Anyone want to have a go at what our receivables and outgoings are?

afaik

revenue - 19mill

outgoings (guessing of course)
player salaries +pagan - 7mill (edit 7.5mill including 500k from kouta outside cap)
assistant coaches - 700k (3 X200k, 2X50k)
travel expenses - 400k (5 tripsX2k$/tripX40man party)
Optus upkeep - 2 mill
Interest on debt - 325k (10% of 2.5mil for legends stand+15% of 500k for overdraft) - assuming no interest due on advanced monies

What other expenses do we have?

our revenue is the lowest in the AFL. Our expenses are more than our revenue. We have spent up front $ we got for moving. Our overdraft of $4mill (from memory) is fully spent. Our membership is down 7000 say that equals $1.5 mill. OUR NET DEBT IS ALREADY $7 MILL.

= ROOTED

The purpose of the exercise was to try to figure out where we are making the losses and whether or not some cut backs can be made (ie dogs/north/etc)


Its often quoted that we are in this tight cashflow position due to our debt and the requirement to service it. The last time the debt was broken down in the paper it was listed as 2.5mill oweing to legends stand, 500k on overdraft and 4mill on advanced monies from the AFL. Advanced monies should not be an interest bearing item. I think estimating 10% on a bank loan and 15% on overdraft would cover the actual %s on the loan/accounts. In which case an annual debt interest expense of 325k whilst high, in no way accounts for our current poor financial position of looking at a 1.5mill cash shortfall.

Advanced monies should not be an interest bearing item. I think estimating 10% on a bank loan and 15% on overdraft would cover the actual %s on the loan/accounts. In which case an annual debt interest expense of 325k whilst high, in no way accounts for our current poor financial position of looking at a 1.5mill cash shortfall.

Chicken the future value of money is higher than the current value. If the AFL gives us $4m dollars now that it doesn't owe us for 12 months, then it actually costs them $4m plus the 10% interest they could have earnt on the money over that 12 months until they were supposed to give it to us.

So I suspect that the AFL would be discounting the advance they are giving us to account for this, and we're only getting given say $3.6m of the $4m that we would otherwise get if we weren't drawing on it in advance. That's just a guess but it's entirely logical.

All of a sudden your interest expense is up to 3/4s of a million dollars

4C good start. Don't have the numbers but there is the administration staff to pay for. This may include the membership, sponsorship, marketing areas, etc.

BTW the PP upkeep of $2m looks pretty steep.

wages wouldnt top 1.5 mill/yr (say 20 staff @ 50k each+ a bit extra for overheads)

on PP upkeep - it is steep -the last official figure was 1.8mill (prior to AGM) though given that it was reported to be 300k prior to the move from PP I figured putting it a bit higher would be a safer bet

So if the NAB overdraft is fully drawn at $4mil then where do we owe the other $3mil?

The rest is what's left of the stand debt. Think of the $4m as a very large credit card debt.

The rest is what's left of the stand debt. Think of the $4m as a very large credit card debt.

You could not be further from the truth. The 4 million dollar debt which is the advance on the AFL dividend would cost the club somewhere near 7% interest p.a. Usually this money is in the form of commercial bills and the rate is based on the cash rate plus the bank wacks on a margin between 1-2%. Credit card debt is at least twice this rate.