Why Barnsley?

So after the press conference today; why do people think they've taken over Barnsley? Interested to know thoughts on their motives.

 

To make money. the end.

 

I suppose first you have to look at other clubs where they may have been able to invest. Don't forget we're fourth choice behind Middlesbrough, Hull and Brentford. If you look at the clubs already in foreign ownership, where is the best value for money?

Our academy is likely a huge positive, we have outstanding facilities, and a proven record of being able to produce talented players. The stadium is relatively modern, with no immediate need for massive redevelopment. We have zero debt, and the investors won't need to come in and immediately try to balance the books. You've got a solvent business, with a clear business model. As an investor all you have to do is supplement that and hope for a return.

 

Because they haven't got a mountain of **** to sort out first before they crack on with business.

In relative terms, I'd wager buying BFC is cheaper than its cohorts in The Championship so a better rate of return eventually.

Their associated business interests potentially tie in with the land - should they exercise the option to bring it into their ownership.

 

Just watched the interview, they come across as fantastic people and the why is as they said at this level with a local owner and manager, a well run club up for sale at a low cost we are for an investor are a good option. They have the contacts and skills to grow us with a potential to reach the premier without costing too much which could then give them a big return on their investment and a enjoyable ride for us.

It is brilliant news and I think hope the right people have bought the club.

 

Apparently would have cost them £30m for a 48% stake in Brentford. Imagine that’s why we are more attractive. Plus less costly to run.

 

And we're a bigger club with more potential.

 

Interesting article on the BBC with regard to Chinese government policy regarding overseas purchases.

http://www.bbc.com/sport/football/42426661

 

I think the guy from Salford University is on the right track but he obviously doesn't know about the Hudson Taylor connection. I think theres potential there for Mr Lee to develop JHT tourism and alongside that the associated need for more hotels and chinese-themed leisure facilities. If he plugs into that and it takes off he can make a lot of money AND satisfy the Chinese government agenda.

 

As the new owners have commented we are probably one of the best run Clubs in the EFL.
One factor that attracted me some thirty years ago was the very friendly feeling around the Club
re- like belonging to a family. We are proud people South Yorkshire folk. We are honest, and
after years of hard graft to make our way in the world our aspirations both for ourselves and our beloved
Club are realistic. When takeovers have happened in the past the main target has been to compete and survive
and when Patrick Cryne took over I was thankful that I still had a Club to support and never harboured ambitions
other than to play at a level where we could hold our own.
From everything I've heard from the new Consortium, they want to invest to ultimately make money. That means
that to do that we've got to encourage more people to follow and support the Club. The best way to do that is to put
a winning team out week in week out. The early sound bytes seem to suggest wer'e in for a period of steady season on
season growth with the present team management and back office administration left in place.
To my mind the team will be strengthened with the ultimate aim of a tilt at promotion to the Premiership which is no bad
thing. God bless Patrick and his family for their support these past 14 years and here's hoping that his wish and ours
re- to see the history of Barnsley FC is perpetuated for many years to come by new owners who appear to be genuine in
their enthusiasm and commitment to see us improve and become a world wide brand.

 

Last 20 years.

Season in premier league

FA cup quarter final

Championship play off final

League one play off final at Cardiff

FA cup semi at Wembley

JPT final at Wembley

League one play off at Wembley.


Loads of potential at Barnsley.

 

I remind my son of this every matchday. Tell him my late grandad was born 3 years before we won the FA Cup, followed Barnsley for best part of 80 years, saw the occasional promotion but mainly mediocrity and 20+ years in lower two divisions. So my son, born in 2000, started watching in 2005, has seen Play Off final win at Millennium Stadium, beating Liverpool and Chelsea, an FA Cup Semi Final, Football League Trophy win, another Play Off Final victory and a run of results over 12 months probably as good as anything we've ever done. All in the last 12 years.

 

The Hudson Taylor tourist trail has been on the back burner for quite a while , problem is that the Council wont invest in it because they say they're skint . What a beautiful starting point it would be as well on the corner of Blucher Street , such a scenic part of town . They could even nip into the 2 michelin star sizzlers for a spot of food poisoning .

 

I've worked on a number of M&A's but not in the sporting sector. What any investor is looking for is taking the target org from position A to position B and the attraction is the potential in doing so. This doesn't mean a business on its knees is point A but a well run org, solid foundation and resources especially their people is one box we ticked. Then building on top is the attraction. Then there's Synergy i.e. How much the existing company can achieve when put together with the experience, money, network, skills etc of the new owners as opposed to the new team starting from scratch and the club just carrying on as normal. This is another box ticked as we have a solid footing in English football, they can bring more. One aspect of their contribution that cannot be overlooked is the promotion in emerging / increasingly attractive footballing nations such as China and of course USA. This can attract more investment and be a source of securing their return financially. They stated as such and it's clear the entertainment and PR side is of clear importance. They know football isn't a good investment for a quick buck so they will have a long term vision and perhaps short term plan, step by step investment as they stated.

One thing we cannot overlook is 'our' side of the bargain. We will hear a lot about their money, new stands, players etc. However they will I'm sure expect the club to use that wisely on the pitch as well as off it. More importantly for us they have invested in a town and it's community. They acknowledge that Barnsley as a town ( or city) revolves around very few pivotal elements these days and especially since industry has declined. As such they also see an opportunity here of revitalising our footballing community and town. Now the question is will the community in return invest back. Will fans go to watch games, invest more time with the club game days and beyond, buy merchandise and encourage others to join in? The current die hards I'm sure will but bringing fringe and new supporters into the club and build their day around games will be great. Their initial return on their investment will initially and clearly be measured in the emotional buy in and commitment from the fans and community, in turn the wider English footballing community.

 

Good post.
Though I doubt 3 or 4 billionaires/millionaires from China USA and india have taken over 80%of BFC [just] For the coin.

 

Another interesting article on the takeover from a Norwich perspective.

http://www.edp24.co.uk/sport/norwic...further-questions-for-canaries-fans-1-5329169

 

I'm not so sure - if you think about it, a well run industrial business will clear 10-20% Profit, retail profits are thinner, running these businesses is complex and highly risky and expensive. Returns from stock markets average out at around 10% over the long term.
Buying Barnsley for 10-20 million, spending 50 million will get you a very good chance of delivering 300% profit on investment within 5 years. Its hard to see how you could make that money doing anything else.

 

Very true. Investors dont invest bases on their own current net worth. They invest in the return in investment. Generally higher risk = more money. However the financial return may not be realised through buying and selling of the club. Most business ventures look at the in the business return, brand, marketing, indirect value creation etc. Long term we may be worth more than the transactional purchase cost to them but right now they will need to invest to secure any return financial or otherwise.

 

The irony on that report is astounding
It goes on to say how many millions of parachute payments they are/have Been getting .money we could only dream of when we took a point off them then say they can’t compete on a level playing field.