PracticeConsultingInsolvency – Football clubs thrown a lifeline

Insolvency - Football clubs thrown a lifeline

Football league officials are meeting today to examine submissions from the four clubs currently being run by administrators as they try to prove they will be solvent by the start of the new season.

Crystal Palace, which was bought by computer entrepreneur Mark Goldberg last year, is the highest-profile club to find itself in financial trouble.

The others are Portsmouth FC, Luton Town and Chester City.

Goldberg paid £23m for Palace last summer but it now has debts of £10m.

He brought former England coach Terry Venables in as manager on a package believed to be worth more than £1m a year, though he left the club when administrators were called in earlier this year.

David Rolph, a corporate recovery partner at Moore Stephens which is acting for the club, said he was confident a buyer could be found.

‘There are several interested parties and we should be out by the beginning of the season,’ he explained. Rolph added his firm had acted for other football clubs, on the audit and corporate finance side.

He also suggested that the Football League would extend the deadline set for the clubs to the start of the football season.

A league spokesman, however, stressed it wanted clubs to be out of administration by the end of this month.

The future for Portsmouth FC looked brighter this week after its £4.6m cash sale by administrator HLB Kidsons looked to be nearing completion.

Tom Burton, a corporate recovery partner at HLB Kidsons said he was waiting for the league to ‘rubber stamp’ the new deal.

Related Articles

5 tips for SMEs to protect cash flow

Accounting Software 5 tips for SMEs to protect cash flow

3m Alia Shoaib, Reporter
Tyrie on Finance Bill 2017: ‘Making Tax Policy Better’

Consulting Tyrie on Finance Bill 2017: ‘Making Tax Policy Better’

9m Stephanie Wix, Writer
Managing partner Q&A - the year ahead: Richard Toone, CVR Global

Accounting Firms Managing partner Q&A - the year ahead: Richard Toone, CVR Global

10m Kevin Reed, Writer
Friday Afternoon Live: HMRC complaints rise; Deloitte scoops big audits; and corporate reporting woes

Audit Friday Afternoon Live: HMRC complaints rise; Deloitte scoops big audits; and corporate reporting woes

11m Kevin Reed, Writer
New head of equity capital markets for KPMG

Accounting Firms New head of equity capital markets for KPMG

11m Stephanie Wix, Writer
Deloitte 'self-imposes exile' on government contracts to defuse PM row

Accounting Firms Deloitte 'self-imposes exile' on government contracts to defuse PM row

10m Kevin Reed, Writer
Managing partner Q&A - the year ahead: Julie Adams, Menzies

Accounting Firms Managing partner Q&A - the year ahead: Julie Adams, Menzies

10m Kevin Reed, Writer
Friday Afternoon Live: Deloitte's tech thing; PAC wants HMRC 'contingencies'; and Sports Direct

Business Regulation Friday Afternoon Live: Deloitte's tech thing; PAC wants HMRC 'contingencies'; and Sports Direct

10m Kevin Reed, Writer