[Archived] Venkys London Ltd Accounts

[Dunnfc]

There must be a period of grace in place for relegated clubs in relation to the 60% of turnover on wages cap in place. There's no way Bolton are within that with Vela, Clough, Spearing etc. and no parachute cash.

There is,

Relegated clubs

The rules apply to all clubs and there is no moratorium for clubs relegated from the Championship. However, Transitional Arrangements are in place whereby clubs are allowed to exclude the wage costs of all players that the club signed pre September of the relegation season, if they were signed on contracts in excess of 3 seasons.

Turnover definition

Under the SCMP rules, the definition of 'Turnover' is particularly important as Turnover is used to determine the maximum wage-spend. Within a traditional accounting perspective, there are usually only three elements of turnover:

• Match-day Income
• Commercial Income (such as sponsorship)
• TV revenue (and any 'merit payments' based on league position)

Only Mulgrew got a 3 year so it's not in excess.

Graham got two.

Therefore all the squad will come under the rule.

[Silas]

Only joint second place for Deasi ,the Rao's and their project partners in the worst ownership survey, bet they are gutted

http://www.againstleague3.co.uk/al3-club-ownership-survey-the-results/

"At Blackburn...........the club looks destined for relegation to League 2."

Steady on, things aren't that bad......................yet.

Who am I kidding, they're maybe just making an early prediction for summer next year.

[tomphil]

There was a post on another site a while back from a guy who claimed he used to work for a large accountancy firm who used to do work for Rovers. This guy, a non Rovers fan claimed Vs pay all Rovers regular bills like player wages, staff and general stuff direct from India on time every time and he'd never heard of a problem in that area. It also said all income goes back to them to offset this and any hole in it is in their main company books. Transfers and such like were a different area though.

Trying to dig it out again but it was around the last time rumours of bills not being paid was floating around. Probably fits into the whole scheme of things and if the main company stands the wages etc i doubt they've any need to let go or not pay them but it must be a real drain. A nice loss leader though maybe for tax purposes.

This was a good 12 months or so ago though so things might have changed as it certainly seems to have had to pay it's own way for the last year or so unless they are bleeding back what they can before it's cut adrift.

[JHRover]

There was a post on another site a while back from a guy who claimed he used to work for a large accountancy firm who used to do work for Rovers. This guy, a non Rovers fan claimed Vs pay all Rovers regular bills like player wages, staff and general stuff direct from India on time every time and he'd never heard of a problem in that area. It also said all income goes back to them to offset this and any hole in it is in their main company books. Transfers and such like were a different area though.

Trying to dig it out again but it was around the last time rumours of bills not being paid was floating around. Probably fits into the whole scheme of things and if the main company stands the wages etc i doubt they've any need to let go or not pay them but it must be a real drain. A nice loss leader though maybe for tax purposes.

This was a good 12 months or so ago though so things might have changed as it certainly seems to have had to pay it's own way for the last year or so unless they are bleeding back what they can before it's cut adrift.

When you assess our transfer fees paid over the last few years this makes sense. It seems the bills, wages, general running costs, honouring contracts etc. are all absorbed into the costs of the operation and paid through the Bank of India.

However, when it comes to a transfer fee there is greater difficulty. Even in the early days under Kean it was left until the 11th hour before any cash was released for transfers. Then when we got relegated they allowed Shebby loose with the parachute cash and he used it all up.

Since they got rid of Singh transfer fees have been at a bare minimum. Bowyer was able to spend a million or so over a couple of years on new players, but that was only because he had the sense to go direct to Desai from the off and get on the right side of her and she seemingly allowed him to invest some of her money on the expectation that these players would grow in value, as most of them did.

Then since Desai's apparent step back away from it and allegedly Balaji and his cronies are calling the shots the days of any cash signings have gone again. Perhaps the shareholders in the parent company aren't too keen on additional funds being used to spend on transfer fees and just want to do the minimum to ensure the operation continues to exist.

[tomphil]

It also tallies with the theory of they've only ever spent what has been recouped in fees. That must have been around equal after Bowyers little flutter and things dried up since then so there maybe was a little surplus and that was the only reason he was allowed to spend.

Since then of course 30 million has come in and it's either Vs profit on overall transfers which they are squirreling away or it's debt repayment. Never much sign of the latter in the books though.

[McClarky]

Don't think we should get too excited about the ramblings of a pair of plant pots like Coyle and Marshall.

