Babararacucudada

I thought that this post by Babs deserves to be shown as far and as wide as possible, hopefully it maybe debated instead of the kit design or the raffle....

Quote :

Just out of curiosity why is land developer in quotes in the thread title? He buys land and then he develops it. That means that:

This man, JB (land developer)

... would actually be very truthful in every aspect and a much more accurate thread title.

James Brent is a land developer. There. I've said it. Nobody died. What is there to be ashamed of? There's no doubt about it being accurate after all. Still it's nice to be reminded of his gender, I guess, just in case we forget.

And before anybody starts (because I'm pretty sure they will)... I am pretty much in favour of the proposed development: P2; hotel; ice rink; arena etc are all fine by me and I have been making the case for them for years and years now. I've also banged on for years and years about how this needs to be done or success, when it comes, will be fleeting because we do not have the infra-structure to capitalise on that success. I was always told "it couldn't be done" well... It looks like it could (even if it hasn't yet). I don't mind Brent developing land at all and nor do I mind if he makes a small fortune whilst he is at it. It's all a gamble and it deserves some reward if/when it comes off. No problem at all.

There are some things that I do mind.

I was at the Guildhall when Brent spoke of "transparency" and building a club "at the heart of the community" (I paraphrase) and then came the £400k valuation for 20% of the club... Now this might, or might not, be a reasonable price but with no access to club accounts to establish at least a vague picture of the club's finances it is impossible to tell ~ but it looked a little on the high side to me when it was publicised and looks beyond extortionate now.

Then comes the 8000 attendance budget bombshell which puts us 2000 down every match which equates to 46000 punters over a season which must be at least £500k in losses. Probably far more.

Then comes the departure of the finance director and shock redundancies, never a sign of a thriving business, and the need to sell Purse because we can't afford him.

So that £500k (minimum) will have to be added to the historic debt hanging over from administration which in itself must be £5m at a minimum. It is probably not unfair to say that the club is £7m in debt and if it isn't then it must be heading that way.

So how is this going to be settled? £7m is well over 12 months turnover and might even exceed 24. And it needs to be paid in the next 4 years (1 has passed already).

I have no doubt that Brent saved the club when it was about to be liquidated. None at all. I was as chuffed and excited as anybody else when he did. But in leaving admin he must have had a repayment plan accepted and that plan was based on that "8000" figure. Which we know to be a nonsense.

So in the interests of transparency is there any indication at all as to what this plan was or what the new plan is? Or where the money is coming from? None. None at all.

And it matters and it matters more than anything else. If Argyle goes nips up again and ends up in a second administration we'll either be immediately thrown out of the league or penalised so heavily, c.f. Luton Town, that we're relegated out of the league anyway eventually. That effectively means no club because there are now, as Damon says, no assets to help like there was last time.

So does offering 20% at £400K look like a deal that anybody in their right mind could accept? No it doesn't. Not even close.

Does it place the club at the heart of the community and the fans at the heart of the club? No it does neither of those either.

And being a shrewd businessman Brent would have known this from the very start so he says "place the club at the heart of the community and the fans at the heart of the club" but his actions say something else and that sets my alarm bells ringing. I like to see consistency. I find it comforting. Inconsistency, in this context, scares the bejaysus out of me.

So what would be a fair price for that share? I'd say very low because the club can't be worth a bucket of spit right now. So what is the solution?

That's easy. Brent should allow his actions to match his words and he should simply donate, free of charge, the 20% to the Trust and allow a couple of places on the board to go with it. And do so immediately.

Overnight, with no cost to himself or loss of control, he would honour his pledge to "place the club at the heart of the community and the fans at the heart of the club" and there would be true supporter engagement and involvement and the wider community would feel involved let alone the fan base.

And then, as a Trust member, I would own a tiny part of that 20% for as long as I retained membership and I'd be a very happy chappy indeed.

I could also try to influence the stadium design, another thing there has been no transparency at all about, and make sure we don't end up with a shiny new Mickey Mouse grandstand when the rubbish one we have now goes.

A very good piece.
I do not frequent PASOTI that much but I always read Babs offerings as they are always eloquent and well thought out.
As my old friend would say Regent Street rules!!