FORUMS > Warrington Wolves > HJ Expansion - Confirmed |
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| Quote: Kol Witless "Whilst I am delighted by both the ambition and optomism shown by the club, I'm a little concerned by the maths.
If, by virtue of the increased capacity, Warrington have the opportunity to sell an extra 2,000 tickets, this would give extra revenue of £40k each time a 15,000 sell out were achieved (given a cost of say £20.00 per ticket).
So, if one game per season was a 15,000 sell out this would give extra annual revenue of 40k, if two games sell out an extra 80k would be generated, 3 games 120k, 4 games 160k, 5 games 200k and so on.
Given that the building costs have been quoted as "circa £2 million" (presumably this is ex VAT) and that this the work comes in on price and on schedule, it would take the following number of years before a profit is realised on the investment:-
2 sell outs per season
It's probably a good idea that we don't have people running the club that rely on ticket sales to pay for it all then.
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| As Warrington are making profits year on year the wouldn't some of the build costs be offset by the tax man?
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| Quote: Steve51 "It's probably a good idea that we don't have people running the club that rely on ticket sales to pay for it all then.'"
true, a more simple (fag packet) calculation would be - 2,000,000 / increase in number of fans / spend per fan (tickets, merchandise, hospitality) as well as sponsorship etc.
Thats my view anyway
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| nice little piece in the guardian today noting all the dates of note, moving in, various games, the womens football, stacey jones retiring, champipnship finals. Cup semi finals.
If you take a step back and look at it, its quite amazing really what we've been involved in the last 7 years, thats not taking into account the NZ international and the Euro Cup finals as well.
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| thats not taking into account the bit where i was locked outside for 20 minutes of the first game of course.
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| As a supporter who enjoys his trips to your place and one of a club who are currently moving ahead with our own improvements / developments, I think it's great news for you and the game in general...
Best of luck with it !
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| Considering less then 10 years ago we were struggling to get to 6000 at Wilderspool its just another illustration of how far the club has come. As for the cost of the development I'm certain that the decision won't be based on a factor that we have to fill the additional space. Mr Gatcliffe and co have
been proved to be right with the direction the club is moving and I'm sure they wouldn't gamble with the cubs finance based on the extra revenue. Another step forward imo.
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| Quote: Geordie "As Warrington are making profits year on year the wouldn't some of the build costs be offset by the tax man?'"
Several of us were lucky enough to bump into Mr Broomhead in Cardiff and we had a frank & in depth conversation about the extensions and tax funding, whilst getting through a few gallons of beer made from fresh oranges.
He explained it this way "The purchase of business equipment or premises cannot be counted as an expense. These items are dealt with by claiming capital allowances which can then be offset against profits. Companies can deduct a proportion of capital costs against taxable profits, although the rate varies according to what you are claiming for.
If you are purchasing business equipment (tools, computers, furniture, machines, etc.), the main capital allowance rate for businesses is 25% per year (20% from 2007/200icon_cool.gif. Most small companies can claim a 40% allowance in the first year of trading. In some cases, you can claim 100% in the year following purchase. Be careful though as the allowable rates for tax purposes do often change from year to year. Make sure you check the current rates before the accounts are finalised."
He then farted, threw up & passed out. Thankfully there were several club associates to minimise any embarrasment.
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| *waits for email from club regarding part of that post*
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| AS a WIGAN fan i wish you luck on your ground expansion will be a better atmosphere with the extra 2 thousand fans in and the 2 corners with a roof on.
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| On a similar note. When compiling the Name the Wolf thread, I came across a match report from 199x Hull Sharks vs Warrington Wolves - attendance 4400. They have also done remarkably well given their average attendances nowadays.
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| Quote: Steve51 "Several of us were lucky enough to bump into Mr Broomhead in Cardiff and we had a frank & in depth conversation about the extensions and tax funding, whilst getting through a few gallons of beer made from fresh oranges.
He explained it this way "The purchase of business equipment or premises cannot be counted as an expense. These items are dealt with by claiming capital allowances which can then be offset against profits. Companies can deduct a proportion of capital costs against taxable profits, although the rate varies according to what you are claiming for.
If you are purchasing business equipment (tools, computers, furniture, machines, etc.), the main capital allowance rate for businesses is 25% per year (20% from 2007/200icon_cool.gif. Most small companies can claim a 40% allowance in the first year of trading. In some cases, you can claim 100% in the year following purchase. Be careful though as the allowable rates for tax purposes do often change from year to year. Make sure you check the current rates before the accounts are finalised."
He then farted, threw up & passed out. Thankfully there were several club associates to minimise any embarrasment.'"
Thank God he had that prepared financial statement on him in case he became intoxicated.
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| I think its a great idea and love coming to your place. There is always a great atmosphere (granted helps having a great game) and you get a real RL feel in a new ground; not done easily these days and IMO filling in the corners will emphasie that, even if not full to capacity.
WELL DONE WIRE!!!!!
That's twice in a week I've said that now; I think I need a lie down!!!!!
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| Quote: Wirefan "The Warrington Guardian piece was great until the Gatcliffe quote
"Look at Manchester United. They made their ground bigger and they still fill it"
That was a quote by Moran: what does he know about selling tickets?
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| The thing i'm looking forward to the most is the atmosphere now that there isn't the sound escaping around the East stand, it should echo a bit now. So not only will we have the extra voices but also a 'louder' stadium.
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