A theory about Hearts approach to loan signings - HibeesBounce.com

**Archie** · 22-04-06, 20:04

I have puzzled as to why Hearts have so many loan signings from Kaunas, controlled of course by Romanov. I was thinking about this when I heard that the Beligian winger they bought recently refused to sign for Kaunas and then be loaned to Hearts, which held up the deal.

It has been suggested that it is for tax reasons, but here is another theory. Unless Hearts do something spectactular then they cannot hope to recover the resources committed by Romanov. Indeed, it is unlikely that they will even become self sufficient after initial investment as appears to be the plan at Chelsea. The only way Romanov can get his money back is to sell the ground - indeed Hearts must not go bankrupt for his financial exposure until the ground is sold (though I accept his bank would be a creditor). After that it is much easier for the club to go bust and limit his exposure.

There is just one fly in the ointment. If a club goes bust I believe the players become assets of the league, not the club. This is a major problem as much of the remaining assets of the club, the players, will revert to the league - unless of course they are on loan, in which case their contract becomes a debt against Hearts and they return to Kaunus and presumably sold by Romanov. Loans therefore protect his exposure.

This all seems so clear that there must be a flaw. Any views?

Cowshed Graffiti · 22-04-06, 20:57

There is no business model that offers medium-term survival for a team with a squad of 32, £10k-a-week (or so) players and attendances of just 20,000, sugar daddy or no.

**SkyeHibs** · 22-04-06, 21:15

Quote:

Originally Posted by Cowshed Graffiti

There is no business model that offers medium-term survival for a team with a squad of 32, £10k-a-week (or so) players and attendances of just 20,000, sugar daddy or no.

Aye, it's called crash and burn.............Cannae wait.
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BigBadBouncer · 22-04-06, 21:37

Neither can I.

**Davy** · 22-04-06, 21:47

Quote:

Originally Posted by Cowshed Graffiti

There is no business model that offers medium-term survival for a team with a squad of 32, £10k-a-week (or so) players and attendances of just 20,000, sugar daddy or no.

unless of course romanov is actually going to pass a few million of his own personal wealth on to his beloved adopted pet team
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**Archie** · 23-04-06, 10:18

Quote:

Originally Posted by Cowshed Graffiti

There is no business model that offers medium-term survival for a team with a squad of 32, £10k-a-week (or so) players and attendances of just 20,000, sugar daddy or no.

Exactly - which is why the loans strategy protects Romanov but not Hearts.

22-04-06, 20:04	#1
Archie Radge Private Member Join Date: Jul 2002 Location: Here Posts: 1,216 vCash: 500 Thanks: 0 Thanked 0 Times in 0 Posts Rep Power: 11	A theory about Hearts approach to loan signings I have puzzled as to why Hearts have so many loan signings from Kaunas, controlled of course by Romanov. I was thinking about this when I heard that the Beligian winger they bought recently refused to sign for Kaunas and then be loaned to Hearts, which held up the deal. It has been suggested that it is for tax reasons, but here is another theory. Unless Hearts do something spectactular then they cannot hope to recover the resources committed by Romanov. Indeed, it is unlikely that they will even become self sufficient after initial investment as appears to be the plan at Chelsea. The only way Romanov can get his money back is to sell the ground - indeed Hearts must not go bankrupt for his financial exposure until the ground is sold (though I accept his bank would be a creditor). After that it is much easier for the club to go bust and limit his exposure. There is just one fly in the ointment. If a club goes bust I believe the players become assets of the league, not the club. This is a major problem as much of the remaining assets of the club, the players, will revert to the league - unless of course they are on loan, in which case their contract becomes a debt against Hearts and they return to Kaunus and presumably sold by Romanov. Loans therefore protect his exposure. This all seems so clear that there must be a flaw. Any views?

22-04-06, 20:57	#2
Cowshed Graffiti Radge Against The Machine Join Date: Jul 2002 Location: People's Republic of Always Next Season Age: 38 Posts: 949 vCash: 500 Thanks: 0 Thanked 0 Times in 0 Posts Rep Power: 7	Re: A theory about Hearts approach to loan signings There is no business model that offers medium-term survival for a team with a squad of 32, £10k-a-week (or so) players and attendances of just 20,000, sugar daddy or no. __________________ And smash his desk of polished oak And smash his hands so used to stroke And stop his boring dirty joke And make him yell. But spare the bald young clerks who add The profits of the stinking cad; It's not their fault that they are mad, They've tasted hell. - Slough - John Betjeman

22-04-06, 21:37	#4
BigBadBouncer The Biggest Baddest Bounciest Radge Join Date: Jul 2005 Location: Edinburgh Age: 18 Posts: 735 vCash: 500 Thanks: 1 Thanked 2 Times in 1 Post Rep Power: 4	Re: A theory about Hearts approach to loan signings Neither can I. __________________ To view links or images in signatures your post count must be 5 or greater. You currently have 0 posts. To view links or images in signatures your post count must be 5 or greater. You currently have 0 posts. To view links or images in signatures your post count must be 5 or greater. You currently have 0 posts. In Leith the sun shines bright, high above a sea of green, and on the field below's the greatest football team... To view links or images in signatures your post count must be 5 or greater. You currently have 0 posts. To view links or images in signatures your post count must be 5 or greater. You currently have 0 posts. To view links or images in signatures your post count must be 5 or greater. You currently have 0 posts.

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