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  1. #1
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    Western Bulldogs among the six clubs to go it alone

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    In a remarkable turn of events, the Western Bulldogs will be one of at least six AFL clubs who draw on their own funds to survive, outside of player payments, during the game’s financial crisis.


    The Bulldogs have confirmed that, due to their balance sheet – which includes substantial cash reserves – they will be among what the AFL is referring to as ‘‘unassisted’’ clubs who will self fund during the COVID-19 lockdown period.

    The other five clubs known to be funding their operations, besides player payments, are West Coast, Richmond, Collingwood, Hawthorn and Adelaide.


    The Crows have emerged as the club who intend to borrow from their bank instead of from the AFL, revealing that they are looking to obtain a loan from the Bendigo Bank.


    All of the clubs are expected to sign up to the AFL’s program, which will ensure all 18 clubs have their total player payments fully funded, but there is a split between clubs who intend to borrow from the AFL – the clear majority of clubs – and those who will be self-funded in the remainder of their football department and administration.


    The prevailing view is that the ‘‘unassisted’’ clubs, even though they are still signing up to AFL terms to get their players paid, will have less scrutiny from headquarters, which will exercise greater control on the "assisted'' clubs and demand more accountability.

    Bulldogs president Peter Gordon said the Bulldogs ‘‘will be an unassisted club,’’ adding, ‘‘it’s our expectation we will remain unassisted for the duration of it [the COVID-19 crisis]’’.


    Gordon, who was president of the club when the Bulldogs survived the prospect of a merger with Fitzroy in 1989, said the club had worked hard ‘‘for 10 years to get a substantial asset base’’.


    The Bulldogs had a debt in excess of $10 million back in 2012 and had long been among the clubs – along with North Melbourne, St Kilda and Melbourne – that struggled to stay afloat until the AFL decided to vary the distributions to the clubs. The Dogs, who like Collingwood and Geelong have also sold their gaming interests, have one of the better balance sheets in the AFL.


    Gordon said while there had been a ‘‘significant underestimation of our liquidity position,’’ the club had spent a long time and knew what it was like to be ‘‘in a precarious position’’.


    He said the ‘‘continued support of our members is important to us’’, along with their sponsors.


    Adelaide chairman Rob Chapman said the Crows looked like they would be borrowing from their bank, Bendigo Bank, rather than taking a loan from the AFL.


    The Crows are taking the view that, because they will need to borrow – not having sufficient cash reserves at the moment after paying down debt over the years – they would be better to borrow from their bank rather than the AFL.


    While the richer clubs that choose to be "unassisted'' will deplete their cash reserves, they gain in another sense – that those that have only 75 per cent or so of their player payments funded by the AFL (as in the cases of West Coast, Collingwood and Hawthorn), will now have 100 per cent of their player payments paid for, with the exception of the marketing payments, which are about $1 million and will need to be self-funded by all clubs rich or poor.


    The assisted clubs are expected to get a better interest rate from the AFL than they would from a bank and they can get an injection of money immediately, but will subject to increased scrutiny from the AFL. They will be drawing on the AFL's line of credit of up to $600 million, for which Marvel Stadium was used as security.
    Premierships: AFL 1954, 2016 VFA - 1898,99,1900, 1908, 1913, 1919-20, 1923-24, VFL: 2014, 2016 . Champions of Victoria 1924. AFLW - 2018.

  2. #2
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    Re: Western Bulldogs among the six clubs to go it alone

    Who would have thought we would read that sort of statement.
    Makes you very proud of the work the club has done to move itself from dependent to unassisted.
    Those other clubs supporters listed with us wouldn't understand about sinking into oblivion.
    There are plenty of talented people in the world. As you already know, talent is not enough. Some of the athletes with the most potential never pan out. What separates the good from the great is determination and work ethic.

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  4. #3
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    Re: Western Bulldogs among the six clubs to go it alone

    Very proud of all the people across the many years who worked so hard and smart to enable us to be in this position of relative safety.

    Not such a pathetic club after all hey Mr. Elliott?

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    Re: Western Bulldogs among the six clubs to go it alone

    Quote Originally Posted by Hotdog60 View Post
    Who would have thought we would read that sort of statement.
    Makes you very proud of the work the club has done to move itself from dependent to unassisted.
    Those other clubs supporters listed with us wouldn't understand about sinking into oblivion.
    Quote Originally Posted by Yankee Hotel Foxtrot View Post
    Very proud of all the people across the many years who worked so hard and smart to enable us to be in this position of relative safety.

