Rangers Financial Disaster Mark Two

[ictchris]

Unsure if anyone's noticed but Rangers are currently in the process of collapsiing again.

 

In a statement to the Stock Exchange the club have admitted that they've spent nearly all of the £70m raised from their share issue, season tickets and commercial revenue streams.  Yes, that's right, Rangers spent £70m to win the Second and Third Divisions.  I wonder how much money we spent to get promoted from 3rd to 1st under Pele?

 

One result of the madness at Rangers is that the club are unable to process credit/debit card payments, as their merchant provider has requested security over Ibrox.  You have to assume that they don't trust Rangers to settle up or think they are heading for administration again.  I don't recall Hearts, Gretna, Dundee or any of the other clubs who went into admin beign cut off by their merchants, it's a grim outlook for them.

 

The report also advises that the club signed players it couldn't afford last summer, invested money in short-term ventures it didn't need (jumbo screens and wi-fi for Ibrox) and dismantled their scouting network at a time when they needed a full squad of new players.

 

In order to address this the board propose ANOTHER share issue.  Madness - "hi guys, er, we blew all the money you gave us a year and a bit ago so, er, could you give us some more money?  it'll be OK this time"

 

My main comment on all this now -

[Kingsmills]

I almost choked when I heard Sandy Easdale being interviewed on BBC Scotland when he said 'Rangers are unlikely to survive a second administration'. Has nobody told him they didn't survive the first one ?

 

What was worse was that the fawning BBC reporter didn't have the integrity to correct him. Seems like the outrageous hounding of Jim Spence for stating the truth had the intended effect on the BBC.

 

Looking at that report and the astonishing financial mess this latest incarnation of The Rangers, have got themselves into in so short a time administration seems likely and liquidation entirely possible.

 

The latter possibility raises two questions. Firstly; Given the serial offending and financial mismanagement by three different owners of two separate companies should any Rangers mark III be given a licence to operate by the SFA at all ? Secondly; If they are licensed, where should they start out ? Given the restructuring with the pyramid system coming on stream next season, surely that's going to have to be the Lowland League.

Edited April 25, 2014 by Kingsmills

[Yngwie]

 

One result of the madness at Rangers is that the club are unable to process credit/debit card payments, as their merchant provider has requested security over Ibrox. 

 

Presumably that is because the provider is very concerned about the risk of being hit with chargebacks, ie if you pay for a season ticket by credit card and the club is unable to fulfil its fixtures, you can claim a refund through the card company. Punters who will instead have to pay Rangers by cash or cheque will have no such protection.

 

Their whole business model seems to be based on increasing season ticket sales, but everything that is happening will have the opposite effect.

 

Off out to get some popcorn.

[dougiedanger]

We are the Pay Pal.

[KingBeastie]

I agree with Chris... 

[PerfICT]

UNBELIEVABLE!!!!! So, amidst all the comment on "mismangement" and "learned our lesson" rhetoric there's a "McCoist's budget for next year will be unaffected" snippet....! Granted, we don't know what his budget had been set out, but given the eye-boggling amounts of cash flushed down the pan on promotion to the championship, you'd imagine there'd be no budget at all for McCoist this year. Ah no - they'll magic up another £30 M from nowhere and spend uncontrollably again .....with a view to winning the premiership by 2017

 

So entertaining!

[+DoofersDad]

The sad thing is though that there will always be "businesmen" who will pour good money after bad to support the club and their over paid, under-performing players rather than use the money to pay their own staff a decent wage  The fan base remains huge and the income stream will remain well above any other club in Scotland apart from Celtic.  Even with very poor management from the Board they will continue to rise up through the ranks which in turn will fuel the income stream.  Yes, there will be a few more alarms along the way but as surely as night follows day they will be established as one of the top 2 in 3 or 4 years.  Lets just enjoy it whilst we can.

[cantankerousoldgit]

Basically they have tried to cheat again by bringing in players beyond their means - players we could not afford two or three divisions above them. They have no shame.

[Scarlet Pimple]

As has been suggested, the new incoming wealthy members of their Board or Executive will just have to pony-up more cash.

 

Failing that , they will face the loss of any money already sunk in and condemn Glasgow Rangers to  a very uncertain future for this once mighty and prestigious club.

 

It's never-ending tomfoolery on a grand scale. Awesome actually. It can't go on forever and anyone else who fancies his/her  chance as the sole investor of millions must be out of his or her mind to even contemplate it.

The grandeur and fame of the past will bring few rewards in the immediate future to the New Chancers , I fear. 

 

Looks as if Rangers could be finally doomed to oblivion.

[12th Man]

They are all fecking idiots. Too many parasites at the club bleeding it dry. From the field to the board

[CaleyD]

As I have just posted on Twitter....

 

The Rangers FC have spent more in the last 2 seasons than ICTFC have in 20 seasons....including the cost of our stadium.

[Kingsmills]

They have also spent more in less than 2 years than the original Rangers spent in their first 100......including the cost of flute bands.

[CELTIC1CALEY3]

Fair play, that's what I say.

 

Let's see what happens in the next few weeks with their season ticket sale targets. Even at a distance it is easy to see why supporters are reluctant to invest good money without transparency on the security.

 

Also, it might be late May before they discover whether Terry Butcher will be gracing Ibrox next season with his brand new Hibs team.

[Kingsmills]

Fair play, that's what I say.

 

Let's see what happens in the next few weeks with their season ticket sale targets. Even at a distance it is easy to see why supporters are reluctant to invest good money without transparency on the security.

 

Also, it might be late May before they discover whether Terry Butcher will be gracing Ibrox next season with his brand new Hibs team.

 

Not often the words 'fair play' appear in a discussion about The Rangers.

[IBM]

They are selling season tickets for next year, this season has not finished yet

[Kingsmills]

To be fair, so are a number of teams. We tend to be slow off the mark as far as season ticket marketing is concerned.

[Alex MacLeod]

Going to be some Championship next season. Hearts with their current team are the ones I'd predict to come up. Sevco are really going to struggle. They need to make big cuts so I see quite a few of their high earners out of a job.

[+DoofersDad]

The struggles off the park have picked up a notch.  New criminal investigations according the BBC.

http://www.bbc.co.uk/sport/0/football/27177760

[KingBeastie]

tomfoolery on a grand scale.

 

   

[Scarlet Pimple]

:lol:Yep! King Beastie

 

Brevity is the soul of wit.

 

Thinks! ......."Shoot! What does that say of the Pimple's oft loquaciousness?"  :crazy:Is he a wit or a twit? 

[KingBeastie]

What's a "t" between friends?!

[+HawkeyeTheGnu]

Apparently they are currently trying to raise funds for a pot to p!$$ in!

[KingBeastie]

Seeing as they cannot decide what type of pot to purchase I think they should give all of their money to me in the meantime and I'll look after it while they argue over what type of pot to get.