Since the sale of Yohan Cabaye last month, and with the lack of new signings in January, plus the terrible run Newcastle have been on since we lost the last game of last year to Arsenal, many fans would just love Mike Ashley to sell the club and then leave.
Mike Ashley – needs to invest all the profits back into the club
But from what we can tell, the 50 year-old English Billionaire has no intentions of selling Newcastle, and if he did put it up for sale – we are almost certain there would be no real buyers for the club – but we’d still hear all about those phantom people and organizations who are supposed to be interested in buying Newcastle from all around the world.
There’s no doubt that Ashley has brought his financial prowess to Newcastle, and the club is now in a very good financial state – but with our lack of success under Ashley and that relegation in 2009, we have lost significant ground as far as revenues go, to the top six clubs in England – the two Manchester clubs, Arsenal, Chelsea, Liverpool and Tottenham.
And that’s why manager Alan Pardew keeps reminding us we now just cannot compete with the top six, but just six years ago Newcastle were probably a bigger club than Tottenham and Manchester City – but both those clubs have since received significant investment from their owners.
There’s nothing wrong with Ashley wanting Newcastle to break even every year, and it seems Newcastle could do well in building a side in the next year or two, if the owner would only commit to invest all the profits back into the club, and it’s not the first time we’ve said that.
With something like an average increase of £30M in what each Premier league will be receiving from the league – note that’s an increase on the £40M we got last year – Newcastle could be making very decent profits over the next few years.
And if Mike would commit to put around two-thirds of that into buying players – surely we could put together a decent side.
And it would only take Newcastle pushing for a top four position – and saying that’s what they are doing – to prevent us from losing our best players – which will continue to happen far too frequently, if Newcastle languish in mid-table.
This year we will probably lose both Loic Remy and Mathieu Debuchy, in addition to Cabaye, because we don’t have enough ambition for those top players.
Spending around £30M net each year on new players, would certainly help Newcastle build up a very decent side.
And Ashley is already investing in building up the Benton Training Center to be one of the best in Europe – and that’s very good.
What we need to hear from Mike is that he now understands that when you run a football team, how the team performs on the field is if anything – even more important than just balancing the books financially.
We can even see the Newcastle future being fairly bright, if the club just invests its upcoming significant profits back into the club – but we’d also like to hear somebody in authority say that’s what’s going to happen.
One of the things that is very poor on the balance sheet at Newcastle is the commercial income, which is pitiful, but if Newcastle can become successful again, incoming revenue like the shirt sponsorship will rise significantly – that money will rise almost directly proportional to how successful Newcastle are.
And it all builds on itself to increase the commercial revenue, success breeds success – and the Newcastle United brand around the world could be improved significantly.
It’s very difficult to get high commercial income, if you’re only a middle of the table Premier League side.
If the club can start spending a large portion of the profits in the transfer market, Newcastle could become a lot more successful than we’ve been over the last five years – that’s almost a given.
What do you think?
Comments welcome.
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54 comments so far
mag
Feb 20, 2014 at 10:04 PM
Comment #41Pardew was the technical adviser.
andyctoon
Feb 20, 2014 at 10:05 PM
Comment #42Any1 remember wen we were called “the entertainers” we still are i suppose. For the complete oppisite reasons!!!! Bring back the passion!!!
mag
Feb 20, 2014 at 10:06 PM
Comment #43They’re called the comedians now.
andyctoon
Feb 20, 2014 at 10:08 PM
Comment #44Its sad to accept that i agree. We are the forgotton club
welshgeordie9
Feb 20, 2014 at 10:23 PM
Comment #45John Tudor
Yeah you right it, first half wasn’t bad, forget the second half, it didn’t help with Napoli players play acting and you had a muppet of a ref
welshgeordie9
Feb 20, 2014 at 10:25 PM
Comment #46If Napoli score in the second leg which they probably will, watch them time waste until the final whistle.
stuart no9
Feb 20, 2014 at 10:29 PM
Comment #47Andyctoon — the difference between KK and pardew is – KK. Turned canny players into great players by building a great team , pards does the opposite .
Belfast
Feb 20, 2014 at 10:32 PM
Comment #48Yeah the ref was complete tube.
They’ll get murdered in the second leg.
Like lambs to the slaughter.. 😉
I’ll get me coat.
welshgeordie9
Feb 20, 2014 at 10:35 PM
Comment #49Lambs to the slaughter is that a dig lol
That’s quite a funny pun
jimmysmith
Feb 20, 2014 at 10:35 PM
Comment #50Yeah, I’ve criticized Ashley for not putting enough in to give us a side capable of challenging top 6. I also accept it’s his money, even if it is almost cruel to buy a club so starved of success as Newcastle and then deprive it of the the oxygen to thrive when you have the funds to do so.
But where is the evidence he isn’t putting profits back or doesn’t plan to. It can’t all go on players either, facilities, infrastructure, coaching and fitness staff also need to be upgraded and that all costs plenty at a top EPL club.
He’s stubbornly refused to spend until the money’s there, that seems clear, but how can you say he isn’t putting all the profits back in or that he won’t. That’s premature, he hasn’t failed to do that yet, as far as I can tell, other than not buying a replacement for Cabaye, which is more a matter of timing at this stage.
There is little reason to be confident he ultimately won’t, just that it probably won’t be enough and that also perhaps that there’ll likely be mismanagement along with it.
Belfast
Feb 20, 2014 at 10:43 PM
Comment #51Welsh, I will praying for those little lambs from the valleys next week. 😉
welshgeordie9
Feb 20, 2014 at 10:46 PM
Comment #52I will be doing more than praying
lesh
Feb 21, 2014 at 1:01 AM
Comment #53sparky55 @ 6
If you don’t like what Ed’s posting then the answer my friend is in your mouse clicking finger.
Perhaps you could contribute a thread starting article or, try another blog. There’s plenty to choose from!
toonluvva
Feb 21, 2014 at 1:35 PM
Comment #54At the present there is no motivation for Mr Ashley to change his strategy at NUFC.
We are comfortably clear of the relegation battle.
There is a comfortable amount of cash swilling around in the bank.
He is still being paid big bucks to advertise Sports Direct merchandise. There is an even bigger pay day coming his way in the next few months. Survival in the premiership will ensure that there will always be a sizeable payout for the foreseeable future.
We still have players who were bought cheap and can be sold on at a big profit. Anyone remember Cabaye?
We still have a mediocre manager, sitting on a comfortable long term contract, who will not rock the boat by asking for too many new players.
If he eventually appoints a replacement for JoKe, you bet it will be another former drinking buddy with little or no knowledge about football.
All in all, why should Ashley change? Sports Direct is booming and that is all he is worried about.