That’s the problem , we’re now relying on luck.
What a mess!!!
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In my mind there’s 2 potential things that could be happening:
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They’ve lost faith in Sadler after last seasons debacle, but can’t sack him, maybe due to financial constraints. After all Sadler delivered a P4 finish, and we a notorious for having clauses in managerial contracts that they can be dismissed if we are below a certain position. If this is the case, they’ve perhaps pulled a lot of the top-end funding (the likes we need for proper experience), whilst continuing the inward flow of non-league talent bought in for up to £100k to sell on at a profit.
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They are finally starting to see an ROI through increased revenue, player sales etc, and are creaming off some money to offer up as dividends.
As the OP says, there’s no excuse for a squad this weak off the back of what will have been an immensely profitable season, so something reeks.
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What I get most annoyed about is that this close season was a chance for a renewal in the forward areas, and I thought they’d started that process by bringing in Levi.
Where we’ve ended up is to have even less quality and choice than we had at any point last season, a season which already included a complete balls-up of transfer business in the attacking areas.
We shouldn’t have renewed Jamma, I can’t see how he’s going to offer much this year. We should’ve given JG a free transfer, why he’s still here taking up a wage is beyond me.
Adomah earnt the right to stay, and is useful from the bench given the different roles he can play.
So with the chance to jettison DJ, Jamma and JG, we should’ve gone and replaced them with 3 experienced strikers.
Yes, it costs money, but so does missing out on promotion. Think on Trivela…
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There can only be limited investment in the team, as we have to pay Trivela a whacking amount of interest each season on the money injected by Trivela (Mainly to allow us to buy the ground at £7 million).
In the accounts year 2023 to 2024, we owed £869K purely in interest to Trivela. This is interest only with no capital payback amount so far made for the stadium.
There is no information available on the length of term covering the purchase of the stadium.
Figures as confirmed by LP’s statement relating to the accounts: -
“The net effect of all of this was a loss of £1.783 million, with this figure including significant depreciation on the Poundland Bescot Stadium property which was acquired in December of 2022 – this being the first full year of ownership. The loss also includes interest accruals on monies injected by Trivela Group UK, so the more relevant figure would be our operating result/EBITDA of (£914,000).”
This is how Trivela are making money out of Walsall FC: Charging a huge amount of interest at a rate of at least 10% apr on money injected (In effect loaned), with no disclosed duration of the term of the loans.
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Not quite, that also includes the depreciation of the ground and assets.
They said at the time that the mortgage repayments themselves would be something near enough the same as the rent we were playing previously. In other words, the net effect is largely the same for at least the next 20 years, in terms of how much money we pay out to play at our ground, but people get a warm fuzzy feeling from knowing the ground will be ours at that point.
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I am going by what LP stated "The loss also includes interest accruals on monies injected by Trivela Group UK, so the more relevant figure would be our operating result/EBITDA of (£914,000).”
£1,783,000 - £914,000 = £869,000
It is unclear from the abridged accounts where the depreciation sits. Is it in £914K amount or in the £869K ?
He’s not saying the loss is SOLELY the interest on the repayments made to Trivela, they are saying it INCLUDES it as well as, from your quote:
That is not the same thing as Interest costs. You wouldn’t include depreciation in an EBITDA, as it is an estimated figure based on the supposed value of your assets, rather than “real” costs.
LP’s quote “The net effect of all of this was a loss of £1.783 million, with this figure including significant depreciation on the Poundland Bescot Stadium”
He then goes onto mention interest in a separate final sentence.
Surely they would know the value of the stadium as at that point in time they would have only just completed the purchase.
Depreciation is a weird thing to me. Vehicles depreciate in value, but the value of land/buildings generally increases in value, so where does depreciation take affect.
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But they don’t in all cases. And they certainly don’t all lose or gain value at exactly the same rate. Depreciation is based on value at the point of purchase, and used as a means to estimate the value at the point in time the accounts are completed. That may not always be the case. A well maintained rare car may increase in value over time, but it will depreciate at the rate you choose to apply in an accounting standard. The same can be said about property and land. In most cases the value will go up but not always. It can fall into disuse, or underlying issues can have an effect. That is why the ultimate profit or loss on an asset is accounted for at the point of sale.
That is why the depreciation, which is basically an estimation, wouldn’t be included in EBITDA and why you can’t claim depreciation costs in your tax returns and so on, because it is an estimation.
Can save themselves getting in Mellon or another of that type.
I do think Mellon and Pressley as permanents on three year deals with fees paid is ambition enough and then it is up to the head coach to maximise it. Hall on another season loan would be very good aswell if that becomes possible.
I think for rest of team it will continue to be mixture of loans and non league punts for defence and midfield.
Trivela at least have just had a masterclass in what happens when you skimp on the frontline for last six months so negligent if they don’t change their ways there.
Thanks el-nombre very illuminating regarding depreciation
I will go back to sleep now for another 10 years! 
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Haha anytime. I bet nobody would have guessed I have a job that requires an extremely boring level of attention to numbers and laws 
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Blimey mate, I’d never have guessed 
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Have we gone from the Bonser frying pan into the Trivela fire? How is it that other clubs get American investors who want to invest and grow the club while we get….Trivela?!!
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Are you a Bingo caller?
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Or a darts player?
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It would be interesting to know: -
- When do we start paying off the capital for the ground purchase
- When do we finish paying for the ground
- When are the 2 x charges on the ground satisfied. One to LP and one to First Southern National Bank (With who Trivela acquired some of the finance from to allow us to purchase the ground)
No coincidence Pomlett is still about though.
No conspiracy theorist, but feels like we have a repuation for being a nice little earner, and people still have fingers in the pie.
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Not forgetting a certain mr Wallet who still has his sticky fingers firmly in the dough With dough being the. Key word
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This is Pomlett we are talking about though if he told me it was raining I’d go outside and check.