Birmingham City - shit or bust

[severnside gull]

................ in more than one respect.

Assuming we get a result on Saturday and our season stays alive, the Birmingham City game becomes crucial to our hopes of a play-off place.

For them it could be so much more........................

http://www.birminghammail.net/news/top-stories/2012/04/13/birmingham-city-new-fears-over-

There have been rumours all year about how close they are to having to duck into administration - the money laundering industry isn't what it used to be!

I have to say I do favour the "housekeeping" argument as the reason for changing their memorandum of association at this stage but suspect that it does also clear the way, and deliberately so, for cutting the parent company adrift and letting Birmingham City either seek a buyer or go into administration if they don't get promotion.

It's not going to affect our game or their season but if they don't go up watch out for them to go bump.

 

[Seagull27]

I suspect they're pretty much in the playoffs now, it would take a major f*** up for them to fall out. But winning them is another thing entirely.

 

[Beach Hut]

Hopefully we can win if we knew where the back of the net is

 

[CP 0 3 BHA]

For there to be anything on this we'll need to have bagged at least a win and a draw from WHU and Watford beforehand.

 

[severnside gull]

Getting closer to the end game for Birmingham City than anyone is saying

Birmingham City face financial abyss after financial results delay - Top Stories - News - Birmingham Mail

they are close to absolute crisis and if they don't go up through the play-offs their current owners could cut them adrift. There are buyers in the wings so they are not going to disappear but it will mean starting next season in turmoil with players leaving and no-one coming in to replace them as the embargo could easily still be in place when the summer transfer window closes

 

[severnside gull]

Third date set for publishing their accounts is reportedly not going to be met and after failing to meet two deadlines the word on the block is that the vultures are beginning to circle ahead of administration.

Some of their players signed on accelerating salaries (£x in year one; £y in year two; £z in year three) will be getting a £10K a week pay rise from 1st July and with no promotion and limited summer income the shit may be about to hit the fan.


Had they not got promotion on Saturday, West Ham would have been very much in the same position. By such slim margins..........................................

Whispers that the Alams may be reviewing their involvement at Hull and there are surely others. Makes you think. Do we want to play that game? Are we happy to take a longer term and hopefully more sustainable view or will greed for success get in the way?

 

[The Fifth Column]

I think the difference with us to most of these clubs facing financial meltdown is that they have been in the premiership in recent years and it is because of that and the fact they tried to compete with the big boys rather than take a more realistic financial course that they are now in the shit. They get relegated having racked up huge debts and then instead of accepting it and swinging the financial axe to cut their costs they borrow even more and adopt the shit or bust approach to get back in the premiership. I know we'd all love to get promoted but as this season has proven none of us were really that dissapointed on missing out on the playoffs unlike the disaster it is portrayed by fans of some teams for not making it.

 

[Gazwag]

Probelm is the Premiership is such a cash cow - Wolves finished bottom yet received £39 million in TV revenue last year - Birmingham, Blackpool and West Ham got £15 million in parachute payments - we did well to compete like we did TBH

 

[sydney]

the above posts should be a massive wake up call to all the whingeing toe-nails who went off on blithering tangents as we tailed off , form wise , towards the end of the season .........we will do well to make play off status this coming season ........we don't stack up financially , sure we have a good manager and a keen (but shrewd ) c e o .........there are three clubs coming down with 15 mill in the bank , then we've still got brum, blackpool , burnley , cardiff , smoggs , swerch , foxes etc , the list goes on tbh ........money is what it's all abhaaaaat.....innit..

 

[Kalimantan Gull]

We're fine now, but when (if) we do go up, we'll be getting that increased revenue, and there will be huge pressure to spend it on increased player salaries. When (if) we come back down again there will be two ways to go, either immediately slash the squad or keep them together for a season or two to try and get straight back up. The latter way invariably leads to ruin it seems, but the pressure from the fans and the manager will make it difficult for all but the strongest chairmen to resist.

 

[Simster]

Personally I think I'd take a dim view of our club spunking money it doesn't have in an effort to stay in the Premiership.

That isn't just sanctimony either - it's just that the Championship is a great league to be in. I might understand a shit or bust mentality in league one, even if I'd prefer prudence at that level too.

