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Should one spend on the stadium or players?

Plymouth chairman Simon Hallett has said investing in a £5m redevelopment of the grandstand at Home Park was the right choice for the club's long-term future. The US-based businessman and his wife Jane put up the cash to support the redevelopment and refurbishment at the stadium.

He said, 'The substantial commitment that my wife Jane and I were prepared to make was only investment in assets that would support Argyle over many seasons, not just through the life of a few player contracts. He added, 'The Board has been very clear, for a number of years, that we want Argyle to be financially sustainable, in the absence of owners who are prepared to fund deficits year after year.' He made his comments in his Boardroom Blog, a good way of communicating with fans, particularly for a chairman who is across the pond: Chairman's chat

Argyle are at risk of relegation from League One, depending on the outcome of their game against Scunthorpe at Home Park next Saturday. In my view, they should be able to do it. I hope so, because of the good work they do on the remote Isles of Scilly.

But is Hallett right in more general terms? It's a real dilemma. You can spend a lot of money on players and they can get injured; turn out not to be as good as advertised by their agent; or fail to fit in with the squad. But you need success on the pitch to fill a stadium. The Pilgrims do have a geographical advantage there given the absence of competition in the vicinity.

Comments

  1. I was expecting some useful insight into the 'football economy'. Very disappointing. Added nothing to the discussion.

    ReplyDelete
  2. How one should divide money up between investment in capital assets (which may not be fully utilised) and players (who may turn out to be wasting asset) seems to me to be a central dilemma for clubs and the answer depends in part on the circumstances and potential of the particular club.

    ReplyDelete

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