KopTalk.com Forums Football Liverpool FC Forum Is it time we exploded the myth about FSG?

When FSG took over I was deeply suspicious but gave them a chance. After Gillet and Hicks they swam in a tide of goodwill as the clubs saviours. Any doubters were hammered down at the time.

But one of the achievements touted which I always thought was ridiculous and still exists to this day is the fact they cleared the clubs debt.

G&H were financing the purchase of the club from an RBS loan and were unable to refinance it because of the credit crunch and other reasons. FSG had them over a barrel and saw the opportunity to purchase a worldwide brand at a knockdown price. FSG had the funds to purchase the club outright but as anyone who has any financial knowledge knows money is never ever free even if you have the capital. If you don’t have the capital you borrow it and you pay external interest if you do have the capital and you utilise it there is an opportunity cost of capital. (E.g. the lost return by using for that purpose)

Either way there is a cost.

Liverpool FC are a wholly owned asset of FSG for which they have borrowed or used the groups cash to fund. The accountants in the USA will take the capital cost apply the cost of funding and anything left over is either shareholders return or to be used to reinvest in the club.

This is why FSG have spent almost nothing since taking over and are now starving the manager of transfer funds because we have to cover the interest for the aquisition.

It’s exactly the same as the situation with Gillet and Hicks except they are able to finance it, that’s the only difference. Their motive is speculation and they have no intention of taking this club forward other than to deliver a short term speculative profit and they are not willing to invest or risk any of their funds.

These people are conning reds fans and it’s about time we saw through them and made some noise about it.

I'm all for a well run club but I don't want to be arsenal qualify and do ok each year but win f all.
Cutting salary costs, buying young is great but for fan buy in you need associated success ( I hope me get it)
Finally where's the stadium

There's no myth about FSG.
Everyone was wary of american owners twice around.
They put there money where there mouth was last season. Dalglish blew it. End of.

forget about qualifying for the champions league its not going to happen , every team in and around liverpool have spent and strengthened there squad massively .

I was saying we could get 4th place it was possible but I assumed we would be making 2 to 3 new signings. Now I accept 4th place is gone no chance now. Thanks for nothing FSG

Did they though how much of that was finaced by Torres / Babel etc. Since they have took over what is their cash injection ? I bet its worse than Gillet and Hicks. And as for the ground that is just a joke now.

horror shows coming again

They did not put much last season, it was generated by the club from earlier and then current sales and from the club itself. Anyway, I would not have been that [oops] if they had kept AC, because they haven't replaced him. We are too thin in front. We'll pay dear for this, make no mistakes.

Not contesting that its a major disappointment.
Just that the thread title is a little provactive to say the least. Regarding the spending, they paid off a large part of the debt , certainly liverpool don't have massive interest payments now.

Depends what your expectation levels are American business owners didnt leave me thinking they are going to go and spend big amounts on star names. They clearly didnt know what they were doing when they brought the club with carrol being bought probably as he had good stats or something. they trusted commoli and dalglish to buy and they blew it. I think part of this is astatement to other premier league clubs that lfc will not pay over the odds for rubbish anymore.

And why not? seems like they were right really. Even under benitez they were buying rubbish for too much money.

My point is this is not asset stripping by the 'devil' american owner. If they were going to do that they wouldnt have been pursuaded to buy carrol for 35million. I would say they are mean and are trying to get 4th without spending - like newcastle under pardew were trying.

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