    Not such a pathetic club after all hey Mr. Elliott?
    We can't underestimate the work Gordon and the team have done to set-up the club for the longer term
    We all need to get behind them as much as we can to do our bit as well
    Start each day with a task completed. Find someone to help you through life. Respect everyone.
    Know that life is not fair and that you will fail often. But if take you take some risks, step up when the times are toughest, face down the bullies, lift up the downtrodden and never, ever give up — if you do these things, then the next generation and the generations that follow will live in a world far better than the one we have today.
    And what started here will indeed have changed the world — for the better.

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    Re: Western Bulldogs among the six clubs to go it alone

    Remarkable.

    The immediate, post COVID competition becomes so important now. We must support the club financially and keep growing the base. The Club must perform across each competition. The next few flags are incredibly valuable and could be a huge disruption in the pecking order. All those pre-written reflexive articles that disregard reality and cast us as strugglers, dole bludgers etc will need to be shredded.

    Imagine a lifetime where we saw The Day, Another Day and Yet Another Day, completely shored up our financial stability and just started kicking everyone else while they are down during a recovery phase. Snap up new sponsors entering the market, dominate the airwaves, fill the history books.

    I will sneer at these dole blushing, tin rattling, corrupt, failed pissant clubs like Essendon and Carlton etc.

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  8. #6
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    Re: Western Bulldogs among the six clubs to go it alone

    Apologies if I missed it in the article, but what are the benefits to being one of the 'sustainable six'?

    Surely we get long term rewards for using our own resources vs relying on the AFL to survive.

    I'm hoping we are able to leverage our self sufficiency and secure guarantees for things such as: x amount of guaranteed Friday night games for next 3-5 years, Good Friday locked in for 5 years, guaranteed games at Whitten Oval within the next 3 years, improved Marvel deal.
    Our 1954 premiership players are our heroes, and it has to be said that Charlie was their hero.

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    Re: Western Bulldogs among the six clubs to go it alone

    Quote Originally Posted by comrade View Post
    Apologies if I missed it in the article, but what are the benefits to being one of the 'sustainable six'?

    Surely we get long term rewards for using our own resources vs relying on the AFL to survive.

    I'm hoping we are able to leverage our self sufficiency and secure guarantees for things such as: x amount of guaranteed Friday night games for next 3-5 years, Good Friday locked in for 5 years, guaranteed games at Whitten Oval within the next 3 years, improved Marvel deal.
    Less AFL intervention. The feeling is that the AFL will need the clubs who borrow funds to show higher levels of accountability in spending direction etc.

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    Re: Western Bulldogs among the six clubs to go it alone

    Anyway, it looks like I got my wish and some recognition for our good work has hit the headlines.

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    Re: Western Bulldogs among the six clubs to go it alone

    Quote Originally Posted by comrade View Post
    Apologies if I missed it in the article, but what are the benefits to being one of the 'sustainable six'?

    Surely we get long term rewards for using our own resources vs relying on the AFL to survive.
    Well, this is what it says:

    ======
    While the richer clubs that choose to be "unassisted'' will deplete their cash reserves, they gain in another sense – that those that have only 75 per cent or so of their player payments funded by the AFL (as in the cases of West Coast, Collingwood and Hawthorn), will now have 100 per cent of their player payments paid for, with the exception of the marketing payments, which are about $1 million and will need to be self-funded by all clubs rich or poor.
    ==================


    So...I don't get it?

    Then it also says:
    The assisted clubs are expected to get a better interest rate from the AFL than they would from a bank and they can get an injection of money immediately, but will subject to increased scrutiny from the AFL.

    So, ummmm...what sort of scrutiny and WHY if the interest rate is "BETTER" would Adelaide choose to self fund through BB?
    What should I tell her? She's going to ask.

  12. #10
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    Re: Western Bulldogs among the six clubs to go it alone

    Quote Originally Posted by mjp View Post
    Well, this is what it says:

    ======
    While the richer clubs that choose to be "unassisted'' will deplete their cash reserves, they gain in another sense – that those that have only 75 per cent or so of their player payments funded by the AFL (as in the cases of West Coast, Collingwood and Hawthorn), will now have 100 per cent of their player payments paid for, with the exception of the marketing payments, which are about $1 million and will need to be self-funded by all clubs rich or poor.
    ==================


    So...I don't get it?

    Then it also says:
    The assisted clubs are expected to get a better interest rate from the AFL than they would from a bank and they can get an injection of money immediately, but will subject to increased scrutiny from the AFL.

    So, ummmm...what sort of scrutiny and WHY if the interest rate is "BETTER" would Adelaide choose to self fund through BB?
    Yeah, what gives? I would have thought using the AFL's cash would be better than using our own UNLESS there are significant incentives not to...the incentives are what I'm interested in.
    Our 1954 premiership players are our heroes, and it has to be said that Charlie was their hero.

