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Going Under ?


hippo

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20 years ago I got pay tv for the first time and got to watch the premier league, pretty sure the first game I watched Villa beat Liverpool and I fell in love.....

Love sucks. 

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17 minutes ago, blandy said:

Just on this. I've just been through the accounts again, and it's not correct that the accounts show it to be untrue - they can't, they're for last year not this year and also because of the way player purchases are covered in the accounts. For (hypothetical) example. If the club buys Joe Bloggs for 12 million quid and puts him on a 4 year contract, the accounts show outgoings for one year of 3 million quid (amortisation of 12 mill over 4 years). BUT the actual outgoings from the club are (say) 6 million on the day of purchase, and then 6 million after (say)  12 months - so accounts would show - £3million but actual outgoings are different (say) - £6 million for each of 2 years

The accounts show is an overall wage and pensions bill last year of around 61 million and quite a heap of monies owed to other parties within 12 months. It doesn't prove we are running at 5 million a month, but it doesn't disprove it either, and to my untrained in bean counting eyes, it looks entirely feasible that something of that order is right.

(The accounts also show a net cash outflow of £16,851,000 and an increase in borrowing of £48,915,000 for 2016/17.)

I am not an accountant and might be completely missing something technical or whatever, but I'm unable to see how last year's accounts disprove the 5 mill a month thing for this year.

I think some of our loans this year, a last roll of the dice, if you will, will make up a decent portion of those £4-5m monthly losses.

Snodgrass loan fee, Snodgrass wages, Grabban loan fee, Grabban wages, Onomah, Tuanzebe and Johnstone loan fee, plus wages. Then there's John Terry's astronomical Championship wage. I don't think we're going to continue losing £4-5m per month, considering these players leaving and their ongoing fees.

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2 minutes ago, briny_ear said:

I've been supporting Villa since the early sixties and I have seen some terrible times for the club. But I don't think I have ever been as angry as I am at the moment.

You're probably just hungry. It is lunch-time, after all. You'll be back to your good ol' self at 2pm.

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1 minute ago, Villan_of_oz said:

20 years ago I got pay tv for the first time and got to watch the premier league, pretty sure the first game I watched Villa beat Liverpool and I fell in love.....

Love sucks. 

As a kid I watched Villa beat one of the greatest Inter Milan teams in history 2-0 at Villa Park. I fell in love then. 

They lost return leg 3-0. 

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43 minutes ago, jacketspuds said:

Surely if we need to raise £40m just to stave off FFP issues, this won't really change our future position if we continue to lose £5m - £6m per month? We will be in the same position next season, just without any good players to sell.

If we are loosing 5-6 mill a month (the accounts suggest otherwise) then that will be reduced by  nearly 3mill from loosing our loans players and players out of contract.

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Does anybody know who or what  '1874 Developments Ltd' is? - 2 Officers listed (Wyness/Xia), seem to be owned by Recon Group UK Ltd. I saw on Companies House Website that a registration of charge (HSBC Bank) was added on 08 May 2018.  I'm not really sure what all the details mean in the pdf that can be viewed online, but it seems to refer to Land and Property and Mortgage?

 

 

 

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Also saw this on Companies House:

 

ASTON VILLA FOOTBALL CLUB LIMITED

07 Jun 2018 Resolutions
  • Resolution of allotment of securities
  • Resolution of removal of pre-emption rights
This document is being processed and will be available in 5 days.
 
07 Jun 2018 Resolutions
  • Service contract 21/05/2018
This document is being processed and will be available in 5 days

 

Seems stuff has been happening for certain....

Any legal knowledge here that can shed any light?

 

Edited by ViewFromT2
image removed as couldn't be read!
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24 minutes ago, pintpotvilla said:

Wonder what the papers will find to over hype tomorrow. Xia appears to have put this problem to bed- at least for now! Can we get on with trying to get promoted now?

Do you believe in Santa Claus too ;) 

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11 minutes ago, ViewFromT2 said:

Also saw this on Companies House:

 

ASTON VILLA FOOTBALL CLUB LIMITED

07 Jun 2018 Resolutions
  • Resolution of allotment of securities
  • Resolution of removal of pre-emption rights
This document is being processed and will be available in 5 days.
 
