Ami reading this correctly

https://www.grimsbytelegraph.co.uk/sport/scunthorpe-united-wage-deferral-neville-4332147

Am I reading this correctly Scunthorpe have debts of 11 million? If yes makes our benign loan look pitiful in comparison  

£11.3 million creditors in their posted accounts. Worth noting though that that figure is only to 30th June 2019 - and I don't expect it looks any better now.

Quoted from MuddyWaters

£11.3 million creditors in their posted accounts. Worth noting though that that figure is only to 30th June 2019 - and I don't expect it looks any better now.

To be fair, it’s that kind of spending that’s allowed them to assemble a quality squad and fulfil Swann’s vision of a side pushing for promotion at the top of the Championship. Yes, it’s a lot of money but it’s entirely manageable when you consider the large crowds they’re getting at their new stadium and the sums they’ll make when they inevitably reach the promised land of the Premier League.

Wait. Who’s that? Reality you say? Oh right.

Turns out they’re fúcked.

Hope they don’t go into financial meltdown, really love giving my scunny mates both barrels when we beat them.

So have I got it right that all the big spending Swann has made at Scunny wasn't a gift from some sugar daddy at all?

Quoted from promotion plaice

So have I got it right that all the big spending Swann has made at Scunny wasn't a gift from some sugar daddy at all?

Nope, just a nasty old malignant loan and I can tell you now, the prognosis ain’t good.

Quoted from promotion plaice

So have I got it right that all the big spending Swann has made at Scunny wasn't a gift from some sugar daddy at all?

So,what’s the difference between Fenty and Swann, apart from how much they’ve “ loaned” their respective clubs.

Quoted from Poojah

Nope, just a nasty old malignant loan and I can tell you now, the prognosis ain’t good.

Poojah - in your opinion, what do you think will happen here? I’m genuinely interested to see if people think something major might happen or not.....

anyone who's 11 million in debt is going to have problems, unless he can claw his money back, he'll just put them in administration but before doing that will use a holding company to claim some of that 11 mill back. haha

Quoted from Heisenberg

Poojah - in your opinion, what do you think will happen here? I’m genuinely interested to see if people think something major might happen or not.....

To Scunny you mean? I’d start by saying that I don’t wish them any ill with respect to survival; football culture is built on rivalry and you can’t have a rivalry with something that doesn’t exist.

But in my opinion, no, it doesn’t look good for them. For a number of years they’ve spent well in excess of turnover on players wages in the anticipation of hitting the big time. That hasn’t happened. Attempts to back away from that strategy have caused them to drop like a stone.

If you read between the lines Paul Hurst wasn’t sacked for poor results but for insubordination. He refused to let players go who the club needed to jettison from the wage bill. Those players are still on the wage bill, with the club generating next to zero income right now.

I don’t know whether the £11m+ owed is to financial institutions or to Swann and family, but assuming whoever the creditor is wants their money back at some point then how does a club the size of Scunthorpe United repay that kind of debt whilst remaining competitive in football terms? Answers on a postcard.

Someone asked what the difference is between Swann and Fenty. Personally I think it’s incredibly marked. One bases their strategy on the assumption that everything is going to go to plan, the other on the assumption that nothing will. I don’t believe either of those approaches are right, both can have stark consequences (see Burton, 2010) but I do think one is more prone to a sudden demise than the other.

This is absolutely not a defence of John Fenty, he’s not really relevant to this thread. But I honestly, sadly, believe Peter Swann’s actions could pose an existential threat to Scunny. He couldn’t foresee the possibility of relegation to League Two, I guarantee you he hadn’t factored a global pandemic into his back of homosexual packet maths.

TLDR; I think Scunny have overspent and are truly and utterly fúcked as a result.