Grant says make profit or perish

[swag_tiger]

NRL clubs have been warned if they don't make a profit by 2018, they may face expulsion from the league.
Source: AAP
11 FEB 2016 - 7:29 AM UPDATED 10 HOURS AGO

Struggling NRL clubs have been warned: profit or perish.

ARL Commission (ARLC) chairman John Grant has told clubs if they are not running at a profit by 2018 when more increased funding arrives, they risk having their licences revoked and being thrown out of the competition.

"The message has got through to them," Grant told News Corp Australia. "And it had to.

"This isn't about us versus them. But if we now provide a level of funding, then the clubs are to be sustainable … that's the deal."

Thirteen of the 16 NRL clubs reportedly ran at a loss in 2015, with South Sydney, Brisbane and the Warriors the only clubs to turn a profit.

Private owners and leagues club backing are available to assist the eventual bottom line of most franchises, but it is those who have had to approach the game for help that are in Grant's firing line.

The ARLC has already been forced to bail out the likes of Gold Coast, Newcastle, St George Illawarra and the Balmain side of the Wests Tigers merger in recent years.

When combined with the increased administration costs related to securing a new television rights deal, the organisation ran at a loss of $18.7 million in 2015, down almost $40 million on the previous season.

A salary cap placed on football-related spending has been touted as a possible solution for the ailing clubs, however Grant has indicated expenditure is something that should rest entirely with the clubs.

"Clubs already realise this `Arms Race', it needs to stop," Grant said.

"I'm not going to use the word cap when it comes to addressing what clubs spend because I don't think that's the solution".

What does this mean for the tigers?

What do you think will happen to us?

 

[sheer64]

Grant will be gone before any clubs.

 

[Milky]

We are on the right track

 

[swag_tiger]

We are on the right track

I thought that we are one of the worst clubs for loses in profit?

 

[Milky]

We are on the right track

I thought that we are one of the worst clubs for loses in profit?

Refer to this thread, http://weststigersforum.com/viewtopic.php?f=7&t=25867

GEO's post

"Wests Tigers came in with a 2.1M loss expenditure/income placing us 6th"

Ten other clubs were worse off than us, if we can continue this we will suddenly begin to make a profit rather than lose, im sure if figures from 2013/14 were brought up we would have been in a worse position.

 

[Tigerdon]

:smiley: It would be hard for Grant to run a three team comp. ..easy to make the GF though.

 

[happy_tiger]

We are on the right track

I thought that we are one of the worst clubs for loses in profit?

Refer to this thread, http://weststigersforum.com/viewtopic.php?f=7&t=25867

GEO's post

"Wests Tigers came in with a 2.1M loss expenditure/income placing us 6th"

Ten other clubs were worse off than us, if we can continue this we will suddenly begin to make a profit rather than lose, im sure if figures from 2013/14 were brought up we would have been in a worse position.

Yes but those figures were butchered , some of the clubs in question are propped up by there Leagues clubs

 

[foreveratiger]

We are on the right track

I thought that we are one of the worst clubs for loses in profit?

Parramatta are the worst and have recorded $8 Million Dollars in losses for Season 2015 😱pen_mouth: , there Leagues Club saved them…....still Managed to sign some very handy players for Season 2016.

 

[tig_prmz]

some clubs need to go. you can't possibly sustain a 16 team competition with players basically from 2 states. storm, warriors, brisbane and nq will always be at the front.

i honestly think we need a relegation, delegation system. doesn't matter if the top 5 teams have the best players.

 

[happy_tiger]

some clubs need to go. you can't possibly sustain a 16 team competition with players basically from 2 states. storm, warriors, brisbane and nq will always be at the front.

i honestly think we need a relegation, delegation system. doesn't matter if the top 5 teams have the best players.

I thought that now around 40% of all NRL players are Polynesian /NZ now ??

