I guess so for some clubs yeah, most aren't reliant on individual backers though. With FC operating at a profit if our directors did ask for their loans back we'd be able to cover it. Your'e right though, most other clusb couldnt.

morning Mr Hudgell

You read it here first.

Ahh, now that makes sense. So how misleading is the “ROBINS £3M IN THE RED” headline!

You're in the red by how much you owe, not netting it off against assets.

If my bank account is 5 grand in the red it matters not a jot that my house is worth 400 grand

so if we put player valuation on balance sheet the net will be lower ?

Mrs B is so going to rip you a new one

When FC owed £2.4m in 2004, you didn't hear any bleating about the net liabilities number being £600k, did you? What a laugh!



Seriously, if FC directors then, or KR's directors now, wanted their cash back tomorrow, there would be no club. Fortunately for Rovers Hudgell has said that the directors have "underwritten" the financial position, which presumably means that in the event of them wanting out they'd just waive the loans. And fortunately for FC we've got a sustainable business model that's reduced the debt number each year so our reliance on directors is reducing. Everybody wins.



I can feel the Christmas spirit wearing off a bit now, mind.

But is the £2.2 million owed in the next 12 months owed just to the 'directors' or is it to other people. Surely if it's mainly owed to others that's even more loss to the directors?

No way of telling. Although it does say that there is £364,000 of the creditors for which security has been given. I think you could guess that there aren't many banks that would loan hundreds of thousands without security in which case you'd imagine most would be owed to directors, plus usual trading creditors, accruals, HMRC etc.

The "within 12 months" figure merely relates to any debt which isn't structured over a longer period. I presume any director's loand are repayable on demand. Does anyone know if interest is being paid on the director's loans?

It's entirely factual. Total liabilities are a shade over £3m - this money is still owed regardless of how much is balanced out by assets. That would only make a difference if those assets were converted to cash and used to pay off the debt.