Still a worry...

[Wolfmother 182]

http://www.heraldsun.com.au/sport/afl/afl-...f-1225815392261

MELBOURNE

Profit: $587,000

Last year: loss of $549,000

Revenue: $26.1 million

Football department costs: $13.5 million

Membership income: $4.2 million

Marketing income: $6.8 million

Gaming and social club income: $3 million

THE Demons' financial position is even more hellish than it appears at first glance because the club's profit includes $567,000 raised as part of its "debt demolition" campaign.

Counting only football operations the club made a wafer-thin profit of $20,000, and despite raising $3 million over the past two years to pay down debt it still carries liabilities worth $5 million.

Directors Jim Stynes and Stuart Grimshaw say the Demons "still have a long way to go" and auditors Ernst & Young say there is "significant uncertainty" the club will "be able to pay its debts as and when they become due and payable".

At least the board recognise that we need to improve but we have the lowest revenue by a long way....

[george_on_the_outer 7,066]

Not a totally accurate picture of the financial position of various clubs, being written by a journalist not an accountant.

Yes our position is tenuous, but paying off debt at a time when our on-field position is at an absolute low, is remarkable. The reduction in interest payments alone will affect future profits considerably, all else being equal. It would be reasonable to think we will be debt free by the end of next year. Thankfully, we have been stabilised by the current administration, just at a time when the tide is turning. Things are "on the up"

The position of North is seriously understated, no white knights appeared as Brayshaw predicted. They missed their opportunity and the AFL just waits in the wings for it all to fall over.

The position of Footscray is catastrophic, when you read the notes. They nearly closed shop 12 months ago. It hasn't got much better since it seems.....

Richmond has only made profits on the basis of an $8M gift from the Federal Government for "an Indigenous centre" They haven't built anything yet, but it has propped up their books for 2 years! Wait until the bills start arriving this year, when they are on the bottom of the ladder.

For the second time in 15 years Collingwood have shown they cannot make investments work. Eddie will be out of a job if he has to front the members next year for the 3rd year in a row promising to fix the Hotels problem. If they don't win a Premiership to cover up the financial debacle, the blood will flow.

[Wolfmother 182]

Didn't post this to have a crack at the club, it's a basic demonstration of where the club sits...

Not to worried about other clubs, just want us to become a powerhouse again... I'm amazed at how well hawthorn have done in the last couple of years... It will be great when we can get seven figure cash at bank on our books

[darkhorse72 1,760]

While I agree the lack of financial knowledge of the reporter shows through with the simple analysis. The biggest concern is the total

revenue at:

Revenue: $26.1 million

We have the lowest turnover($) of all the clubs and that is where we suffer. While this will improve with on-field success having more money flowing through the club is what is required. The paper profit at the end of year is just book keeping and easily manipulated.

[Wolfmother 182]

Its ashame the government has put on hold the number of pokies in Cranbourne as it would be great if the dees could get into a deal with the scoripons regarding the social club facility

[1858 239]

In the other article it states "The Demons are struggling with a net liability of $3.16 million."

With a better stadium deal, higher attendances/members due to improvement and the draw, the Darwin games, growing in Casey, MCC relationship etc... you'd think the club should be able to combat this over time. I know DD is growing thin with some supporters but I'm glad the club is persisting with it.

[Straight Sets Simon 23,113]

Its ashame the government has put on hold the number of pokies in Cranbourne as it would be great if the dees could get into a deal with the scoripons regarding the social club facility

It's not a shame at all.

Like The Whitlams once sang...

[Sir Why You Little 34,958]

We are still in a very precarious position.

A hell of a lot better than 2 years ago granted BUT, we are far from "Turned the Corner"

We must win games this year and beyond, otherwise we will always just hang on.

Dean Bailey was unanimously voted in as coach-2010 season he and his assistants must put all those theories into action.

I am sure he knows it-and i really hope he rises to the job.

26 million running through the club is worry. We have to get more sponsors and people interested.

Winning is the only answer at the end of the day.

Go DEMONS.

[Wolfmother 182]

It's not a shame at all.

Like The Whitlams once sang...

Sadly Pokies are a reality in today's society and I'd rather then profits going to sporting clubs (even AFL) than some businessman in Toorak

[Sir Why You Little 34,958]

Sadly Pokies are a reality in today's society and I'd rather then profits going to sporting clubs (even AFL) than some businessman in Toorak

That pokie deal we lost out on about 5 years ago really put a big hole in this club, i have no doubt.

[Wolfmother 182]

That pokie deal we lost out on about 5 years ago really put a big hole in this club, i have no doubt.

was that the one in caroline springs that the filth took over

[kegs 0]

I have a big fear that we may not recover in time, had it not been for the debt demolitio which was based around handouts then we would be totally screwed and people will get real tired of this real quick if ther club always has its hand out. We have consistantly been given extra funds by the AFL over the past few years if not more which has also helped us survive but again this will only last so long because the AFL has openly stated that they want a club to move out of Vic and if North keep on refusing I think the Afl will put the pressure onto us real soon. Now I dont know the specifics and im not an accountant but things have to change big time and the have to change fast if we are goin to survive in the current climate.

This club is to old and to proud to just wither away and die so all you Dees out there sign up cos we all need to do our little bit. I will be signing up my family even my GF and she goes for Fremantle (I just wont tell her) and this will be our first time as members as we live in WA and obviously cant get to the MCG to often but at least I will know I tried.

CARN the DEES

[Sir Why You Little 34,958]

was that the one in caroline springs that the filth took over

Pretty sure that was the one, we sunk loads into it and the state govt pulled the pin at the final hour....I don't think we had a plan B to fall back on, i just remember continually hearing about this great project all happening & then Bang. It was dead.