 

[tig_prmz]

some clubs need to go. you can't possibly sustain a 16 team competition with players basically from 2 states. storm, warriors, brisbane and nq will always be at the front.

i honestly think we need a relegation, delegation system. doesn't matter if the top 5 teams have the best players.

I thought that now around 40% of all NRL players are Polynesian /NZ now ??

should've mentioned NZ my bad, but most of them have a polynesian descent (still born in nsw/qld)

if they wanna expand the game, either get new teams outside of these areas or kick out crappy teams.

 

[Yossarian]

So just Souths and Brisbane for 2018? And Brisbane are only just hanging in there.

 

[Geo]

We are on the right track

I thought that we are one of the worst clubs for loses in profit?

Refer to this thread, http://weststigersforum.com/viewtopic.php?f=7&t=25867

GEO's post

"Wests Tigers came in with a 2.1M loss expenditure/income placing us 6th"

Ten other clubs were worse off than us, if we can continue this we will suddenly begin to make a profit rather than lose, im sure if figures from 2013/14 were brought up we would have been in a worse position.

Yes but those figures were butchered , some of the clubs in question are propped up by there Leagues clubs

You're missing the point Mr Happy…Wests Tigers business plan is to move forward so as to become self-sufficient so as not to rely on shareholder (Leagues Club) funding as far as Income/expenditure goes..They moved closer to that goal in 2015 than they have ever before...

If they can go better in 2016 ..this will allow shareholder funding to be spent elsewhere on better facilities and the planned Centre of Excellence to finally move out of the 80's Concord...

The other Clubs mentioned Parra Penrith and the Dogs don't give a stuff and will just continue to rely on their Leagues Clubs to cover their losses...there expenditure will always outstrip their income..

 

[happy_tiger]

I thought that we are one of the worst clubs for loses in profit?

Refer to this thread, http://weststigersforum.com/viewtopic.php?f=7&t=25867

GEO's post

"Wests Tigers came in with a 2.1M loss expenditure/income placing us 6th"

Ten other clubs were worse off than us, if we can continue this we will suddenly begin to make a profit rather than lose, im sure if figures from 2013/14 were brought up we would have been in a worse position.

Yes but those figures were butchered , some of the clubs in question are propped up by there Leagues clubs

You're missing the point Mr Happy…Wests Tigers business plan is to move forward so as to become self-sufficient so as not to rely on shareholder (Leagues Club) funding as far as Income/expenditure goes..They moved closer to that goal in 2015 than they have ever before...

If they can go better in 2016 ..this will allow shareholder funding to be spent elsewhere on better facilities and the planned Centre of Excellence to finally move out of the 80's Concord...

The other Clubs mentioned Parra Penrith and the Dogs don't give a stuff and will just continue to rely on their Leagues Clubs to cover their losses...there expenditure will always outstrip their income..

Mr Geo

Best way to help our business plan is on field performances

And to become more professional in our retail dealings (merchandise sales and memberships )

Imagine if we could get our memberships up to around the 18000 mark …....

How many facebook hits do we get around 240 000 .......

 

[Black_n_White]

I thought that we are one of the worst clubs for loses in profit?

Refer to this thread, http://weststigersforum.com/viewtopic.php?f=7&t=25867

GEO's post

"Wests Tigers came in with a 2.1M loss expenditure/income placing us 6th"

Ten other clubs were worse off than us, if we can continue this we will suddenly begin to make a profit rather than lose, im sure if figures from 2013/14 were brought up we would have been in a worse position.

Yes but those figures were butchered , some of the clubs in question are propped up by there Leagues clubs

You're missing the point Mr Happy…Wests Tigers business plan is to move forward so as to become self-sufficient so as not to rely on shareholder (Leagues Club) funding as far as Income/expenditure goes..They moved closer to that goal in 2015 than they have ever before...

If they can go better in 2016 ..this will allow shareholder funding to be spent elsewhere on better facilities and the planned Centre of Excellence to finally move out of the 80's Concord...