07 Jun 2018 Resolutions
  • Service contract 21/05/2018
This document is being processed and will be available in 5 days

 

Seems stuff has been happening for certain....

Any legal knowledge here that can shed any light?

 

Usually implies new equity investment, but equally be Recon buying more shares. Not enough to go on, though. 

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18 minutes ago, ViewFromT2 said:

Does anybody know who or what  '1874 Developments Ltd' is? -

Some sort of development company, is my guess.

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1 hour ago, palace33 said:

Palace can here though wife is villa 

we are the champions of administration 

it does hurt as you lose your best players at cheap prices we sold victor modes for 2 million 

You must hope to stay in the championship and get a buyer who loves the club 

Parish did wonders for us and look where we are now 

Good luck

Well if anything good has come of this it's that I now know aluminium can fall in love :)

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so apparently you have to spend about 300 million before you hit the radar of the Chinese Government?

https://www.birminghammail.co.uk/sport/football/football-news/tony-xia-aston-villa-chinese-14749006

Quote

An expert on Chinese investment in football says the landscape has changed - and Far Eastern money has slowed.

This comes amid reports of cash flow problems at Aston Villa, linked to owner Tony Xia's ability to pump money into the club, have surfaced.

However, expert Simon Chadwick believes Dr Xia CAN get cash across - because he is not that big a spender.

He believes the Villa chairman is likely conflicted - one one hand, he is a proud Chinese businessman desperate to save face, on the other, he is spending close to £5 million a month to keep Villa going.

Prof Chadwick, professor of Sports Enterprise at Salford University, and is an expert in Chinese investment in football and says the likes of Athletico Madrid, Inter Milan and Slavia Prague have seen income dry up after Far Eastern authorities warned investors to stop taking so much money out of the country.

On a positive note, he does not believe Aston Villa's finances are so bad the club is headed for administration.

He explained: "Last July, the Chinese authorities felt they were suffering from lots of people moving money off shore so they Government clamped down on it .

"As a consequence, money flowing away from China has slowed down.

"And other football owners have felt this, like Wang Jianlin, who sold part of his 20 per cent ownership stake in Spanish team Atletico Madrid.

"He was forced to do that. And Tony Xia may well be in the same position.

"However, Tony Xia isn't a particularly high-profile Chinese investor, and comparatively he hasn't spent a lot of money.

"The regulations came in in July and kick in at around $300 million, so it seems it wouldn't effect him at the moment.

"I don't think Tony Xia has spent that, so to some extent that may be being used as an excuse.

"There is also the issue of saving face in Chinese society. That is huge for Chinese people.

"For Tony Xia to exit Aston Villa would be losing face for him at home. He would not want to leave without making a profit."

In recent years, the Chinese authorities have clamped down on spending outside of China, meaning wealthy people can spend as little as five per cent of their investment outside the country.

As an example, late last year, China’s authorities capped overseas withdrawals using Chinese bank cards at around £15,000 per year in a move designed to prevent money laundering and terrorist financing.

Chinese regulators often relax and tighten rules informally, allowing them to react flexibly to changing market conditions.

more on link

Edited by blandy
formatting etc.
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1 hour ago, Vive_La_Villa said:

As a kid I watched Villa beat one of the greatest Inter Milan teams in history 2-0 at Villa Park. I fell in love then. 

They lost return leg 3-0. 

This literally sounds like the culmination of every Villa fans experience haha.

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14 minutes ago, VillanousOne said:

so apparently you have to spend about 300 million before you hit the radar of the Chinese Government?

https://www.birminghammail.co.uk/sport/football/football-news/tony-xia-aston-villa-chinese-14749006

I am not sure what that Professor was referring to. Was he saying that a company in China can transfer 300 million US dollars freely to overseas countries before the currency policy comes into play?

No way.

A lot of companies in China even use their employees' annual allowance (up to 50k US dollars per year) to exchange and transfer foreign currency.

Edited by Deisler123
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2 hours ago, Vive_La_Villa said:

As a kid I watched Villa beat one of the greatest Inter Milan teams in history 2-0 at Villa Park. I fell in love then. 

They lost return leg 3-0. 

I’m a touch too young to remember that one, so I just use the 1994 win against Inter followed by elimination at the hands of Trabzonspor in the next round as my go to “Villa in a nutshell” feeling.

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