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#Post#: 97104--------------------------------------------------
Re: Wasps: Premiership club 'likely' to go into administration
'within days'
DIR By: Sketchley
Date: October 12, 2022, 3:08 pm
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We've lost two home games now. Do we get a season ticket refund?
#Post#: 97107--------------------------------------------------
Re: Wasps: Premiership club 'likely' to go into administration
'within days'
DIR By: Rocker
Date: October 12, 2022, 5:28 pm
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I can see if there is a "domino" that the RFU might have to step
in and centrally contract players and then that presumably leads
to regional franchises. Whether they have anything to do with
the existing clubs identities I guess friends on many factors.
But it isn't hard to see London having 2 teams (North and South
for arguments sake) and those being Quins and Sarries. The thing
is if you were staying with a black sheet of paper would you
design pro rugby in this country the way it is currently? I know
I wouldn't....
#Post#: 97109--------------------------------------------------
Re: Wasps: Premiership club 'likely' to go into administration
'within days'
DIR By: Camquin
Date: October 12, 2022, 5:49 pm
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It is hard to understand how the premiership clubs manage to
chuck away so much money.
With £7 million from PRL from TV and sponsorship, plus £2m from
RFU for the academy and about £3m for shirt and pitch
sponsorship - and then any money from tickets and wet sales,
from hospitality and other events in the stadium, every team
should be able to generate £20m in income.
The salary cap is set at £6m, though due to the exceptions many
clubs are spending up to £10m.
So to break even you only need to keep the cost of sales and
general operations under £10m - but none of the teams seems to
manage to do it.
A middling championship club is probably operating on about £2
million, though Ealing is probably spending a little more, and a
National One club well under a million.
There is a RFU Club Financial Viability Group, it has obviously
been asleep at the wheel. Losing two clubs within the first
month of the season, to quote Oscar Wilde, "looks like
carelessness"
Especially in a season where Ealing were shut out, officially,
for not having a ground that seats 10,000.
and therefore not audited to the same level as other grounds.
Though it is perfectly safe as a Championship ground.
Given the debts on their balance sheets, I am expecting that
both Worcester and Wasps will be liquidated. And it was clear in
May that Wasps were insolvent - as otherwise they would have
paid off their bond.
Worcester had not submitted accounts and were threatened with
being struck off, it was not the first time they had failed to
submit accounts. That should be a red flag. In fact, I think it
should be at least a Notifiable event, if not treated as an
insolvency event - as there is no good reason for accounts to be
that late.
#Post#: 97113--------------------------------------------------
Re: Wasps: Premiership club 'likely' to go into administration
'within days'
DIR By: KentQuin
Date: October 13, 2022, 12:39 am
---------------------------------------------------------
--- Quote from: Rocker link ---
>
> I can see if there is a "domino" that the RFU might have to
step in and centrally contract players and then that presumably
leads to regional franchises. Whether they have anything to do
with the existing clubs identities I guess friends on many
factors. But it isn't hard to see London having 2 teams (North
and South for arguments sake) and those being Quins and Sarries.
The thing is if you were staying with a black sheet of paper
would you design pro rugby in this country the way it is
currently? I know I wouldn't....
>
--- End Quote ---
I can't see them ripping up and starting again. That would
simply alienate the existing fan base. It didn't work for
Wasps....
Tigers, Quins, Bath etc. are all brand names which have real
value. Personally I think they'd be mad to throw that away.
A ringfenced premiership of 8 to 10 teams, with central
oversight from a commissioner, is more likely. So fewer, bigger
games with international players available throughout, and
increased central oversight. Then after a few years introduce a
promotion/relegation play-off perhaps.
#Post#: 97116--------------------------------------------------
Re: Wasps: Premiership club 'likely' to go into administration
'within days'
DIR By: Quinder Egg
Date: October 13, 2022, 1:57 am
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--- Quote from: Nico Wilson link ---
>
> Yes, and I did. It pays out 5.5%
>
--- End Quote ---
When is the original capital due to be paid back to you? My
fear is this could be a similar situation for us?
