Don’t forget Michelle told us the debt was almost paid down, only to be told it wasn’t quite the case at trust meeting where then remarkably an extra £65,000 a month was needed in the form of loans.
It’s certainly true that communication around this has been disingenuous at best, but I suspect that what Michelle meant was that external creditors have largely been paid off.
Clearly this is positive, as it’s external creditors who are likely to issue winding-up orders if not paid.
What wasn’t clear at the time was that director loans had been required to achieve this.
It’s a worry that the club appears to be far from sustainability given the current crowds (how many would there be if we were struggling?), but the amount of money loaned by the directors is worthy of praise. Even if repayment is expected down the line, these loans are interest free, and therefore at significant opportunity cost to the directors.
