windmill
Geoff Thomas
How much is there?
Forest's Debt
- Thread starter windmill
- Start date
wearenottingham
Jack Armstrong
I seen figures up to 40m being battered around, doubt it's that high. Irrelavant though as it's owed to Doughty, and he ain't going anywhere.
Randy Bumgardener
AKA Randy Bumgardener
It's the figure the Derby lot seem to think we owe for some reason ! The owner of the club has lent the club moeny. Technically he owes himself. He would never leave the club with that debt. No doubt it would be included in any sell on value !
It's Baggio
John Robertson
It was £40.2m at the last set of accounts.
Although it's not really a 'debt'. ND has borrowed money to an entity owned solely by ND...
Although it's not really a 'debt'. ND has borrowed money to an entity owned solely by ND...
Zeus
First Team Squad
Money is Debt :blink:
zigga-zagga
Viv Anderson
ND has said that that Forest don't have to repay the debt until they are in a position to pay it all at once.
This obviously means when we are re-established in the Premier League OR when some rich Middle Eastern gentleman deems us to be worth buying at a price that enables the loan be repaid.
This obviously means when we are re-established in the Premier League OR when some rich Middle Eastern gentleman deems us to be worth buying at a price that enables the loan be repaid.
garrilla
Viv Anderson
As I undersdtand the method of investing in Forest as a loan is two-fold. Firstly, it allows the money to escape the clutches of the taxman, meaning more for the club. The 'repay in full' is on the interest charged on the loan, which he has to do for the taxman to consider it a loan and not a gift, which is taxable. Secondly, it is debentured/guaranteed, so if the club were to fall on hard times Doughty would still be the biggest creditor and would remain in control during any insolvency proceedings.
Its standard practice. Jack Hayward put £80m into Wolves in this way, and when he retired he sold the club to Steve Morgan for £10 (yes, a tenner) and a covenant to invest £30m over a number of years.
It would be worrying if it was Bank Loans underwritten by the owners, as it is at Derby, but its not, so don't fret. ;D
Its standard practice. Jack Hayward put £80m into Wolves in this way, and when he retired he sold the club to Steve Morgan for £10 (yes, a tenner) and a covenant to invest £30m over a number of years.
It would be worrying if it was Bank Loans underwritten by the owners, as it is at Derby, but its not, so don't fret. ;D
Mick
First Team Squad
Was looking at this myself thuther day.
Try this: http://www.thisisnottingham.co.uk/homesport/Doughty-takes-spending-Forest-45m/article-544366-detail/article.html
and this: http://forest.theoffside.com/misc/financial-times.html
From the second article: At May 31st 2008 the club was in debt to the tune of £43.8 million. Of this figure, £3.6 million is owed to Nottingham City Council, and £40.2 million is owed to the Chairman in loans.
Try this: http://www.thisisnottingham.co.uk/homesport/Doughty-takes-spending-Forest-45m/article-544366-detail/article.html
and this: http://forest.theoffside.com/misc/financial-times.html
From the second article: At May 31st 2008 the club was in debt to the tune of £43.8 million. Of this figure, £3.6 million is owed to Nottingham City Council, and £40.2 million is owed to the Chairman in loans.
Eddie
Grenville Morris
Micks said:
Its numbers like that that make me really appreciate having Nigel Doughty as chairman. There aren't many people out there who would have been so generous with their money and so relaxed about the repayment of it. I can't believe the amount of fans who criticise this guy.
W
winnits
Guest
Randy Quailsnatch said:
The Sheepies also randomly sang 'Forest going down with a fiver in the bank' last season, even though that's patently not been the case.
Basically, they're idiots
FBS
Steve Chettle
Winnits said:The Sheepies also randomly sang 'Forest going down with a fiver in the bank' last season, even though that's patently not been the case.
Basically, they're idiots
They sang that the other night when they were on TV.
Hoax
Grenville Morris
Derby are going down with minus god knows how much in the bank, 50,000 injuries, a manager that is fit for the conference, some free t-shirts and a partridge in a pear tree
trent-ender
Youth Team
Eddie said:
I'm a Doughty fan as well, but I seem to remember the last time i looked at the clubs accounts we were paying interest on his loan of around four million a year. Don't know if anyone can shed light on that?
wearenottingham
Jack Armstrong
Be surprised that figure was true, from what I understand the interest rate is stupidly low (below 1%) and is just there to dodge the tax man.trent-ender said:
the mask of zorro
Geoff Thomas
trent-ender said:
As an ex shareholder, I still get posted the accounts and i haven't seen that anywhere.
Randy Quailsnatch said:
It's funny the Sheep love to keep telling us we are 40 million in debt, yet no one talks about Man u's or the scousers third world size debts.
last year the sheep insisted they had no debt, then suddenly £30 mill appears
It's Baggio
John Robertson
trent-ender said:
I haven't seen the full set but on the summary posted on the OS, we paid 100k in interest for the last 2 years.
http://www.nottinghamforest.co.uk/page/NewsDetail/0,,10308~1487844,00.html
Eastwood Red
Grenville Morris
Basically Nigel owes himself money... So it's not really "debt".
He wouldn't leave the club with it anyway, and like it has been said in this thread it would most likely be included in any sale anyway. Which I can't see happening anytime soon at all.
He wouldn't leave the club with it anyway, and like it has been said in this thread it would most likely be included in any sale anyway. Which I can't see happening anytime soon at all.
B
Bridgfordred79
Guest
I have never understood that chant.Winnits said:The Sheepies also randomly sang 'Forest going down with a fiver in the bank' last season, even though that's patently not been the case.
Basically, they're idiots
"Fiver in the bank"?
So if we take away the "debt" owed to Doughty, we only owe a couple of million to the county council?
That isnt much debt at all.
king_congo_red
Ale Ape
Jakski B said:
I'd compare it more to a son borrowing money from his Dad.
It's not quite as secure as is being presented here. The chariman's personal wealth has been hit hard by the recession, to the tune of about £50million in under 12 months according to reliable estimates.
If there comes a time that he needs it back, make no mistake that he will take it and he'll do so ruthlessly. I'm not an anti-Doughty man, but you can't deny that he's played slippery and loose with the club's future before - and he'll do so again if he needs to.
If there comes a time that he needs it back, make no mistake that he will take it and he'll do so ruthlessly. I'm not an anti-Doughty man, but you can't deny that he's played slippery and loose with the club's future before - and he'll do so again if he needs to.
ShakeyRed
Viv Anderson
ç¤ñĝð_ŗèđ said:
Can i just say that if either of my sons are reading this forum then please put my wallet down and ignore the above comment.
Thank you.
windmill
Geoff Thomas
ShakeyRed said:
Can i just say that the game in your sig is awesome
incapable hulk
Best served cold
Broganator said:
That was from 2008 though...and im sure doughty said in one of those "words from the chairman" articles on the official site, that we are now ostensibly debt free. Which I took to mean that council debt was gone, and the only debts the club had were the £40 odd million that doughty owes himself.
Could be well wrong on that though, and im sure whoever it was said they still get the accounts from time to time can shed some light on that
Tutts
Ian Bowyer
1st Class Camp said:
Personal Wealth is only likely to be investments and properties on the whole. It's not like they're not likely to recover soon when we're out of recession.