That's a very difficult question to answer partly because the "real" OCFC don't appear to have really explained the nature of TAG's involvement.Radley Rambler wrote: Myles - can you elaborate without libelling yourself? Are OCFC and the TAG creation separate entities, are the real OCFC at any danger from the other side of the business?
The bottom line is that he owns 50% of OCFC (Trading) with the other 50% owned by the OCFC Youth charitable company. OCFC (Trading) is the company through which the main football club is operated, with OCFC Youth covering the youth and community operations (roughly).
In the accounts for TAG's company for the year to 30 June 2015, he claims that he earns revenues from the operation of the football club and, of the total revenues for the year of $617k, $547k of that came from UK operations.
In that year, TAG's company made a net loss of nigh on $7.8m, largely helped by paying himself $5.1m!
There are a couple of worrying lines in the account which, to my reading, suggest a problem for the football club. Firstly:
This suggests that TAG's company have borrowed $250k from the football club.At June 30, 2015 and 2014, $256,340 and $219,316, respectively, is due to the managing director of the Oxford City Football Club (Trading) Limited, a subsidiary of the Company. The advances are non-interest bearing, unsecured and due on demand.
Also:
So, TAG's company owed the charitable company nearly £200k and repaid that by giving them shares in his company which, regardless of what value the accounts put on them, are actually worthless. If that is what actually happened then I would suggest that this sort of transaction has the potential to put the football club in danger.On December 15, 2014, the Company issued 165 shares of common stock valued at $660,000 ($4,000 per share) to settle a debt of Oxford City Youth Football Club Limited in the amount of $306,599 (£195,000).