The other Clubs mentioned Parra Penrith and the Dogs don't give a stuff and will just continue to rely on their Leagues Clubs to cover their losses...there expenditure will always outstrip their income..

furthermore happy, if being propped up by Leagues clubs makes them doctored, then we were in the clear ourselves… almost

our leagues clubs were required to make bi-annual contributions of $400k each.... so in the order of $1.6M, $500k under par....

a lift in consistant form rubs that out, in gate and merch alone.

 

[Geo]

Refer to this thread, http://weststigersforum.com/viewtopic.php?f=7&t=25867

GEO's post

"Wests Tigers came in with a 2.1M loss expenditure/income placing us 6th"

Ten other clubs were worse off than us, if we can continue this we will suddenly begin to make a profit rather than lose, im sure if figures from 2013/14 were brought up we would have been in a worse position.

Yes but those figures were butchered , some of the clubs in question are propped up by there Leagues clubs

You're missing the point Mr Happy…Wests Tigers business plan is to move forward so as to become self-sufficient so as not to rely on shareholder (Leagues Club) funding as far as Income/expenditure goes..They moved closer to that goal in 2015 than they have ever before...

If they can go better in 2016 ..this will allow shareholder funding to be spent elsewhere on better facilities and the planned Centre of Excellence to finally move out of the 80's Concord...

The other Clubs mentioned Parra Penrith and the Dogs don't give a stuff and will just continue to rely on their Leagues Clubs to cover their losses...there expenditure will always outstrip their income..

Mr Geo

Best way to help our business plan is on field performances

And to become more professional in our retail dealings (merchandise sales and memberships )

Imagine if we could get our memberships up to around the 18000 mark …....

How many facebook hits do we get around 240 000 .......

Well derr Mr Happy Sir..That is a high priority is the Clubs plans moving forward…Increase the Membership base and sell more Merchandise...on top of the 300 jersey's now available Wests Tigers have brought out a new beanbag for 2016..

 

[happy_tiger]

Yes but those figures were butchered , some of the clubs in question are propped up by there Leagues clubs

You're missing the point Mr Happy…Wests Tigers business plan is to move forward so as to become self-sufficient so as not to rely on shareholder (Leagues Club) funding as far as Income/expenditure goes..They moved closer to that goal in 2015 than they have ever before...

If they can go better in 2016 ..this will allow shareholder funding to be spent elsewhere on better facilities and the planned Centre of Excellence to finally move out of the 80's Concord...

The other Clubs mentioned Parra Penrith and the Dogs don't give a stuff and will just continue to rely on their Leagues Clubs to cover their losses...there expenditure will always outstrip their income..

Mr Geo

Best way to help our business plan is on field performances

And to become more professional in our retail dealings (merchandise sales and memberships )

Imagine if we could get our memberships up to around the 18000 mark …....

How many facebook hits do we get around 240 000 .......

Well derr Mr Happy Sir..That is a high priority is the Clubs plans moving forward…Increase the Membership base and sell more Merchandise...on top of the 300 jersey's now available Wests Tigers have brought out a new beanbag for 2016..

I've already got 2 , how many do you think I need :roll ??

 

[foreveratiger]

How come we don't know how many Members we have for the 2016 Season ? There used to be a Count Meter on our Official Wests Tigers Website.

Is it that embarrassing to disclose ?

 

[westTAHger]

Grant says," Make profit or perish "

Glen says, ARL Commission (ARLC) chairman John Grant name anything good you have done, or set up whilst in your position ?

 

[Tbone]

This dialogue from the NRL is ridiculous on so many levels. At its core it is an accounting issue. Capital injections from leagues clubs are not included in operating revenue but in reality form a major source of funding from most clubs. Most clubs could show an operating profit if they had to, including Parra and Penrith who are millions in the red based on the article in terms of operating profit. But it would be an arbitrary requirement and only act to stifle investment in facilities and junior football when clubs have more than enough financing to make those investments from other sources of revenue.