tag:blogger.com,1999:blog-487486960623783530.post9112534263230051867..comments2024-03-27T10:38:08.826+01:00Comments on The Swiss Ramble: There's Only One Debt In FulhamThe Swiss Ramblerhttp://www.blogger.com/profile/11423088862174893998noreply@blogger.comBlogger15125tag:blogger.com,1999:blog-487486960623783530.post-26650057525839179402010-08-19T00:30:10.321+02:002010-08-19T00:30:10.321+02:00To Anonymous of 9th August....Attending a pre-seas...To Anonymous of 9th August....Attending a pre-season friendly in the middle of the holiday period is revealing, but not frankly to the extent that your post implies. Maybe you'll return for the real deal, albeit a s/t will cost 25% more than the figure you quote and more typically 50%-100%. <br /><br />The size and nature of the stadium does impose restraints, about which I am not about to grumble as a member of the campaign to return us there 7 years ago. Doubtless these constraints could be more effectively overcome, there could be more corporate entertaining and so on. Still, income generated in situ would continue to be closer to that of the other prem clubs who have 25-ish stadia than to Arsenal's, even with you on board as consultant. <br /><br />Other drawbacks...the club lacks a catchment area it `owns', to an extent possibly unmatched in any division. It has a historic fanbase the size of the capital's Championship clubs, with 1.5-2.0 generations of newcomers largely lost in the interim between top flight relegation in 1968 and return 31 years later. <br /><br />There is progress and it could be more rapid. Better merchandising would certainly help. But look....even Aston Villa had TV income as 59% of its total compared to Fulham's 64%. If Fulham exists merely to satisfy its Chairman's ego, then the cutoff point presumably exists just above Everton on Swiss Rambler's list and takes in a quarter of the division. And Manchester City can now surely be added to the list!<br /><br />In summary, it's a crazy business for many, even if they have impeccably modern facilities and very large established fanbases.Peter H.noreply@blogger.comtag:blogger.com,1999:blog-487486960623783530.post-81041067140327070432010-08-10T00:18:22.477+02:002010-08-10T00:18:22.477+02:00The magnitude of what will happen if/when the TV m...The magnitude of what will happen if/when the TV moeny dies out will be astronomical. <br />It's really hard to see how most of the EPL teams will be able to survive when it happens.Darrennoreply@blogger.comtag:blogger.com,1999:blog-487486960623783530.post-18736459549549859042010-08-09T16:44:44.567+02:002010-08-09T16:44:44.567+02:00I went to the Fulham - Werder Bremen match on Satu...I went to the Fulham - Werder Bremen match on Saturday in my first visit to Craven Cottage. As a more regular visitor to Ashburton Grove, I was struck by three things, namely:<br /><br />The dire and antequated facilities given premiership standing;<br />Poor attendance at a very reasonable £15 a pop paid at the gate, which was well worth it if only to see Oezil in the flesh;<br />My sense of their poor commercial and marketing management (long queues with number of concession stands closed; useless ticketing staff, mediocre web site, etc.) probably stemming from having rich sugar daddy owner.<br /><br />On the flip side I enjoyed the small stadium atmosphere feeling as if you were really close to the players and the action, the wonderful and unique river side location, and for me the very easy commute!<br /><br />Based as I am near Surbiton, it was a spur of the moment decision at 2pm following a conversation with my local greengrocer earlier that morning when I learned who Fulham was playing. <br /><br />With season tickets starting at £300, it would be cheaper only going to five matches against the top sides vs five at Arsenal. Plus season tickets are still available.<br /><br />My conclusion, allied to your financial insight, is that FFC exists solely for the owner's ego. The paucity of other commercial revenue smacks of a club neglecting opportunities such as corporate entertaining in one of the world's richest cities in one of London's more expensive neighbourhoods. Which is why it makes me laugh when Al Fayed accuses others of not understanding business.<br /><br />JanAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-487486960623783530.post-61907250669700516882010-08-09T10:35:11.394+02:002010-08-09T10:35:11.394+02:00@Chris,
I have seen conflicting reports about how...@Chris,<br /><br />I have seen conflicting reports about how involved his sons are: some say that they are very involved, while others say that they are not interested at all.<br /><br />I think the issue with the Al Fayed family is whether their continuing involvement is compromised by the Harrods sale. At the moment, they have a lot of funds from this transaction, but it does mean that their regular dividends have stopped.The Swiss Ramblerhttps://www.blogger.com/profile/11423088862174893998noreply@blogger.comtag:blogger.com,1999:blog-487486960623783530.post-47315448002664829372010-08-09T10:32:55.135+02:002010-08-09T10:32:55.135+02:00@Colin,
