Whilst, not an accountant, prior to the shutdown, I have really seen no instance of the THFC financial model as being flawed. Revenues were higher and generation of revenue was set to increase from retail, gate receipts, TV, sponsorships (and of course naming rights) plus bonus income from NFL, boxing, concerts, etc. the structure of debt repayment took into account inflation of land/property prices (what might be a billion quid today could well be 2 billion in 10 years’ time). With revenues set to increase in the same way the relative costs would have proved out as less and less, as each year passed.
I’m sure the “Generational Debt” could be cleared in a much shorter period of time, but it serves to offset and reduce tax liability, whilst being a capital expenditure and as such not assessable on the regular P&L (Profit and Loss) spreadsheets. As an accountant, Levy does an outstanding job – indeed he would be the best CFO you could possibly ask for!
However, accountants don’t create businesses, they count the successes (or failures) of those who do. The death of a business, whether by dissolution or simply lacking any of the vitality it once had, is generally when the entrepreneur who had that enthusiasm and vitality for the product, is forced out by some form of gang **** by MBAs (the accountants – tho’ not sure the spelling should include the ‘o’)
The real issue with the THFC business is that the accountant has taken over the business and as part-owner runs the business on financials rather than what a real businessman would, opportunity, risk/reward, innovation, and the spice and verve that a true leader brings to nurture the core business: football.
The mutation of our motto into, “to do is too dear” pretty much sums this up. Levy will not risk beyond a line he has drawn, which represents his threshold for safety. He hires good people but stifles the leadership qualities listed above. THFC is not a vibrant and dynamic business; it is a corporate entity; we should really go all in and adopt a new kit which is a dull uniform grey.
But despite this, there seem to be so many obsessed by attacking Levy and ENIC based upon the financials – forget it, they are squeaky
clean: attacking them for destroying the life, which is the footballing part
of the football club by questioning their financial credentials, is pointless and somewhat absurd. They are guilty of not drawing the risk/reward line far enough from assured safety; this is deliberate and ensures them the best return on investment. But this is where their vulnerability lies.
They will not change, neither Levy nor Lewis have the capacity to understand that what they are doing is wrong. To them they are doing great, meeting and exceeding targets with little to no risk of loss. They are expanding the portfolio in the area and diversifying their business opportunity/risk exposure – they are not winning trophies, but they don’t care: they don’t count trophies as their core success metric.
As long as ENIC and Levy are there, they will continue in this vein ad nauseam – not so much a cockerel as a golden goose!
Given the wealth of the club and the track record of its owners, the total asset base and the projections of revenue and profitability going forward, the opportunity described for Manchester United, Cheatski and Citeh is also there for Levy & ENIC. However, whilst cheap players might appeal, there are other opportunities and I suspect struggling local businesses and for new “For Sale” signs in the Tottenham, area might be of interest.
As for PR, in a year or 18 months’ time, the scandal of what Levy has done with the 550 employees will have passed and it’ll get rolled into his hard man ethos – a myth other small, egotistical men have likewise sought to perpetuate.
The time to make real money they say is when blood runs in the streets, but you have to have the wherewithal and THFC does. Levy will broadly
maintain his targets of staying in the top 4; he’ll miss out every now and again and probably smile at the chance to be able to ‘not sign’ top players who want CL football… Aw shucks, but he tried ……right up to the last minute!!!!! Honestly, he did!!
The fact is the club is and will, continue to be infected by Levid-19: a pernicious, viral parasite that feeds on the club, never killing it, but never releasing the stranglehold on its full potential.
As a DML regular , one of the best blogs I have read absolutely spot on
It’s absolutely spot on, nurse.
It also proves my continuous point that no DoF, or coach will ever make all that much of difference under ENIC.
Even in this chaos, Spurs are the most well placed business to survive.
As far as the football goes, we remain staring at what the aforementioned gynaecologist sees on an hourly basis ☺️
Indeed. Ferguson said any team, no matter how successful, needs to be rebuilt at the end of a 4-year cycle or it will badly deteriorate. That was allegedly one of the things he told poch at their dinner. It was certainly something that poch repeatedly told levy, in public.
He was fired for being proved right.
I think we are in general agreement about this. Unfortunately, I am 66 in several days time and was starting to really enjoy being a Spurs fan again under Poch. Now , I foresee misery and under performance for seasons to come. Mourinho is not a Spurs type manager, and as the regime of Enic is probably going to continue for some time to come, I see little to look forward to. Finally, Lewis and Levy have besmirched the club’s name and reputation which I find thoroughly offensive
I think Poch was worth backing. In the end the squad was stale. The great Liverpool side of the 70s and 80s kept evolving with new players. Fergie did the same. When he got rid of Hughes, Ince and Kanchelskis people thought he was mad. Even Klopp needed backing at Liverpool.
The point I was making is that Levy’s money skills are such that trying to find weaknesses there to hang the guy is moot – the problems (as you’ve highlighted) are not accounting problems, they are problems in running the business; ie the footballing part. Levy and ENIC demonstrate by their business strategies and tactics what their business objectives are and that does not include taking any sort of risk – to dare is too dear!
………………….. as well as not being an accountant I am also not a gynaecologist, but that doesn’t mean I don’t know what a bunch of c***s are when I see them!
Spot on, abso blinking lutely, spot on.
We’d need a klopp first for the risk to be worth taking.
