james456 wrote:A few posters on here were saying that we are making a profit on the Sainsbury's deal and that there was some cash spare for transfers - is this untrue?
To my knowledge no one has ever said anything like that. Only directors would know the full extent of the club's finances.
The only comment that's ever been made by the club is that it will be 'debt free'. In my mind even this was a mistake in that it says that our financial difficulties are over, when it is very far from the case.
Everyone knows or should know that the reasons why we're moving to a new stadium is that our current ground doesn't generate the day-to-day match day and non-match day revenues to support a Football League club. As a result its safe to assume that the lack of revenue has been funded through other means, i.e. losses funded by directors.
I've said it before because I've been told some figures, and there appears to be no concerns over sharing it, that the club lost well in excess of £250,000 last year and will do the same again this year. In a best case scenario that's a loss of £500,000 in two years and likely to be much higher.
As a result, in order to just stand still, the new ground has to generate at least £250,000 in new income a year for the club to breakeven. As a result I very much doubt that a single penny of the Sainsbury's income will be used for anything else other than getting the best possible facilities at the new ground from the amount of money we've got.