Ibrox money man Stewart Robertson has admitted that his club is in need of fresh loans.
With the SFA refusing to introduce any Financial Fair regulations it’s unclear how Sevco made it through to the end of the season after issuing a going concern warning with their accounts to 30 June 2015.
When Mike Ashley demanded repayment of his £5m loan Dave King was forced to find new lenders in Hong Kong but no details were published about the terms of that loan.
The South African based criminal has still to invest a penny of his children’s inheritance in the company with no regulators prepared to go near a share issue.
Since the Stokesy cup final Mark Warburton’s squad has been decimated by the loss of Nicholas Clark, Nicholas Law, David Templeton, Dominic Ball and Guidam Zelalem with only the promise of Joey Barton’s arrival in late July to assist the bid to stop six-in-a-row.
Explaining the finances to the Daily Record Robbo said: “We don’t work with a budget. We very much work on the manager bringing us a player and we look at the value. We work on a case-by-case basis. There is no set budget.
“Cash wise, we are just about breaking even – or maybe just a wee bit below that. You may say a loss but I’d say there is investment needed to be made in the club.”
In their audited accounts for 2015 the company stated: “In forming our opinion on the financial statements, which is not modified, we have considered the adequacy of the disclosures in note 1 to the financial statements concerning the Group’s ability to continue as a going concern.
“In order to continue operations for the next 12 months the group is dependent upon raising additional finance. Failure to secure additional funding would result in the existence of a material uncertainty which may cast significant doubt as to the Group’s ability to continue as a going concern. The financial statements do not include the adjustments that would result if the Group was unable to continue as a going concern.”
