and love and talk about, and it would be easier to expand the forum to capture similar fans and fans concerns about the game by reaching out with a English FM, Welsh FM, Irish FM and Northern Irish FM.
From there, the topics of UEFA, FIFA and comps like WCs, Euro championships, qualifiers and even global rules changes can be discussed and moaned over….such as the controversial “tv evidence” debate and the more controversial “UEFA CL” money/allocation of places/seedings debates.
Then you could look to going truly international on football – sticking to the sport we all know and love
Or you could look to go into other UK & Ireland based sports – sticking to the “domestic” audience (i am expecting a few complaints from Irish for being lumped in with the UK there!)
Either way, once you had proven that you could 1st of all expand the remit from Scottish to UK/Irish football, you could then push to expand and repeat the process again.
Small, organic steps, learning as you go. I am sure this would bring in reasonable income through sponsorship/subscriptions/advertisement.
(buy hey, it’s your ball, your vision, i am just giving you my thoughts and you can take them on board or push on with your own plans)
Eventually, i think you could reach your aims of international/independent sports fair play watch dog/sounding board/rallying point for action.
As for going forward, I think your radio show should do a daily/weekly round up of “what the papers said”
Basically taking the main stories from the MSM and tearing it to shreds….invite the writers of the articles in to defend themselves, contact the clubs/players/agents/authorities involved and ask them for a comment on the article and on TSFM’s analysis of the puff piece and set up weekly polls asking fans of all clubs to give their feedback on the story/analysis to show how fans are displeased with the sports coverage we are getting.
you could also have (less frequent) analysis of punishments handed out by the authorities – and compare/contrast the punishments/circumstances handed out by the same and other governing bodies. This could be sent onto the national associations and uefa/fifa for their comment.
Also, if you really want to move forward, i honestly believe the format of the forum needs to change into a more traditional forum format with a thread for each topic/blog and comments related to the blog compartmentalised within it – it would allow a greater number of threads to be discussed simultaneously and interested parties to follow the blog/topic of their interest.
Lastly, apologies for being a random reader/contributor the past 16 months, the arrival of number 2 child has brought it’s own challenges on my free time and i find twitter makes it easier for me to keep up to date on the latest shenanigans, even if it does mean i miss out on the great detailed analysis/opinion this site carries on the subject matter.
Whatever way you go, good luck.
(EDIT to add – only 4 comments? WTF? I assume my history has been wiped due to inactivity at some point!! oh well.)
Did Stewart Regan Ken Then Wit We Ken Noo?
April 19, 2015 at 3:10 pm
Not The Huddle Malcontent says:
April 19, 2015 at 11:24 am
Then, there would be the ability to see all 90 mins of every game on delayed transmission for something like £30 a month.
Sorry, but unless you were covering all of scottish sport not just football that would be utter s@#t value for money. Sky sports packages range from £20-30 per month giving you lots of channels with different sports. Setanta struggled at £10 per month and that included Dutch league football. How could you possibly justify £30 per month for delayed streaming twice a week for only scottish matches ?
Quick look at the sky website tells me the cost of sky sports will be £47 a month
Ok, maybe £30 a month is too steep for just the Scottish game – but for that price, there is no reason why they could not also buy rights for other countries games/sports too. Or even still, reduce it to say £20 a month.
As the only outlet to watch Scottish games, i’m sure it’ll be OK7
As for Setanta, i believe they were doing fine until they went toe to toe with Sky and started buying up EPL rights and games for England internationals. It was that overspend and the comparative lack of subscribers that done for them.