Luke Imp
Well-Known Member
- Joined
- Jan 17, 2015
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- Lincoln City
We'll find our at our AGM tomorrow night!Hi Lincoln fans.
Someone on Deva Chat who seems quite knowledgeable and posts as, "A View From Outside", has stated that Lincoln have 'historical debts' of around £3m. I always thought that you owed the Co-op Bank £380k, which you've paid off. Is this historical debt real, myth or notional debt to directors. If I get an answer with some authority I can tell AVFO that he's wrong.
Last years shareholder capital in LCFC i.e. shares bought by fans over the years (probably since 2002), was just over £3m so whether that's what he means I'm not sure. In theory, everyone could sell them whenever they want but they're not going to.
Our Director loans were about £160k, £70k of which was to sort part of the Co-op debt out (£150k loan, £150k overdraft, £70k on property mortgage). I'm assuming the remaining £110k Director loan has been paid back, but that'll not show in the accounts we'll get tomorrow.
We probably do have some running 'debt' if you like, but most of that is probably depreciation of assets because we had a £4m asset base not long ago, so not a cash loss or debt. For example, our 4G pitch cost £450k, but a year later was worth about half that. That, along with everything else, will just be written off through the books over a period of time.
Lincoln City Football Club is majority owned (circa 60%) by Lincoln City Holdings, so I'm not sure we'll get the full picture since about 2014. That said, I think it's just used as a vehicle so all assets are actually in LCFC. The Trust have representation and a block vote in both companies. Basically, if you're a fan and you fancy buying a few shares for a laugh, you buy in to LCFC. If you're a serious investor or want to become a Director (£75k+), you buy into LCH. The accounts are for LCFC, not LCH.
As I say, it's our AGM tomorrow night so the accounts should be sent out soon. I'll re-visit when they land!