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Financial fragility of the game

Discussion in 'NRL' started by Perth Red, Mar 17, 2020.

  1. Babyface O'reilly

    Babyface O'reilly Bench

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    Easts do have over a 150 mil in assets to dip into if they can’t afford the halftime organic oranges.
     
  2. Vic Mackey

    Vic Mackey Referee

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    Not being a dick here but clubs like the Dogs, Eels, Panthers are considered rich safe clubs, however isn’t that entirely on the back on their Leagues Clubs Grants? Didn’t Parra lose like $9mil last year or something? With the Leagues club being shut do some of these ‘rich clubs’ have some major issues?

    I would absolutely hate it if any club died off the back of this, no fans deserve that.
     
  3. T-Boon

    T-Boon Coach

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    That sounds right. I think Parra is also safe because of the fan base, town and ground. I would be fine with the Eels slot machine club going broke.
     
  4. Perth Red

    Perth Red Immortal

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    this year and possibly next year or two will be impacted for those clubs reliant on LC’s. Not a bad thing, clubs shouldn’t need to be spending $30million when we have caps of $16million to operate the football dept.
     
  5. Perth Red

    Perth Red Immortal

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    all LC are same, how easy it is to release those assets or borrow against them in this financial climate is questionable. They are not cash assets.

    ironically the historically two poorest clubs in nrl are the two with decent cash reserves!
     
  6. Mr Parramatta

    Mr Parramatta Juniors

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    Disagree, don’t want to see panthers go, but Parra rate better, draw better crowds, and superior membership, with a new stadium to boot! So your comment is not necessarily correct.
     
  7. Babyface O'reilly

    Babyface O'reilly Bench

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    Yeh good points but I’m sure Politis has contingencies in place. Which reminds me, he’s in the vulnerable age bracket. He might not be around to navigate these waters for us. Then again, I bet he’s planned for that too.
     
  8. Perth Red

    Perth Red Immortal

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    id be amazed if any business has adequate contingencies in place. This situation is unprecedented and has happened so quickly it would be hard to have rescue plans in place. My local restaurant owner was in tears last night bless her, the whole neighbourhood has vowed to buy as many take aways as we can afford to keep her head above water. It’s crazy out there.
     
    Last edited: Mar 24, 2020
  9. Perth Red

    Perth Red Immortal

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    Reported on nine news that clubs will receive $1.2million a month for 3 months from nrl.
    That’s $57.6mill of the nrl’s reserves gone.
     
  10. Wily Ole Dog

    Wily Ole Dog Juniors

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    Given there’s no Footy what sort of overheads would the clubs still have.

    does it cost 1.2 million a month to run a club in this environment?
     
  11. Zadar

    Zadar Juniors

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    Does the players salary come out of that?
    There is 800k straight up if it does.
     
  12. BlueandGold

    BlueandGold Juniors

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    upload_2020-3-24_17-25-36.png

    Parra is safe.
     
    Vic Mackey likes this.
  13. BlueandGold

    BlueandGold Juniors

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    Just as well they have over 90m in cash reserves then Hey Perth Red...
     
  14. johns_reds

    johns_reds First Grade

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    Unless everyone taking unpaid leave should be pretty high (not just players but club ceo, admin clerk etc)

    then what about thier contracts ? Office lease space etc. - these bills don’t stop
     
    SpaceMonkey likes this.
  15. SpaceMonkey

    SpaceMonkey Referee

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    They won't be on full pay. I'd be expecting the guys on big money in particular to be taking big pay cuts. Put them all on 80K a year with some individually targeted assistance for those who need it for mortgages etc.
     
  16. Wily Ole Dog

    Wily Ole Dog Juniors

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  17. Vic Mackey

    Vic Mackey Referee

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    I hope so

    Not seeing where that article proves that though
     
  18. Diesel

    Diesel Coach

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    Kenty wants a 12 team competition and says the clubs in trouble are Titans, Warriors and Manly. Yeah a 12 team comp with 8 Sydney clubs will be great FFS
     
    titoelcolombiano likes this.
  19. Diesel

    Diesel Coach

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    NQ
    Brisbane
    Newcastle
    Parra, Roosters, Souths, Penrith, Canterbury
    Melbourne
    Should all be safe.

    Warriors being based in NZ should be safe too for that reason and a lot of current NRL players have ties to NZ, but it depends what they bring in from NZTV money moving forward

    I’m not saying the other clubs aren’t safe, but the top 9 teams should be part of any future RL competition
     
  20. flippikat

    flippikat Juniors

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    I'd buy that.

    A competition with:
    Brisbane
    Newcastle
    5 Sydney Clubs: (in your example Parra, Roosters, Souths, Penrith, Canterbury.. but any 5 would do)
    Melbourne
    NZ Warriors

    Plus Dragons relocated to the 'Gong makes 10 teams.

    Add:
    Brisbane 2
    Perth
    Adelaide
    Central Coast (either a relocated Sydney club, Norths, or a new entity)
    NZ 2

    ..and one more team (Brisbane 3? NZ 3? Perth 2? Melbourne 2? Central Queensland??) would be 16 clubs.

    Same size, more balanced footprint.
     
    titoelcolombiano likes this.

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