Great article, but nothing we didn’t know. ENIC look to make money for investors. A great tick box there, but there is more than one way to skin a cat, just ask the local takeaway round the corner from me. Levy could have followed the current Liverpool model, also done by Man Utd, City, Chelsea and Arsenal: win trophies and increase the popularity of the brand, thus increasing revenue. We were ahead of Liverpool for a fair few years, we superseded them in the top 4, but we didn’t take the risk to push on. Liverpool needed to take a risk to get back in the top 4 and their owners backed Klopp, Levy left Poch to eventually fail. Very rarely does someone push into the top 4, you tend to see teams drop out. Arsenal, Man Utd, Chelsea, Liverpool and now Spurs are guilty of slipping out, usually by taking the eye off the ball through poor planning. If Arsenal’s decline is anything to go by Levy must be careful, as their model resembles ours, although they did win three FA cups in four years. Will the risk come by selling Kane?
Tottenham rec on loud speakers. “If you’re not exercising please go home. Yep. tell them.
You could stop your kids from being fans
Years ago I worked in a large corporation, far bigger than our club, but sadly due to bad business decisions is no longer with us. Anyway, in that business I worked as part of a team.As is the way in male dominated arena’s like the work place nicknames abound.
We had one fella in our team known as ‘Just Enough’
Now ‘Just enough’ was always on time, rarely had any sick time off . In fact, you might say he was quite dependable. However, those who worked with him had a different view. ‘Just enough’ did just that. He only did the barest minimum. Always enough to avoid disciplinary measures but just enough to get the job done. Never went that little extra to help fellow team mates. Always, just enough.
Now with the company’s demise one might think ‘Just Enough’ died with it. Sadly no. The baton has been handed to Levy. And he’s doing just fine ( in his head) doing ‘Just Enough’
Not made up…. Just enough is a real person (Sadly)
Agree a lot about this, especially point 5. A lot of ‘older’ football fans will see your point about not choosing to be a supporter since the money men took over, but as a kid you follow a star player and support the team way before looking at the finances. By the time you get wiser you are in it for life, it’s like a non aggressive mafia! Pity there isn’t a witness protection programme for disgruntled football fans. But we have a right to speak our minds and sometimes revolt. Even when winning, Man Utd fans wanted the Glazers out. Liverpool under Hicks. Arsenal and West Ham. The people’s club, Everton, is about to change forever. History tells us not for the good of the fans. Man City, a club that has no resemblance to the club it was. No wonder the stadium is never full. It is successful but has no soul or identity. Just a PR exercise in promoting Dubai!
Thank you mummy thank you daddy for coming to TOTTENHAM. I’d chose TOTTENHAM every time. No place like it, no club like it. “Tottenham rules ok🌚
Good blog, I agree. In business terms they have worked miracles. We’re overtaken Arsenal and Chelsea in revenue without even any tangible success! It’s astonishing.
We’ll never win much with them in charge but we’ll be financially secure, safe and in and around the top 6.
I think they will be here for a little while longer. “Building the brand”, increasing revenue steadily and maximising profit from the stadium.
I do wonder whether the appointment of Mourinho represents a shift in strategy. I hope it does. This man is a serial winner and if he doesn’t win here then Levy will be a laughing stock.
True. There is no longer a THFC. We have now a Money making Circus.
No Normal person would want to be associated with Levy and Co .
The only fans that haven’t become disenchanted are the “professional fans” who talk about the lunacy of Levy et al. as if they themselves had been appointed brand ambassadors.
The people I’ve been metaphorically kicking to death on a daily basis since 2005. People one wouldn’t want to be stuck in a lift with.
It’s a case of how long the gullible fan base can continue to believe in the way the club is being run by Levy, that gullibility is what Levy relies upon to push through his agenda. We live in a ‘NOW’ society, and as we are, the worldwide fan base don’t appear to care too much about the long term, and I don’t know what it would take for the tourists to look beyond and question, what they are being sold by the regime.
Very good article but I have several issues with it based on Levy’s skills as a moneyman. I am also not an accountant but Levy appears to have made some errors which have affected Spurs bottom line.
1. Ten managers during his tenure has cost the club a lot of compensation.
2. Not strengthening the team at appropriate times with the right personnel has meant failure at crucial periods which translates into reduced income. For example, by ignoring Poch’s advice that substantial reinforcements were needed, it appears that we will miss out on a top four place this season.
3. Did he really need to go 100% over budget for the new stadium?
4. Furloughing the staff has left a nasty taste in people’s mouths. Notwithstanding the economic effects of the virus, which blue chip company will want to be associated with THFC and Enic?
5. His mistakes in the transfer market have been well documented but we did not need to buy overpriced players, eg, Alexis Sanchez type players, but just to have orchestrated a cleverer modus operandi. Instead of having the right people in charge of the football side, he has maintained his egomaniacal grip on every facet of the club’s affairs.
In conclusion, whilst we all understand that football has to be run as a business, we are a club that gives very little to it’s fans. Lewis and Levy are well documented as people who do not even like football.
If I had my time again, I am a supporter since 1962, I would never support Spurs if they were run by this toxic regime.
Just looked out the window. My spurs is still there. Rode round her earlier too. She’s a bit dusty. That bit a spurs land to the east of her I keep forgetting just how big it is.
Is it actually Spurs still? no longer feels like it sadly.
….instead the tapeworm is offering Kane to Man U for 200m to try and save its corporate asset.
Good read.
When even the dildo brothers are showing more generosity and basic humanity, you’d assume the enic tapeworm would finally take a long and hard look in the mirror.
But you would assume wrong….
COYS still. 🌚