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  1. #11
    Join Date
    Nov 2011
    Posts
    17,271
    Seems others see the possibility of asset stripping being the new objective;

    https://motforum.com/article.php?page=46858

    One of the comments;

    "Re: The #LUFC Breakfast Debate (Friday 16th August) Leeds set to lose out on Rowe
    Post by Sean_Nile » Fri Aug 16, 2024 8:10 am

    Venture capital firms (VCs) are on the lookout for clubs with high growth potential. They provide not only capital but also strategic guidance, networking opportunities, like the recent involvement of Red Bull. However, there are concerns and instances where the practices of some venture capital firms might resemble asset stripping.

    Asset stripping refers to the practice of buying a club, selling off its valuable assets, and then leaving the remaining parts of the club to decline. This often results in significant financial gain for the investors but can be detrimental to the club's long-term viability.

    VCs often gain significant control over the clubs they invest in, including board seats and decision-making power. This control can be used to push for asset sales. Release clauses in contracts.

    VCs may pressure club founders and executives to sell players to quickly recoup their investment. A quick profit of over 100 million in one year is not to be sniffed at... and really we did it because of FFP, whatever that silly little law means... sheesh those Brits what do they know about business anyway?

    Venture capital firms might prioritize short-term returns over long-term growth, leading to decisions that maximize immediate gains at the expense of the club's future. You ain't seen nothing yet... you think the sale of Archie, Cry, Glen, and Geo were bad wait to see what is coming next... surprise surprise.

    It's the s**t that happens to you when you least expect it that holds you back."

    Kind of what I said, but maybe more eloquent.

    It's not nonsense it just doesn't align with certain views. Actions speak louder than words, and just what action-based evidence do we have that 49-ers Enterprises are committed to long-term investment, rather than pocketing the £100m+ generated so far this TW and then selling the club and it's fixed assets (ER, Thorpe Arch etc. which they still own, let's not forget), probably for as much as they paid Radrizzani and running for the hills?
    Last edited by WTF11; 16-08-2024 at 09:37 AM.

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