EPL owner financing from 2016-20

San Francisco 49ers TYFYS

Kroenkes


Wish unspeakable pain upon Stan. fricking cünt

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It’s awesome we are so self sufficient that the owners take money out of the club instead of paying off the debt they put on the club

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It’s so wild

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Is it really though?

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He’s fricking around Bruv! He’s being sarcastic
Jesus

There’s no way that Spurs number is only £30 million….

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It’s awesome we are so self sufficient that the owners take money out of the club instead of paying off the debt they put on the club

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The decision to accrue debt and spit out dividends would only impact the club if insolvency concerns were present. The Glazers will get dinged for whatever debt's on the books when they exit the investment. "The club" in your quote in reality is "The Glazers."

They should be dinged for punting on Old Trafford upgrades but the conventional wisdom that the owners of team with the highest wage bill in the EPL BY FAR that constantly overpays in the transfer market is milking the club of its worth is just not accurate. The only difference between United and the clubs above them in that chart is that the Glazers are so greedy that they explicitly want more of their investment monetized (via dividends) before Sale instead of waiting for it all in one go. That's it.

The club's in the middle of a league title drought due to organizational and personnel failings (replacing football people/sport club organizational design with non-football people/commercial emphasis), not because of the capital structure the Glazers prefer for their investment.

Oh naw, hell naw

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Not true since they leveraged the club to take out loans to buy the club. The debt is not on the Glazers. Its on United's books and that is public record. No person in their right mind would put 700 million in debt on themselves to purchase a football club.

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Yes, the debt is on the books of United as with the operating entity of any LBO, but with a healthy solvency position, when the Glazers exit so too does the debt. Their available sale proceeds get $-for-$ deducted by the debt balance as the buyer retires the existing debt. The Glazers would also get $-for-$ credit for any Cash on the books - so if the Glazers didn't take out dividends as in the green line in the above chart, they would just get that cash added to their sale proceeds. Again, with no insolvency concerns, debt and equity (dividend) decisions do not impact the club. They're a matter of Glazer preference.

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It the debt rested on the Glazers you wouldn't see these protest.

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How many of the protestors frustrated with the current $x debt balance are aware that the Glazers will earn $x less of sale proceeds as the outstanding debt of the club is retired in the closing wires? Protestors aren't dumb for not understanding higher finance, but the debt/dividends are a distractor - it does not impact the current performance/viability of the team and it is not going to exceed the Glazers' lifespan as owners.

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Thats the Glazers fault

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My OP wasn't a defend the Glazers post. It ended on that note to highlight that organizational decisions have destroyed the team's chance at trophies, not financial items.

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Just throwing the clubs money at players without investing in the proper ground work ends up costing the club more money in the long run.

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This is a microcosm - spending a lot of money inefficiently is not a shortcoming of providing the financial resources needed. It actually serves to better destroy the "Glazers are cheap" arguments.

Management/organizational issues above all.

Definitely not trying to rustle, it's extremely technical stuff and we're on the same side. It's just not one of the prongs the Glazers should be stabbed with and distracting from far more obvious actual shortcomings.

The original chart is pretty useless in general. No adjustments/context for differences in club size, profitability, ownership investment horizon, etc.

It's not over his or anyone's head, humans are at the mercy of a media that has no interest in correcting records or providing context if it goes against prevailing sentiment.