Quote Originally Posted by EastStandRed View Post
Why would they spend £40-£50m building a new stadium? The land wouldn't be worth that so he'd be out of pocket straight away
The beauty of venture capitalism is that they never use their own money. Mister Lee will "borrow" the £40 million or whatever from the banking system but put the 100% mortgage in BFC's name so the club become responsible for the payments, When Mister Lee leaves BFC will have to make the payments as well as paying rent on the site. Borrowing other people's money is part of the reason it all went t1ts up in the USA in 2008 and the crisis spread globally. Guess who picks up the tab.
There may be some short term investment on players with unsustainable contracts but when no instant success comes abart Mister Lee say "No more money, I go now" and BFC are left to pick up the tab.

So we move from a financially stable club with it's own ground to paying rent on the land, a mortgage for the stadium and unsustainable player contracts. All to chase the dream of The Premiership against 18 other richer clubs. Mister Lee sells the Oakwell site for a tidy profit and laughs all the way to the bank. Careful what you wish for.