Thanks. I am actually in contact with a c...@Colin,<br /><br />Thanks. I am actually in contact with a couple of sports editors, but, in fairness, my articles are almost certainly too detailed for the mass media. We shall see.The Swiss Ramblerhttps://www.blogger.com/profile/11423088862174893998noreply@blogger.comtag:blogger.com,1999:blog-487486960623783530.post-90643694432884671082010-08-09T10:31:36.740+02:002010-08-09T10:31:36.740+02:00@Andrew,
I would like to take a look at Dutch foo...@Andrew,<br /><br />I would like to take a look at Dutch football (Ajax in particular), but I'm not sure how readily available the information is. I'll do some digging.The Swiss Ramblerhttps://www.blogger.com/profile/11423088862174893998noreply@blogger.comtag:blogger.com,1999:blog-487486960623783530.post-36329942600884802552010-08-09T10:30:23.538+02:002010-08-09T10:30:23.538+02:00@Ian,
I had not realised that - thanks!@Ian,<br /><br />I had not realised that - thanks!The Swiss Ramblerhttps://www.blogger.com/profile/11423088862174893998noreply@blogger.comtag:blogger.com,1999:blog-487486960623783530.post-77027241597502598902010-08-07T02:45:26.545+02:002010-08-07T02:45:26.545+02:00Superbly researched piece.
I hadn't fully app...Superbly researched piece.<br /><br />I hadn't fully appreciated the obvious flaws in the benefactor system that has become the modus operandi at Craven Cottage, perhaps because Al Fayed has, as you point out, always expressed such a strong commitment to the cause. <br /><br />Clearly, if he were to sell up (or die) in the near future it would have negative financial consequences for the club. With that in mind, how involved are his sons in the day-to-day running of the club? Would having one of them step in to take the reigns be a viable option?Chrishttp://equaliserfootball.com/noreply@blogger.comtag:blogger.com,1999:blog-487486960623783530.post-6732360380759981302010-08-05T16:50:17.022+02:002010-08-05T16:50:17.022+02:00Brilliant as always. Your insight into the financi...Brilliant as always. Your insight into the financial aspects of football clubs helps put so much into perspective. I am biased but it seems to me that Arsenal is the only club with a totally sound business model in the EPL. MUFC and Liverpool profitable but sadled with debt, Tottenham like their suppoorters living in a dream world and the likes of Blackburn and Fulham totally dependent on TV money or a rich benefactor. Take either away and what then. This transfer window is so very slow with the exception on Man City, maybe clubs have at last woken up to reality. Even Harry R has only been talking of buying rather than spending so maybe Spurs will survive his tenure after all. Please keep the blogs coming always well worth waiting for. Perhaps you could circulate them to the sports editors in Fleet Street and then the clowns who write such rubbish about footbal finance would learn something.Colinnoreply@blogger.comtag:blogger.com,1999:blog-487486960623783530.post-14957397448906198992010-08-04T18:54:23.373+02:002010-08-04T18:54:23.373+02:00I enjoy reading your blog. I often wonder about Aj...I enjoy reading your blog. I often wonder about Ajax Amsterdam - how they have fallen in terms of football performance and financially. They seem to be selling club nowadays. I was told that their footballing performance started going downhill when they had to finance their new stadium. Similarities with Arsenal? - I hope not as I am an Arsenal fan :)Tigerhttps://www.blogger.com/profile/17811117659461653393noreply@blogger.comtag:blogger.com,1999:blog-487486960623783530.post-37028881773164488012010-08-04T12:19:14.666+02:002010-08-04T12:19:14.666+02:00The only other person I know who has been able bot...The only other person I know who has been able both to get to grips with Fulham's finances and explain them cogently is Peter H, so the praise from him above is indeed high praise.<br /><br />You write as if you are a Fulham supporter with a deep understanding both of the club and the finances. I'm particularly pleased that you highlighted the fact that without the sale of Louis Saha in 2003 - which to this day rankles with many fans - the Fulham River Projects deposit could not have been paid off. The club could still be playing at Loftus Road or some other anonymous stadium were it not for the Saha money.<br /><br />Thank you once again for an illuminating read. I'll head off to look at some of your other pieces now.Iannoreply@blogger.comtag:blogger.com,1999:blog-487486960623783530.post-56020977983374562092010-08-04T10:47:10.051+02:002010-08-04T10:47:10.051+02:00@Peter H,
Thanks very much for your kind words.