  13. #11
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    Re: Western Bulldogs among the six clubs to go it alone

    Quote Originally Posted by jeemak View Post
    Less AFL intervention. The feeling is that the AFL will need the clubs who borrow funds to show higher levels of accountability in spending direction etc.
    That seems like a pretty small benefit compared to draining your own cash reserves in a time of unprecendented economic uncertainty.
    Our 1954 premiership players are our heroes, and it has to be said that Charlie was their hero.

  14. #12
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    Re: Western Bulldogs among the six clubs to go it alone

    Quote Originally Posted by comrade View Post
    Apologies if I missed it in the article, but what are the benefits to being one of the 'sustainable six'?

    Surely we get long term rewards for using our own resources vs relying on the AFL to survive.

    I'm hoping we are able to leverage our self sufficiency and secure guarantees for things such as: x amount of guaranteed Friday night games for next 3-5 years, Good Friday locked in for 5 years, guaranteed games at Whitten Oval within the next 3 years, improved Marvel deal.
    I suspect the pay back might come later via the AFL as you have suggested but it's mainly a strong reminder of the progress that the club has made in the last 6 years or more. Better draws and a Marvel stadium deal would be a great boost for us in the coming years
    Start each day with a task completed. Find someone to help you through life. Respect everyone.
    Know that life is not fair and that you will fail often. But if take you take some risks, step up when the times are toughest, face down the bullies, lift up the downtrodden and never, ever give up — if you do these things, then the next generation and the generations that follow will live in a world far better than the one we have today.
    And what started here will indeed have changed the world — for the better.

  15. #13
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    Re: Western Bulldogs among the six clubs to go it alone

    Quote Originally Posted by comrade View Post
    Yeah, what gives? I would have thought using the AFL's cash would be better than using our own UNLESS there are significant incentives not to...the incentives are what I'm interested in.
    The AFL have secured a bank loan of $600 million that can be accessed by the clubs and they will wear someone of the interest.

    We are in a position where we don't need to borrow money and go into debt as are the other 5 clubs. The rest like Carlton, Essendon will have to borrow money. There are clubs with debts of over $10 million and will need to go into further debt.

    I am so glad we don't need to go into debt, just to survive. Unfortunately this will be a setback for our redevelopment of VU Whitten Oval.
    Premierships: AFL 1954, 2016 VFA - 1898,99,1900, 1908, 1913, 1919-20, 1923-24, VFL: 2014, 2016 . Champions of Victoria 1924. AFLW - 2018.

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    Re: Western Bulldogs among the six clubs to go it alone

    Quote Originally Posted by mjp View Post
    Well, this is what it says:

    ======
    While the richer clubs that choose to be "unassisted'' will deplete their cash reserves, they gain in another sense – that those that have only 75 per cent or so of their player payments funded by the AFL (as in the cases of West Coast, Collingwood and Hawthorn), will now have 100 per cent of their player payments paid for, with the exception of the marketing payments, which are about $1 million and will need to be self-funded by all clubs rich or poor.
    ==================


    So...I don't get it?

    Then it also says:
    The assisted clubs are expected to get a better interest rate from the AFL than they would from a bank and they can get an injection of money immediately, but will subject to increased scrutiny from the AFL.

    So, ummmm...what sort of scrutiny and WHY if the interest rate is "BETTER" would Adelaide choose to self fund through BB?
    Commercial lending manager on the Adelaide board?
    Might be prepared to 'donate' his commission back to the club so the effective comparison rate is lower.

    There would be handshake agreements all over the place.
    Western Bulldogs: 2016 Premiers

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    Re: Western Bulldogs among the six clubs to go it alone

    Quote Originally Posted by bornadog View Post
    The AFL have secured a bank loan of $600 million that can be accessed by the clubs and they will wear someone of the interest.

    We are in a position where we don't need to borrow money and go into debt as are the other 5 clubs. The rest like Carlton, Essendon will have to borrow money. There are clubs with debts of over $10 million and will need to go into further debt.

    I am so glad we don't need to go into debt, just to survive. Unfortunately this will be a setback for our redevelopment of VU Whitten Oval.
    If the interest rate is low enough (and I'm guessing it is pretty freaking low right now), taking on some debt via the AFL may not be a negative thing if it allows us to maintain some cash reserve and utilise it effectively once we get out of this thing.

    If not being in debt is the only incentive to churn through our own hard earned cash, I think we're being stiffed.
    Our 1954 premiership players are our heroes, and it has to be said that Charlie was their hero.

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