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WA BEARS

Quicksilver

Bench
Messages
4,359
Difference is your buying into an established low risk investment with instant known returns in Souths case.
A new start up costs and is inherently risky of how long till you get any money back.

If you had to spend $30mill on a license and another $20-30mill on set up costs how long do you think it would take to see any sort of return when most established clubs are lucky to make $1.5-2mil a year profit?

I agree. A Rugby League club in Perth is a mindboggling risk. Lots of downside and not a lot of potential upside. You would need everything to go right for it to be successful. Chance of making money? 1% and the best possible return would be what? 5%? I wouldn't fork out $1000 on it.
 
Messages
664
Difference is your buying into an established low risk investment with instant known returns in Souths case.
A new start up costs and is inherently risky of how long till you get any money back.

If you had to spend $30mill on a license and another $20-30mill on set up costs how long do you think it would take to see any sort of return when most established clubs are lucky to make $1.5-2mil a year profit?
But surely investors aren`t buying into this to make money, like the old line ` you don`t invest in sporting teams to make money`, they`re buying in so WA can have an NRL team and they can enjoy the perks, prestige and thrills that being owners/investors associated with that.
Maybe just not enough of them ?
 

Perth Red

Post Whore
Messages
69,733
But surely investors aren`t buying into this to make money, like the old line ` you don`t invest in sporting teams to make money`, they`re buying in so WA can have an NRL team and they can enjoy the perks, prestige and thrills that being owners/investors associated with that.
Maybe just not enough of them ?
Up to a point. There's only so many billionaires in Australia who can afford to chuck huge sums away on a sporting folly. The rest are millionaires with a limit.

And again we dont actually know what the issue is. Is it lack of capital, lack of the amount the bids have said theyll spend on grass roots, the 13th hour introduction of a license fee, or just an excuse to save face because clubs or tv have said no?
No one yet knows what the actual issue is. Saying the 'business case doesn't stack up' could mean anything.
 

BuffaloRules

Coach
Messages
15,488
But surely investors aren`t buying into this to make money, like the old line ` you don`t invest in sporting teams to make money`, they`re buying in so WA can have an NRL team and they can enjoy the perks, prestige and thrills that being owners/investors associated with that.
Maybe just not enough of them ?

Also … the NRL is paying each club grants that pay the player, coaching and admin costs …( well they should cover all that) ..,

The risk of losing money is not what it used to be
 

Quicksilver

Bench
Messages
4,359
Up to a point. There's only so many billionaires in Australia who can afford to chuck huge sums away on a sporting folly. The rest are millionaires with a limit.

We should look overseas for some povo billionaires who can't afford a soccer team. It'll be like having an onsite van instead of a holiday house.

It's still fun but not everything you want.
 

BuffaloRules

Coach
Messages
15,488
Up to a point. There's only so many billionaires in Australia who can afford to chuck huge sums away on a sporting folly. The rest are millionaires with a limit.

And again we dont actually know what the issue is. Is it lack of capital, lack of the amount the bids have said theyll spend on grass roots, the 13th hour introduction of a license fee, or just an excuse to save face because clubs or tv have said no?
No one yet knows what the actual issue is. Saying the 'business case doesn't stack up' could mean anything.

Get Twiggy or Gina involved
 

BuffaloRules

Coach
Messages
15,488
Gina is too busy having her old lady licked by the daily tele and weird boomers on Facebook for withdrawing money from "woke" netball. Heaven help us if the Bears end up signing a bear or something.

Could try to get Gina interested talking up the NRLW team they would have …
 

MugaB

Coach
Messages
15,175
If you want to get rid of the bye, kill off a side. There are a fair few that you could or should get rid of; most definitely including mine.
No one wants that, you delete fans automatically and also more importantly content, content is king, and even the worst run side is worth watching up against a well run storm/panthers/dolphins/bronx etc, content and not pissing in fans has been the play from abdos/pvls tenure
 

Iamback

Referee
Messages
20,381
If you want to get rid of the bye, kill off a side. There are a fair few that you could or should get rid of; most definitely including mine.

Your side has very good figures as far as assets and money are concerned. Not to mention the benefit to Regional Southern NSW of having a side so close.

No reason to kill off anyone especially IF there is a bid that ticks the boxes
 

Wb1234

Immortal
Messages
33,987
Why would the ARLC insist on a NS board rep, and why leave it this late to let the bid know that?
They've had months of negotiations with the two parties. Surely the time to raise the ARLC's preferred constitutional make up of the club was before the bid went in?
Maybe there was something in the bid or the way Cummins has conducted himself that was a red flag for the arlc ?
 

Wb1234

Immortal
Messages
33,987
Also … the NRL is paying each club grants that pay the player, coaching and admin costs …( well they should cover all that) ..,

The risk of losing money is not what it used to be
Every club club should be making profits even expansion clubs

And over time the grants will increase further over the cap
 

Wb1234

Immortal
Messages
33,987
Yeah … it’s a reasonable point… I have argued with you before that this whole process should have a lot more transparency …

$20mil is cheap … someone mentioned earlier that was the price someone paid for 25 percent of Souths …

I would say $30- 35m
If he doesn’t have that cash just give them 20,000 Rolex watches
 

Wb1234

Immortal
Messages
33,987
They will be a one twentieth owner of the NRL moving forward the same as Sourhs … along with sharing in the same NRL profits as them … if the recent sale of the Souths share values them at $80m … ( and that was 3 yrs ago) I think it’s a reasonable price IMO…

I’ll make it clear that this is my opinion only in case anyone might take offence
Dragons sold equity in their club for a value of 20 million

Manly were offered 20 million by Qatari investors and they said no

Souths was an outlier packer paid less on his valuation maybe 40 million

Broncos are worth around 105 million
 

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