Breaking News Court Case Adjourned

[Jam_Man]

That'll be because there is no proof then. Sounds as though we're winging it at the moment. To me, it seems as though the Roots Hall purchase and therefore construction at Fossetts Farm is absolutely crucial to us continuing to exist as a business on 2nd August.

Whether there is proof or not Im not at all surprised they didnt have that information to hand, why would they?, thats not why they were there and the reason we were given time to put it together.

 

[Kent Shrimper]

Dont think its that far fetched - things cannot continue as they are.

If Sainsburys want this sorted, then surely it makes sense to give us the £13m, allow us to clear debts and get people off our back and start to operate as a club 'normally' again.

The last 3 accounts show loses of between £1.5 and £2.5m is that right? So £13m after paying debts off allows us (if required) to run as a normal club for a few years.

During which time, we can bring players in and try to have success ON the pitch that would bring in revenue and sponsership, but more importantly get the project finished.

I dont think its beyond the realms of possibility myself.

How exactly are we going to get the project started, let alone finished if all we use the Roots Hall money for is paying the Tax man. Im sure you need steel and concrete, quite alot, im no stadium builder

 

[palexander]

Not wishing to be rude or owt, but Justin King will start shopping in Tesco before he simply hands our financially struggling club / chairman £13m! What planet are you on?!

Sainsbury would, I'm sure, rather see the club liquidated than hand over that kind of money.

Ha! yea I know it sounds mental, but I dont see what other option they have (perhaps Rons strategy all along, get them in balls deep and they cannot pull out). Dont think anyone knows how us being liquidated would affect the planning permission? Perhaps it would all be ripped up and have to be reapplied etc... who knows?

They wouldn't be giving Ron Martin anything though, would they? They'd be buying Roots Hall.

Is a better way of looking at it...

 

[Razam]

The only thing I can think is Sainsbury's have agreed to hand over the rest of the money for RH (£13m or so?) on August 1st...

That wouldn't make sense - as I understand it, the money from sainsbury's is for the purchase of Roots Hall. That money was planned for the (part)financing of the new stadium. If the sainsburys money is used to pay debts & run the club this season - then what would we use to build the new stadium - without which we're not gonna be a viable (solvent) business??

 

[Jam_Man]

Not wishing to be rude or owt, but Justin King will start shopping in Tesco before he simply hands our financially struggling club / chairman £13m! What planet are you on?!

Sainsbury would, I'm sure, rather see the club liquidated than hand over that kind of money.

It wouldnt be a present would it, they are paying for the land.

Whats more concerning for me is we are spending all this money on debts and bills when it surely would have been used to pay for the new stadium....

EDIT Sam as Razam above :)

 

[palexander]

How exactly are we going to get the project started, let alone finished if all we use the Roots Hall money for is paying the Tax man. Im sure you need steel and concrete, quite alot, im no stadium builder

I'm sure the build is a lot more than £13m? I'd imagine (hey, listen to this naivety!) we have a lot of the funds in place to actually start the project. Surely we arent starting to build from a position of -£millions....

I dont know, I'm not going to even pretend to know anything - its all above my head, but just surmising on a possible outcome.

 

[Smiffy]

That wouldn't make sense - as I understand it, the money from sainsbury's is for the purchase of Roots Hall. That money was planned for the (part)financing of the new stadium. If the sainsburys money is used to pay debts & run the club this season - then what would we use to build the new stadium - without which we're not gonna be a viable (solvent) business??

No, it wouldn't. But Ron has used many millions of the purchase price already, to pay some debts. Why not some more...

We must be well short of the required funds to get the project underway anyway. Unless Sainsbury's bank have agreed to loan Ron £70m+ to get the ball rolling?!!

Who in their right mind will lend that man, or any of his companies the money to pay for the project. The only option is Sainsbury's...

 

[Jam_Man]

I'm sure the build is a lot more than £13m? I'd imagine (hey, listen to this naivety!) we have a lot of the funds in place to actually start the project. Surely we arent starting to build from a position of -£millions....

I dont know, I'm not going to even pretend to know anything - its all above my head, but just surmising on a possible outcome.

We are unable to even run the club on a day to day basis. How we are meant to have funding in place for a 70 million pound development I have no idea...

 

[Beefy]

So the issue is can he demonstrate we are a viable business....

Not really, because we are not a viable business. I guess he needs to show what he is going to do to get us paying our bills and other obligations even though we're not viable. There's no way that we can show anything that will convince anyone that we're suddenly going to be able to generate enough cash because the business model is fundamentally flawed. He'll need to show that there are firm plans in place to get sufficient funding in from outside the business.

 

[TCR]

That wouldn't make sense - as I understand it, the money from sainsbury's is for the purchase of Roots Hall. That money was planned for the (part)financing of the new stadium. If the sainsburys money is used to pay debts & run the club this season - then what would we use to build the new stadium - without which we're not gonna be a viable (solvent) business??

When will people stop confusing Southend Utd with the RM group of companies. Southend own nothing and are building nothing. If they buy Roots Hall then the money is not paid to Southend it goes to the company that owns it i.e. Ron. It is Ron who then lends the money to Southend to cover debts and expenses. We will make less of a loss this year even with reduced attendances (and silly boycotst) as there will be less non-playing staff to pay and a much smaller players wage bill.

 

[Holy Joe]

"Adding to Southend's woes is a winding-up petition relating to a debt believed to be £140,000 that was due to be heard next Wednesday. "

So is the winding up petition next week cancelled or could we be liquidated then?

 

[BryanDogg]

At least we now know why Francis was released today. Another high wage off the books to show the tax man that we're in a position to go forward. Expect Mildy to go the same way if they can't get a deal done to ship him out in the next week or so.

 

[Beefy]

"Adding to Southend's woes is a winding-up petition relating to a debt believed to be £140,000 that was due to be heard next Wednesday. "

So is the winding up petition next week cancelled or could we be liquidated then?

I would assume that that case will now be cancelled, although could well be wrong. At least we now know the size of that debt (140k)

 

[Firestorm]

We are unable to even run the club on a day to day basis. How we are meant to have funding in place for a 70 million pound development I have no idea...

SUFC will not be securing the finances for FF though.

That will be the company arranging the build, SEL, RHL, Metzcal, MD , Tribeca ...one of them

 

[IloveShrimp]

Yep.

So much for the "Secured funding" to "Pay the debt in full before the hearing"

Simon Francis's fee... or not as is now the case?

 

[Cricko]

SUFC will not be securing the finances for FF though.

That will be the company arranging the build, SEL, RHL, Metzcal, MD , Tribeca ...one of them

It's all much of a muchness these days they are so intertwined...If SUFC have paid some monies towards the project re: Deloittes CCJ and that is only one figure we are sure of, I don't know how you can separate them anymore...Do you honestly think all the monies RM/Sainsburys are putting in to save the club are for the benefit of SUFC....Of course they are not it is all to save the long term project and the whole redevelopment.

 

[Smiffy]

SUFC will not be securing the finances for FF though.

That will be the company arranging the build, SEL, RHL, Metzcal, MD , Tribeca ...one of them

And who or what lender will touch any of those with a barge pole?...

 

[Beefy]

And who or what lender will touch any of those with a barge pole?...

Ocean Finance?

 

[Beefy]

Do you honestly think all the monies RM/Sainsburys are putting in to save the club are for the benefit of SUFC....Of course they are not it is all to save the long term project and the whole redevelopment.

That's the same thing, surely?

 

[Cricko]

That's the same thing, surely?

yep ..hence me saying you cannot separate one from another anymore.