Just as a matter of Interest

[C_Latic]

Having thought about it a little more (not an overreaction after tonight's loss), I'm fairly certain now that Sheridan isn't the man for us long term. Simply because if we get taken over, we need a manager who is more than just a good coach/manager. We'll need someone who knows how to rebuild a club from the ground up, which includes reconnecting with the fans and the town. Making us smile and believe again. Sheridan hasn't got the charisma or the personality to do it.

If we haven't got the money to get someone with a good CV then I'd go for a Latics man, someone who gets the club and supporters and I feel like we need that more than ever right now. Who that is though, I have no idea.

 

[ZAKKY]

When the new owners come in and take over with a new company (or companies) the day to day running will pass over to them. and they will own the new football company ( and property companies if they are separate entities).
But the admins will still be in control of the old companies for a few months to ensure all things legal are complied with and creditors paid. They will then be wound up.

What I'm trying to get at is when do we officially come out of Admin to the point that we can then sign non contract players, sorry if I'm being thick.

 

[Kenny Morris]

What I'm trying to get at is when do we officially come out of Admin to the point that we can then sign non contract players, sorry if I'm being thick.

As soon as the EFL agree the owners are fit & proper then I believe it will be a matter of days to transfer the old club to the new club companies.
We will then be allowed to sign players, subject to the salary cap, that the new owner can afford.
The admins will then still be managing the affairs of the old club companies for a good few months. I suppose a lot depends on what deal the admins have done so far with the potential new owners.

 

[moonay]

The admins will then still be managing the affairs of the old club companies for a good few months. I suppose a lot depends on what deal the admins have done so far with the potential new owners.

I've no experience in the area of administration whatsoever Kenny, but I struggle with your logic here.

What "old club companies"? They're being bought by the new owners. What "affairs" will be left to be "managed"?

The new owners are buying all the assets and affairs of the "old companies". They'll own them all. Whether or not they choose to then change the company set-up is (I suppose) up to them .............. but I don't understand what the Admins will be doing other than completing the details of the sale and transferring any surplus to our mate Au Yeung.

I'm happy to be told that I'm wrong.

 

[TRUE BELIEVER]

I've no experience in the area of administration whatsoever Kenny, but I struggle with your logic here.

What "old club companies"? They're being bought by the new owners. What "affairs" will be left to be "managed"?

The new owners are buying all the assets and affairs of the "old companies". They'll own them all. Whether or not they choose to then change the company set-up is (I suppose) up to them .............. but I don't understand what the Admins will be doing other than completing the details of the sale and transferring any surplus to our mate Au Yeung.

I'm happy to be told that I'm wrong.

You are wrong.

The new owners will have the football company shares transferred into the new company that they have already set up ( as per your post earlier). This is a new company with a new trading name and new directors, the old company will then be wound up.

To answer Zakky's question, the admin will end as soon as the share transfer is completed and registered in the new company name, but there are also other matters to be concluded these include the winding up of the old company and the sale of the remaining asset, the "chippy".

 

[moonay]

You are wrong.

The new owners will have the football company shares transferred into the new company that they have already set up ( as per your post earlier). This is a new company with a new trading name and new directors, the old company will then be wound up.
.

Fair enough. Ta TB (sorry Kenny).

That said, other than the chippy, surely there's no affairs to be managed with the other "old" companies.

Football stuff- new company
Properties & holding co- Stadium into a new company (presumably), Euxton gone, just the chippy left ......... which is effectively nowt to do with us (ie anything football club related).

I presume the "winding up" is a straightforward admin activity, as all ongoing (day to day) stuff will have been taken on by the new companies.

 

[springy-park]

I think we'll all be relieved when all these 'twists and turns' are
over and we have our club and some normality and stability back and we can build a team the fans can bond with.

 

[Arthur_Itis]

Fair enough. Ta TB (sorry Kenny).

That said, other than the chippy, surely there's no affairs to be managed with the other "old" companies.

Football stuff- new company
Properties & holding co- Stadium into a new company (presumably), Euxton gone, just the chippy left ......... which is effectively nowt to do with us (ie anything football club related).

I presume the "winding up" is a straightforward admin activity, as all ongoing (day to day) stuff will have been taken on by the new companies.

I'm in the process of closing down my Limited company. Not traded since mid March, officially closed from 31st July but been told this week it will still be at least another 2 to 3 months before it's officially struck off the register with Companies House. Still waiting on accountants to draw up final accounts and confirm remaining liabilities that need to be paid, mainly corporation tax etc. These things do seem to take forever and my company was probably one of the simplest out their with only HMRC as an outstanding creditor, but their is a process which needs to be followed, given the admins are still running things today I expect they'll be involved with the current companies for quite some time to come (not that we'll care once the club ownership transfers have been done).

 

[moonay]

I'm in the process of closing down my Limited company. Not traded since mid March, officially closed from 31st July but been told this week it will still be at least another 2 to 3 months before it's officially struck off the register with Companies House. Still waiting on accountants to draw up final accounts and confirm remaining liabilities that need to be paid, mainly corporation tax etc. These things do seem to take forever and my company was probably one of the simplest out their with only HMRC as an outstanding creditor, but their is a process which needs to be followed, given the admins are still running things today I expect they'll be involved with the current companies for quite some time to come (not that we'll care once the club ownership transfers have been done).

Isn't your situation slightly different to the question I asked of TB/Kenny Arthur? You're winding the company down, so things need to be closed, creditors paid, affairs finalised, etc.

We're being sold, along with creditors etc, so surely, those things won't need to be done in the same way........... outstanding affairs will have to be resolved as part of the sale.

Sorry to hear that you've had to close your business due to Covid.

 

[Kenny Morris]

Fair enough. Ta TB (sorry Kenny).

