New Balance Sheet

[Evesham Pie]

You're not wrong in that they are classed as distributable reserves if they reflect a positive balance, that could be payable to shareholders as dividends. However Notts have over £26m of cumulative losses so no dividends can be paid.

The P&L reserves can't be used to cover future expenses.

[sinophile]

Thanks, Evesham. It's not my strong area, I'm on much firmer ground discussing economics.

[Chicken Balti Pie]

The loss in 2022/3 is £2.756m.

You can see this from a balance sheet in the movement in P&L reserves, which are the running total of losses or profits over time .

In simple terms:-

P&L Reserves at June 2022 (£23.368m) ie cumulative losses at June 2022

Loss for 2022/23 (£2.756m)

P&L Reserves at June 2023 (£26.124m) ie cumulative losses at June 2023

You can determine that the owners loaned that amount. It doesn't mean it was a loss, it could be used for capex (you know, the sound system, the panel courts...)

[Evesham Pie]

Capex doesn't impact P&L reserves. Neither do loans.

[60YearsAPie]

Thanks, Evesham. It's not my strong area, I'm on much firmer ground discussing economics.

Evesham is 100% correct. If at the beginning of the financial year, your accumulated losses are £23,368,739, and at the end of the financial year, the accumulated losses are now £26,123,834, taking one from the other gives you the profit or loss for that year. In this case a loss of £2,755,095. It matters not what assets we've acquired or how much the brothers have put into the business; these do not affect the loss for the year of £2,755,095.

[Lullapie]

AH didn't have a pot to pi$$ in. RT alluded to that when he was spouting off to the media about wanting to buy the club off him Plus AH was trying to sell the club even before it went tits up. AH was a Michael Knighton, wanted to be famous(ish) & mix with the big boys in Football.
RT's fault was sacking Managers too quick. He wanted success but quicker than it was going to happen, hence then it turned sour between RT & the fans, basically it was "up yours then, it's my money helping the club survive & if you don't like my actions, I'll pull the pin"

RT had good intentions, AH was on an ego trip, in my opinion

Wasn't that virtually the same as I said? I think you're a bit wrong about Hardy's funds. He did have money, but wanted success too quickly. His ego overtook his business brain.

[1955pie]

So who do we think we owe £26m to?

[Evesham Pie]

So who do we think we owe £26m to?

Notts owe £13.9m to the Reedtz brothers and companies linked to them.

This is less than the cumulative losses of £26m because historically Notts shareholders bought shares for £12.6m, giving the equivalent cash to the club. This means that the £26m of losses that Notts have incurred have been funded by share capital contributions of £12.6m and debts owed to the Reedtz of£13.9m.

[upthemaggies]

So who do we think we owe £26m to?

The milkman.

[Old_pie]

Wasn't that virtually the same as I said? I think you're a bit wrong about Hardy's funds. He did have money, but wanted success too quickly. His ego overtook his business brain.

I'm fairly sure AH's main supply of money was the profits from Paragon which was doing quite well until a combination of Little Alan appearing on (what was then) Twitter and his taking his eye of the running of the business. Once Paragon went the source of money disappeared.