Rudderless Ship

[blue]

Just a thought with reference to the current cash situation - it is not unusual for organisations who are going through some form of change of ownership to have restriction placed upon their outgoing Management (ie. the current Board) to not enter into any new liability or committmemt that would have a significant, negative bearing upon the businesses cash flow situation whether current or future.

Look at it in this way, if due dilligence was performed on a set of books & legal records and then the organisation makes new committments after the dilligence is performed - then would you not have to perform due dilligence on all new committments all over again?

As a result, the Club is currently unable to make any significant decisions without express permission from all interested parties (that is until a deal is done or the interested parties fail to make an offer by a given deadline) - given the length of time it would take to gain this permission (not to mention the legal costs) most organisations don't engage.

As the situation stands - IMO we are like a rudderless ship being unable to make everyday decisions on transfers and loans that other clubs do make. The longer the MM stuff drags out the longer the Board and RK is bound by these rules.

No one as said that the cash was not available at the club - I would hazard a guess that its just that RK has not been granted access to it.

 

[Boy Genius]

Another fecking thread on the same subject as other threads.

Can we have these merged please

 

[Jeff]

Another fecking thread on the same subject as other threads.

Can we have these merged please

But he's making a point that hasn't been made before, so it deserves a whole forum to itself :icon_wink

 

[drew]

So it's MM's fault when he isn't even in control of the club?

 

[blue]

Thanks for making the point as eloquently as you did, my apologies if the point about being restricted in making decisions has been raised in the past, I hadn't seen, if it has been made, Jeff would you do the honours and merge as suggested.

 

[blue]

So it's MM's fault when he isn't even in control of the club?

Not sure its anyone fault - just the realities of a take over situation

 

[Jimmy Lad]

Thanks Blue for an intelligent and thoughtful post.

I agree with what you have said. The club is in a situation of limbo and it is almost impossible to commit to anything with the uncertainty.

It seems that because you haven't said 'Kelly out', 'sack the board' or 'disband the Foxes Trust' it has drawn little interest!

 

[Disco Bob]

...and a ship without a rudder's like
a ship without a rudder's like
a ship without a rudder.

Lemonheads rule.

 

[alex]

...and a ship without a rudder's like
a ship without a rudder's like
a ship without a rudder.

Lemonheads rule.

And what an album.....

 

[OldGit]

Just a thought with reference to the current cash situation - it is not unusual for organisations who are going through some form of change of ownership to have restriction placed upon their outgoing Management (ie. the current Board) to not enter into any new liability or committmemt that would have a significant, negative bearing upon the businesses cash flow situation whether current or future.

Look at it in this way, if due dilligence was performed on a set of books & legal records and then the organisation makes new committments after the dilligence is performed - then would you not have to perform due dilligence on all new committments all over again?

As a result, the Club is currently unable to make any significant decisions without express permission from all interested parties (that is until a deal is done or the interested parties fail to make an offer by a given deadline) - given the length of time it would take to gain this permission (not to mention the legal costs) most organisations don't engage.

As the situation stands - IMO we are like a rudderless ship being unable to make everyday decisions on transfers and loans that other clubs do make. The longer the MM stuff drags out the longer the Board and RK is bound by these rules.

No one as said that the cash was not available at the club - I would hazard a guess that its just that RK has not been granted access to it.

 

[Ox Fox]

Just a thought with reference to the current cash situation - it is not unusual for organisations who are going through some form of change of ownership to have restriction placed upon their outgoing Management (ie. the current Board) to not enter into any new liability or committmemt that would have a significant, negative bearing upon the businesses cash flow situation whether current or future.

Look at it in this way, if due dilligence was performed on a set of books & legal records and then the organisation makes new committments after the dilligence is performed - then would you not have to perform due dilligence on all new committments all over again?

As a result, the Club is currently unable to make any significant decisions without express permission from all interested parties (that is until a deal is done or the interested parties fail to make an offer by a given deadline) - given the length of time it would take to gain this permission (not to mention the legal costs) most organisations don't engage.

As the situation stands - IMO we are like a rudderless ship being unable to make everyday decisions on transfers and loans that other clubs do make. The longer the MM stuff drags out the longer the Board and RK is bound by these rules.

No one as said that the cash was not available at the club - I would hazard a guess that its just that RK has not been granted access to it.

why was the new contract agreed for Henderson though

 

[newtonfox]

why was the new contract agreed for Henderson though

and logan and levi

 

[Melton Fox]

And Low, Sylla and COG out, this would affect the books

 

[blue]

I don't have a definite answer on Hendo but I would have thought negotiations for his extension would have begun before the due dilligence process had begun - it is possible his extended contract was already disclosed to DD and built into future seasons budgets.

Probably similar situation with Logan and Levi - but I don't know.

These numbers combined are unlikey to be material unlike the 150k being discussed for the Joe G deal.

Given Momo, Low and O'Grady, these would have a positive effect on the cash flow so Club is unlikely to restricted in this area.

 

[Ox Fox]

I don't have a definite answer on Hendo but I would have thought negotiations for his extension would have begun before the due dilligence process had begun - it is possible his extended contract was already disclosed to DD and built into future seasons budgets.

Probably similar situation with Logan and Levi - but I don't know.

These numbers combined are unlikey to be material unlike the 150k being discussed for the Joe G deal.

Given Momo, Low and O'Grady, these would have a positive effect on the cash flow so Club is unlikely to restricted in this area.

Point taken, but if Henderson is now on, lets say, 3K a week under his new contract, it would mean LCFC are paying him an annual salary payment greater than the cost to bring in Joey G.

Surely given our current situation it would have been better to have used the Henderson contract budget to have got in a new player. OK it may have pissed off Henderson big time, but let's face it he's hardly going to walk into another club and he'd have to like it or lump it as the saying goes.

 

[OldGit]

Point taken, but if Henderson is now on, lets say, 3K a week under his new contract, it would mean LCFC are paying him an annual salary payment greater than the cost to bring in Joey G.
Surely given our current situation it would have been better to have used the Henderson contract budget to have got in a new player. OK it may have pissed off Henderson big time, but let's face it he's hardly going to walk into another club and he'd have to like it or lump it as the saying goes.

Who of course would have been willing to play for no salary

 

[Ox Fox]

Who of course would have been willing to play for no salary

But transfer payments are never made in one hit are they?

 

[Matt_B]

But transfer payments are never made in one hit are they?

I think thats kinbd of the point of this thread, if we paid it in one go it wouldn't be an extra dept for DD, but as you said it wouldn't, so it's an extra debt to take into account!

 

[Ox Fox]

I think thats kinbd of the point of this thread, if we paid it in one go it wouldn't be an extra dept for DD, but as you said it wouldn't, so it's an extra debt to take into account!

But so is Henderson's new contract or have I missed the point completely?

 

[Durham Fox]

But so is Henderson's new contract or have I missed the point completely?

We also gave Cadamarteri a contrat after DD.