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Questions about Max selling

Discussion in 'Rugby League Forum' started by Mal Cochrane, Apr 1, 2009.

  1. Mal Cochrane

    Mal Cochrane I'm not really Mal Cochrane...

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    Pardon my ignorance on the matter, but can someone explain what Max selling his share to the fans means? Are fans then supposed to keep the club running with membership and other ways to raise funds? Ideally, this is what should happen for all clubs, but we don;t have enough fans able to spill out that many $$ to keep a club running year after year...especially in lean times when the team doesn;t go so well or is in a rebuilding phase and are coming 12th and 10th for few years. How would this work if he sold his share to the fans?
     
  2. Canteen Worker

    Canteen Worker Well-Known Member 2016 Tipping Competitor

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    Under the original ownership deal (Prior to the Penns) Max bought out a significant section of the club and the intention was to use membership funds to buy back his interest. There were a couple of smallish cheques $$40 k or so in 2005 or around then but there hasn't been much heard of that idea since.

    Someone may well know much more than me (sure to) but that is how I remember the deal.
     
  3. Mark from Brisbane

    Mark from Brisbane Living the dream Premium Member

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    I think the big problem relates to the dwindling football club membership and there dramatic drop in income as a result.

    There was about 2500 members at one stage, maybe even 3000 (I am member 2206) but now only 600 of those are active and paid up, 600 x $25.00 isn;t exactly a LOT of money!!

    There's been some "issues" whereby people think that by becoming a screaming eagles member they are joining the football club, where in fact they are joining the MWSE Pty Ltd.

    Up to the year before last there was a box you could tick to add this in, last year that didn't appear and you won't find it anywhere again this year on membership forms.

    So the FC had to send out reminders. some were recieved somee not and unless you actively chased it up a lot of members dropped off.

    The membership fee is the only way the FC gets funds and the funds it got (in the past) were used for this reason.


    Therin lies the problem
     
  4. TokyoEagle

    TokyoEagle Well-Known Member

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    Does the club see it as a problem? Or was it designed that way.
    One question that this raises for me, Are both the MWJRLFC and The MWSE working as a team to make sure that the Sea Eagles attain the best results o the paddock.
     
  5. Mark from Brisbane

    Mark from Brisbane Living the dream Premium Member

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    I don't know if the MWSE see the drop in FC members as a problem, their membership is rising!!!

    BUT it does mean the dream of "ownership being returned to the members" is nothing but a pipedream!!
     
  6. Corso_Pete

    Corso_Pete Well-Known Member Premium Member 2016 Tipping Competitor

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    To sell something don't you need a buyer? The only buyer that appears to be interested would be the Penn's and Max has stated that he will not sell to them.
     
  7. ManlyBacker

    ManlyBacker Winging it Staff Member

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    Max's plan, and the only realistic one for the sums involved, was to put the club up on the stock exchange in an IPO (Initial Public Offering) so that shares were available for purchase. This would raise the money required to pay back the funds he (and Penns) have put in.
     
  8. OneEyedEagle

    OneEyedEagle Well-Known Member 2016 Tipping Competitor

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    Thanks for explaining this Mark.

    It appears to me that there is more of a push to have ticketed members over FC members but can you please clarify the following. Having screaming eagle or ticketed membership include FC membership or is it totally separate again.
     
  9. ManlyBacker

    ManlyBacker Winging it Staff Member

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    OEE, it is completely separate.
     
  10. The Wheel

    The Wheel Well-Known Member

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    The fact is you will attract investors if the get a return/dividend - cant see how they will get a dividend from a footy club
     
  11. ManlyBacker

    ManlyBacker Winging it Staff Member

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    The Brisbane Broncos (BBL) had a dividend in 2008 on 2007 earnings. Would we be able to do it? - I don't know. Some footie clubs around the world are listed and declare dividends.
     
  12. Corso_Pete

    Corso_Pete Well-Known Member Premium Member 2016 Tipping Competitor

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    I doubt that many if any of those teams are located in a market in which they share with their city with 8 other competitors though.
     

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