...@Peter H,<br /><br />Thanks very much for your kind words.<br /><br />With most football clubs, it is difficult to see how businessmen can make a decent return on their investment from a purely financial perspective. Fulham have been lucky with their owner/benefactor over the years. Having said that, it is possible, as we saw with Gold and Sullivan at Birmingham.<br /><br />Also, the advances in technology may damage the TV revenue stream, but open up new possibilities in the internet world. Live football is a precious commodity that is one of the few pieces of "content" that has maintained its television audience, when most other programmes have seen declines.<br /><br />Congratulations on being the first Fulham fan to find your way to my humble blog. I hope that you are the first of many!The Swiss Ramblerhttps://www.blogger.com/profile/11423088862174893998noreply@blogger.comtag:blogger.com,1999:blog-487486960623783530.post-79893412444657385292010-08-04T10:32:25.480+02:002010-08-04T10:32:25.480+02:00I salute you. In various guises over recent years ...I salute you. In various guises over recent years I have made my own attempts at something like this, but you have decisively trumped them. In particular, you have made proper sense of the transfers dimension. <br /><br />At such juncture, in Al Fayed's lifetime or otherwise, as money eventually changes hands, the price for the club will need to be fixed by holding a moist finger to the wind. Rationality won't come into it, will it? Even ignoring the sporting dimension and just buying for the real estate, there's a 50 million pound-ish variance according to expectations of what one might eventually (after years of acrimony) be allowed to do with the place. <br /><br />Hard-headed business types on the make won't be encouraged by your piece to apply. Another semi-billionaire out for some fun seems the best hope.<br /><br />While I may be the first Fulham supporter to have traced you to here, there has been much appreciation on a couple of messageboards.Peter H.noreply@blogger.comtag:blogger.com,1999:blog-487486960623783530.post-20035091661755726652010-08-04T10:22:10.155+02:002010-08-04T10:22:10.155+02:00@Patrick,
Wages is by far the highest element of ...@Patrick,<br /><br />Wages is by far the highest element of any football club's costs, but there are other expenses that should also be covered by revenue. If the wages to turnover ratio is 70%, that leaves 30% of turnover to cover all other costs, which is tight, but achievable. Any higher, and you are virtually guaranteeing losses. If this carries on for many years, the business model is clearly unsustainable - unless the owner/benefactor pumps money in.The Swiss Ramblerhttps://www.blogger.com/profile/11423088862174893998noreply@blogger.comtag:blogger.com,1999:blog-487486960623783530.post-82626818606913083752010-08-03T13:32:39.187+02:002010-08-03T13:32:39.187+02:00Excellent post. I think its safe to say Fulham are...Excellent post. I think its safe to say Fulham are the majority of football fans' second team.<br />However it will be a shame when the income from MAF will dry up - I hope they are self sufficient by then...at some rate.<br />RoryAnonymousnoreply@blogger.com