#Post#: 97117--------------------------------------------------
Re: Wasps: Premiership club 'likely' to go into administration
'within days'
DIR By: A222Quin
Date: October 13, 2022, 2:53 am
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--- Quote from: Quinder Egg link ---
>
> When is the original capital due to be paid back to you? My
fear is this could be a similar situation for us?
>
--- End Quote ---
There’s a couple of differences between the bond Quins offered
and the wasps one from what I understand. A) Wasps bond was
‘guaranteed repayment. Quins isn’t.
B) Wasps raised about £35m. Quins raised about £4m - mostly
based on the reason given above.
From memory it was due to be repaid a year ago but they gave us
the option to leave it in which I did. 5.5% was particularly
good back then.
#Post#: 97118--------------------------------------------------
Re: Wasps: Premiership club 'likely' to go into administration
'within days'
DIR By: East Sussex Chris
Date: October 13, 2022, 3:01 am
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Why should we feel sorry for a club that tried to destroy and
plant itself on another clubs patch, should never have been
allowed to happen.
#Post#: 97120--------------------------------------------------
Re: Wasps: Premiership club 'likely' to go into administration
'within days'
DIR By: Camquin
Date: October 13, 2022, 3:20 am
---------------------------------------------------------
I would be happy with a ringfenced league if it generated income
for the RFU, but you cannot expect other clubs to support you
unless there is full promotion and relegation.
The RFU, so every other club in the country, is currently paying
every premiership club about £2m plus providing referees and a
team of four free of charge.
Meanwhile, all the other clubs pay for referees and for travel -
which really hurts clubs like Darlington and Redruth.
As a comparison, that money could be used to cut the subs for
mini and youth players by about £40 a head, or employ 500 full
time development officers to go into schools and run rugby
lessons.
#Post#: 97134--------------------------------------------------
Re: Wasps: Premiership club 'likely' to go into administration
'within days'
DIR By: Nico Wilson
Date: October 13, 2022, 6:30 am
---------------------------------------------------------
--- Quote from: A222Quin link ---
>
> There’s a couple of differences between the bond Quins offered
and the wasps one from what I understand. A) Wasps bond was
‘guaranteed repayment. Quins isn’t.
> B) Wasps raised about £35m. Quins raised about £4m - mostly
based on the reason given above.
>
> From memory it was due to be repaid a year ago but they gave
us the option to leave it in which I did. 5.5% was particularly
good back then.
>
--- End Quote ---
There was an offer of repayment. I left my money in. I think I
can get it out on six months notice.
#Post#: 97137--------------------------------------------------
Re: Wasps: Premiership club 'likely' to go into administration
'within days'
DIR By: T-Bone
Date: October 13, 2022, 6:36 am
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It's very sad news for Wasps, as it was for Worcester. I've been
to the Ricoh a few times. It is not a particularly enjoyable
matchday experience. Not that easy to get to, half-empty
stadium, the concourse bars don't feel like somewhere you want
to stay and have a drink.
Expecting your supporters to move 3 times in about 25 years was
always going to be a problem, and the local football fans at
each ground tend to dislike the rugby club as they ruin the
pitch. Coventry football fans seem to hate Wasps for no good
reason, as their own failings and history with the stadium are
not of Wasps' making. Coventry rugby fans is a different matter
I suppose.
The move to Coventry was only ever going to work as long as the
stadium and facilities was underwriting the rugby clubs' losses.
As soon as the hotel and casino struggled, that was bad news for
the rugby club.
There was a very sad post on Twitter from a Wasps fan explaining
how much the club meant to her and her family. I'm sure similar
stories could be told by supporters of all clubs. It is very sad
news for the players and staff, but to many supporters the loss
of their club will leave a big hole
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