That said, other than the chippy, surely there's no affairs to be managed with the other "old" companies.

Football stuff- new company
Properties & holding co- Stadium into a new company (presumably), Euxton gone, just the chippy left ......... which is effectively nowt to do with us (ie anything football club related).

I presume the "winding up" is a straightforward admin activity, as all ongoing (day to day) stuff will have been taken on by the new companies.

There's lots of legal stuff to sort out which takes an inordinate amount of time, creditors to pay out of the proceeds of the sales etc.
Tax affairs to be sorted, closing down the old companies, accounts to be finalised and posted etc
I don't know the full details, but I have been involved in administrations 3 times, at various levels of management and the creditors still receive updates many months after the sale is completed. The first admin I was in was a bit complicated and they were still sending info out 5 years later !!
Not saying this is anything like that, but legal things take forever to sort, its not just a matter of taking over like buying a house, or even buying a company or football club. And we all know how long that took last time for us!

 

[moonay]

I guess I still don't properly understand it Kenny. I acknowledge (as per TB's post) that the new owners create a new company setup, and so there may well be things to close down in the old companies, but surely, it can't cover ongoing stuff like creditors ........ they're sorted as part of the sale...........aren't they?

Regardless, the Admins are still here, but as soon as the sale goes through (InshAllah) we'll have no cause to be pissed off by 'em any more.

 

[bickymon]

I guess I still don't properly understand it Kenny. I acknowledge (as per TB's post) that the new owners create a new company setup, and so there may well be things to close down in the old companies, but surely, it can't cover ongoing stuff like creditors ........ they're sorted as part of the sale...........aren't they?

Regardless, the Admins are still here, but as soon as the sale goes through (InshAllah) we'll have no cause to be pissed off by 'em any more.

Thought all creditors where now sorted new bidders put in a substantial deposit to pay them off
Or have i got it wrong

 

[moonay]

Thought all creditors where now sorted new bidders put in a substantial deposit to pay them off
Or have i got it wrong

That's my point Bicky. The money to pay them is part of the selling price ....... hence my poor understanding of what affairs will be left to manage in the old companies post the sale.

 

[Arthur_Itis]

Sorry to hear that you've had to close your business due to Covid.

It was partly covid but more down to HMRC's witch hunt over the past few years of independent consultants (IT in my case). I decided to abandon contracting after the latest changes to UK tax law and am now back in full time employment working for someone else rather than working for myself. No big deal really at my time of life and am one of the lucky ones to find work eventually.

 

[TRUE BELIEVER]

Thought all creditors where now sorted new bidders put in a substantial deposit to pay them off
Or have i got it wrong

Unfortunately Bicky, Yes , you have got it wrong but it is not surprising as it is complicated and I feel that most people will be thinking the same. I will try to explain the process but forgive me if it is a little confusing.

The payment to the creditors will only be made in a few months due to the legal details that will need to be finalised.

Although the stadium and club have been sold there is still the transfer of ownership (shares) to be sorted and final accounts to be completed, until that has been done the admins will still be in place and a final dividend will not be paid. They will wind down their presence but will still be acting as administrators to the old companies until that time.

The football club and stadium will come out of administration once the share transfer has taken place and the new owners assume control under the new company banner. At that time the administrators will no longer have any interest in the new company running the stadium and football club.

It is difficult to understand the way these things happen as people assume that the new owners are simply buying the old company but that is not the case. They are actually buying the share interest of the football club and forming a new company to accommodate this. By doing this they shed the responsibility of the accrued debts, effectively leaving them with the former company and the administrators to sort out.

Hence the reason and the haggling as to why the stadium was sold for the £3 million, Christopher Park was sold separately for 500k and the football club for £1. They therefore bought the assets for £3.5 million from the previous companies from which the creditors will be paid and assumed the shares of the football club for £1.

As I say it is difficult for anyone who has not been involved in running companies to understand and I apologise if my post is a little long winded but it is the only way I can explain it.

 

[moonay]

Thanks for that TB. I was certainly one of those under the (understandable?) misapprehension that creditors would be sorted as part of the sale ............... and your explanation clearly helps us get a better understanding of things.

I have to say, if the new owners have provided sufficient money to pay creditors as part of the sale, I'm not quite sure why it doesn't immediately go directly to those creditors (in a very short space of time), but I guess that's me just expecting things to be simpler than they are !

Thanks again TB.

 

[TRUE BELIEVER]

Thanks for that TB. I was certainly one of those under the (understandable?) misapprehension that creditors would be sorted as part of the sale ............... and your explanation clearly helps us get a better understanding of things.

I have to say, if the new owners have provided sufficient money to pay creditors as part of the sale, I'm not quite sure why it doesn't immediately go directly to those creditors (in a very short space of time), but I guess that's me just expecting things to be simpler than they are !

Thanks again TB.

The simple answer is that the money for the purchase of the property assets, Stadium and Christopher Park, is the money to pay the creditors and the admins. That money will not be released until the Chippy is sold and the final accounts have been made up to determine the percentage dividend to be paid.

There is no separate figure being paid exclusively for creditors.

 

[moonay]

There is no separate figure being paid exclusively for creditors.

Yeah, sorry, I get that bit, which is why I said "sufficient money". I just didn't understand why they wouldn't get paid immediately..................... but as you say, they have to sell the chippy too.

 

[TRUE BELIEVER]

Yeah, sorry, I get that bit, which is why I said "sufficient money". I just didn't understand why they wouldn't get paid immediately..................... but as you say, they have to sell the chippy too.

Red tape mate.

 

[Jonnysking]

Yeah, sorry, I get that bit, which is why I said "sufficient money". I just didn't understand why they wouldn't get paid immediately..................... but as you say, they have to sell the chippy too.

I still think it would be a good idea for the SC to buy the Chippy.