PracticeConsultingBDO to rescue QPR from madhouse

BDO to rescue QPR from madhouse

Troubled football club Queens Park Rangers and parent company Loftus Road plc - placed in administration yesterday - have already received two offers to buy the group.

Ray Hocking and Simon Michaels of BDO Stoy Hayward have been appointed as administrators to the club, which has losses running at £570,000 a month.

The firm told Accountancyage.com today that ‘two serious parties’ had already come forward, although no agreements had been made.

As it stands, Chris Wright, chairman of QPR and founder of the Chrysalis media empire, will continue to support the group financially until the end of October this year.

The club is £10.5m in debt, with £9m owed to Wright. The additional £1.5m is owed to private parties.

BDO’s Hocking, said: ‘Getting a new buyer could take a few weeks, but we will wait until we get the right offer.

‘There is no panic to dispose of this in the next few days or the next few weeks. We want to do it properly and we are looking at long-term survival here, not a quick fix.

‘I don’t see it as a situation threatening the existence of QPR, more as a necessary step.

‘In the future there will still be a QPR,’ he added.

Hocking said that football clubs are operating madhouse economics.

‘We are now trying to bring this back into some sense of normality and run things in a proper commercial way as any other company, which means you’ve got to budget your income and expenditure and balance those,’ he said.

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