[Dunnfc]

Rumors on twitter of administration next week, quite a few tweets in the #VenkysOut thread/feed thingy.

[yoda]

Just now, Dunnfc said:

Rumors on twitter of administration next week, quite a few tweets in the #VenkysOut thread/feed thingy.

Can't see them !

[Dunnfc]

Just now, yoda said:

Can't see them !

 

[yoda]

Just now, Dunnfc said:

 

Ah!, didn't look back that far, maybe the cup draw will postpone it for a couple of weeks

[Spalding Rover]

Can dream, but should think it will be put of till after Man u comes to town,

Think of the party they could be having with marshalls money

[Amo]

Probably more unsubstantiated tittle-tattle on FB. We can't be that lucky.

Wishing for administration... Look what we've been reduced to.

[MarkBRFC]

I'm calling that nonsense, venkys will never allow us to go into admin.

[Stuart]

6 minutes ago, Dunnfc said:

 

Timing wise you could see it happening just after the window closing. Wasn't Coyle quoted as saying 'the players hear things but have to get on with what they can influence on the pitch', or words to that effect? Add in the fact there is no money left and it'll be a massive gap to plug in the Summer, and Paul Senior seemingly having a remit of selling and not loaning replacements.

Doesn't look good but at the same time we've no clue how they will react. We've been here before.

One thing is for sure, a 10 point deduction right now equals relegation.

[Leonard Venkhater]

Just now, Stuart said:

Timing wise you could see it happening just after the window closing. Wasn't Coyle quoted as saying 'the players hear things but have to get on with what they can influence on the pitch', or words to that effect? Add in the fact there is no money left and it'll be a massive gap to plug in the Summer, and Paul Senior seemingly having a remit of selling and not loaning replacements.

Doesn't look good but at the same time we've no clue how they will react. We've been here before.

One thing is for sure, a 10 point deduction right now equals relegation.

I know, Stuart, but for me this was on the cards in the summer. Court/ embrace/accept/risk/ design( pick your own verb) relegation.Squeeze the orange dry, then set up administration-hopefully-in time to get the points deduction this year..

[tomphil]

Whilst it wouldn't surprise me at all i just can't see it yet. If someone was after money either debtors or Vs they'd get half the squad through the door for a few quid first.

[Dunnfc]

Either way i need to find a pub prepared for standby so we can get a party potentially arranged. I will need a few days of work to recover from this one.

My guess has always been throughout this season, March being administration. 

Looks like Mike Chezza sold the last jewells (Hanley & Duffy) for working capital and has made a mistake adding up hence Senior here to shift what he can to squeeze the last pips.

[Stuart]

Just now, tomphil said:

Whilst it wouldn't surprise me at all i just can't see it yet. If someone was after money either debtors or Vs they'd get half the squad through the door for a few quid first.

Not an awful lot left to get through the door... (years left come the Summer in brackets).

Steele (1)

Raya (1)

Ward (1)

Williams (2)

Mulgrew (2)

Lenihan (2)

Evans (2)

Bennett (1)

Conway (1)

Feeney (1)

Graham (1)

Stokes (2)

[tomphil]

Money is money though and if they offered a few of those about for 250-500k there'd be a few takers i reckon. Soon rake in a million quid.

[Rover_Shaun]

Crap. Wrong place. Getting to grips with the painfully klunky new messageboard

[Mr. E]

for must clubs administration would be a disaster, for us....well, still a disaster, but if it means we are no longer owned by the Venkys, it would be like finally being allowed to breathe oxygen. I would take that any day.

[funny-old-game]

Just now, Mr. E said:

for must clubs administration would be a disaster, for us....well, still a disaster, but if it means we are no longer owned by the Venkys, it would be like finally being allowed to breathe oxygen. I would take that any day.

Amen to that.

[yoda]

Just now, funny-old-game said:

Amen to that.

They could buy us from the administrators using a different entity.

Maybe the real reason we have not entered admin is conflict between the names on the door and the real owners

[Lancaster Rover]

If we were about to go into admin that would be admittance that we cannot pay wages, the PFA would have to be notified which would trigger a transfer embargo. Whilst the EFL are allowing us to bring players in I think admin is a way off.

[rigger]

38 minutes ago, Lancaster Rover said:

If we were about to go into admin that would be admittance that we cannot pay wages, the PFA would have to be notified which would trigger a transfer embargo. Whilst the EFL are allowing us to bring players in I think admin is a way off.

Who are you to come on here with sensible arguments?