[agent_orange 0]

I have a big fear that we may not recover in time, had it not been for the debt demolitio which was based around handouts then we would be totally screwed and people will get real tired of this real quick if ther club always has its hand out. We have consistantly been given extra funds by the AFL over the past few years if not more which has also helped us survive but again this will only last so long because the AFL has openly stated that they want a club to move out of Vic and if North keep on refusing I think the Afl will put the pressure onto us real soon. Now I dont know the specifics and im not an accountant but things have to change big time and the have to change fast if we are goin to survive in the current climate.

This club is to old and to proud to just wither away and die so all you Dees out there sign up cos we all need to do our little bit. I will be signing up my family even my GF and she goes for Fremantle (I just wont tell her) and this will be our first time as members as we live in WA and obviously cant get to the MCG to often but at least I will know I tried.

CARN the DEES

Yup, good on you Kegs. You are right. This is our team, the administration can only do so much, we as supporters have to stand up and do our part. In other words, time to start showing the rest of the world dee's supporters mean business. If we care, you will find that things will change.

Good news is that Volvo have increased their sponsorship. Lets increase our membership.

Jim Stynes keeps telling us to be proud - that is what we should be.

[agent_orange 0]

Pretty sure that was the one, we sunk loads into it and the state govt pulled the pin at the final hour....I don't think we had a plan B to fall back on, i just remember continually hearing about this great project all happening & then Bang. It was dead.

Is that the one hawthorn are taking over. Wouldn't surprise me if Kennet had some sneaky little deal. Politicians are good at feathering their little nest.

Where is Caroline Springs by the way?

[Sir Why You Little 34,958]

Is that the one hawthorn are taking over. Wouldn't surprise me if Kennet had some sneaky little deal. Politicians are good at feathering their little nest.

Where is Caroline Springs by the way?

I don't know the details of what happened after we got burnt, but i would like to find out.

This club has been too soft for too long when it comes to business deals. That along with the on field i expect to become far more ruthless in this decade.

At the end of this Decade i don't think 10 clubs will be in victoria. It's not feasible.

But Melbourne should be the last club standing, that's where we should aim.

You don't have to be Evil to be Ruthless-you just have to always think smart.

I don't care if Debt Demolition is used for the next 20 years.It is the Supporters way of pulling there weight to ensure this club fights on.

And a great way to show the Footy public that we are passionate about our club.

When we start winning this year i bet we pull some great crowds.

(remember that H & A game in '98 against Richmond in Round 22) Melbourne supporters want to see some success.

Honourable losses do not cut it any more....

[Wolfmother 182]

Nah its not the hawthorn one.... The Filth one is on the Western Hwy and has been running for five years....

I made a mistake, MFC were offered the deal but didn't have the capital....

The deal we lost out was in Berwick or similar and had to do with capping of pokie machines...

[Sir Why You Little 34,958]

Nah its not the hawthorn one.... The Filth one is on the Western Hwy and has been running for five years....

I made a mistake, MFC were offered the deal but didn't have the capital....

The deal we lost out was in Berwick or similar and had to do with capping of pokie machines...

Yes it was definately a capping issue, Legislation was just bad timing for us.

I reckon we will get through all this though-will take some very shrewd management....

[george_on_the_outer 7,066]

Yes it was definately a capping issue, Legislation was just bad timing for us.

I reckon we will get through all this though-will take some very shrewd management....

None of the previous was correct. It was in Fawkner, and fell over when we missed the submission date before the pokies cap came in.....

Edited January 2, 2010 by george_on_the_outer

[Sir Why You Little 34,958]

None of the previous was correct. It was in Fawkner, and fell over when we missed the submission date before the pokies cap came in.....

Really!!! We missed a submission date.....Well that kind of sums up the last 45 years doesn't it.

Reactive and not Pro-active in general. Things must change.....

[Gooner 9]

There are several reasons why our revenue is lower at the moment.

1) We didn't have a major sponsor for the first third of the year

2) Our on-field poor performances have reduced gate receipts

Furthermore, a number of the club's payments are based on government grants, AFL grants etc and therefore misleading.

We're still not in a good financial position, but we've significantly reduced our debt and are heading towards profit a lot more than in previous years.

[DirtyDees DDC 171]

We dropped about $1.3 million in marketing and corporate sponsorship in 2009, partly due to the GFC. Our expenses will probably increase significantly when we take up residence at the rectangular stadium in May. How much will this cost us per year? Probably a lot more that the rental at the junction oval, and that's fine if we finally get state-of-the art training facilities to match it with the other clubs.

[Demon_Tingles 211]

Let's be honest. There is only one thing that will get us out of debt and that is on field performances. More people means more money better performances means more sponsors which also means more money. The time for mediocrity is over we need to become a force.

[Gooner 9]

We dropped about $1.3 million in marketing and corporate sponsorship in 2009, partly due to the GFC. Our expenses will probably increase significantly when we take up residence at the rectangular stadium in May. How much will this cost us per year? Probably a lot more that the rental at the junction oval, and that's fine if we finally get state-of-the art training facilities to match it with the other clubs.

True re: the reduced expenses, but remember our player payments are likely to increase in the future as our players improve and demand higher wages as a result.

[Rogue 585]

Let's be honest. There is only one thing that will get us out of debt and that is on field performances. More people means more money better performances means more sponsors which also means more money. The time for mediocrity is over we need to become a force.

I disagree - it's not that simple.

In the last decade or so we've performed quite well on-field if you look at something like finals appearances.

Perhaps you're talking about having premiership wins or having one of the elite players of the competition, but that didn't turn into financial success for North in the 90s.