 

[Gazwag]

the above posts should be a massive wake up call to all the whingeing toe-nails who went off on blithering tangents as we tailed off , form wise , towards the end of the season .........we will do well to make play off status this coming season ........we don't stack up financially , sure we have a good manager and a keen (but shrewd ) c e o .........there are three clubs coming down with 15 mill in the bank , then we've still got brum, blackpool , burnley , cardiff , smoggs , swerch , foxes etc , the list goes on tbh ........money is what it's all abhaaaaat.....innit..

Burnley and Hull will get 4 million, Blackpool and Birmingham 12 million next season in parachute payments, I think Middlesbough's have run out but that's 7 clubs with free money

 

[Gritt23]

the above posts should be a massive wake up call to all the whingeing toe-nails who went off on blithering tangents as we tailed off , form wise , towards the end of the season .........we will do well to make play off status this coming season ........we don't stack up financially , sure we have a good manager and a keen (but shrewd ) c e o .........there are three clubs coming down with 15 mill in the bank , then we've still got brum, blackpool , burnley , cardiff , smoggs , swerch , foxes etc , the list goes on tbh ........money is what it's all abhaaaaat.....innit..

While I agree with 95% of what you are saying, don't simply assume that the clubs coming down have £15m (£16m for the coming season I think) "in the bank" as they do tend to come down with enourmous debt and ludicrous wage bills which the parachute payments don't make much of a dent in. Take a look at the accounts published by Bolton the last few years and you'll see they have been running losses of £25-30m a year despite massive turnover. They have a long way to cut costs just to survive.

 

[Albion Dan]

Burnley and Hull will get 4 million, Blackpool and Birmingham 12 million next season in parachute payments, I think Middlesbough's have run out but that's 7 clubs with free money

But you are ignoring the fact that most of those clubs (with the exception of Wolves, Burnley and Blackpool) have player wages that consumed a massive proportion of their income including £40m of annual TV money. Getting relegated doesnt mean you dont have to pay those players wages anymore, and if they are on long contracts you are screwed unless you go straight up.

 

[KZNSeagull]

I think it was David Gold on Saturday who said something along the lines of "people say what a great pay day it is getting to the premiership, but no-one mentions the expenditure once you get there". The expenditure is self induced - has no-one told him that? Quite a telling remark I thought - perhaps they have spent all of the pay-day already!

Do Brighton want to be in that position? No thanks. Bide our time, be sensible, live within our means. You never know, in 10 years time we maybe in the Prem by default as so many other clubs have gone out of business.

 

[Easy 10]

Burnley and Hull will get 4 million, Blackpool and Birmingham 12 million next season in parachute payments, I think Middlesbough's have run out but that's 7 clubs with free money

Not quite. Each club gets £48m over 4 years, split £16m, £16m, £8m, £8m

Hull and Burnley, relegated in 2010, will get £8m this summer. Middlesbrough were relegated in 2009, so they get their last £8m this summer.

Brum and Blackpool will get £16m again this summer.

 

[Jim D]

Not quite. Each club gets £48m over 4 years, split £16m, £16m, £8m, £8m

Hull and Burnley, relegated in 2010, will get £8m this summer. Middlesbrough were relegated in 2009, so they get their last £8m this summer.

Brum and Blackpool will get £16m again this summer.

That of course is on the assumption that they haven't done a deal with a finance company and already spent that money 'a la Rangers'.

 

[sydney]

While I agree with 95% of what you are saying, don't simply assume that the clubs coming down have £15m (£16m for the coming season I think) "in the bank" as they do tend to come down with enourmous debt and ludicrous wage bills which the parachute payments don't make much of a dent in. Take a look at the accounts published by Bolton the last few years and you'll see they have been running losses of £25-30m a year despite massive turnover. They have a long way to cut costs just to survive.

good point ,well made. it is a massive struggle to make a decent go of it in the prem , we should , with our catchment and proposed capacity do ok ......i emphasize ok....will we ever compete with the likes of the current top 6 ..??.....as much as it hurts to say it ..........well ,i won't.think the sensible ones here will get what i'm on about.

 

[drop dead fred]

That of course is on the assumption that they haven't done a deal with a finance company and already spent that money 'a la Rangers'.

Didn't rangers borrow money against the predicted next 3 seasons season ticket sales or something ??

 

[MattBackHome]

Personally I think I'd take a dim view of our club spunking money it doesn't have in an effort to stay in the Premiership.

That isn't just sanctimony either - it's just that the Championship is a great league to be in. I might understand a shit or bust mentality in league one, even if I'd prefer prudence at that level too.

Agree with this.