Salford told to hang on for cash to help them through stadium delay
SALFORD have been forced to wait to learn if they will be given the central distribution advance they crave to ease short-term financial problems.
Stalemate in the city council’s stadium deal, which will open up vital new revenue streams, has left the Red Devils having to pay bills without them.
Despite, the authority proclaiming an agreement with current partners Peel had been reached, contracts have not yet been signed.
And a lack of clarity over when pen will be put to paper has led the club to ask for an early payment of money it feels belongs to it.
But at a meeting of Super League chiefs yesterday, a decision on any handover was deferred until Monday, so detail can be reviewed.
It is thought other clubs are generally supportive but would like to know more after the late request meant little time to put a full case together.
Salford said: “With the continued uncertainty surrounding the stadium ownership we have found ourselves in a position where sponsorships and commercial opportunities have been prevented which has left us with a gap on our short-term cash flow.
“At this moment in time, we still have no clarity on the final timeline for the stadium which makes business forecasting challenging – we have business initiatives ready to implement but find ourselves forced into a holding pattern.
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“The meeting today was at the request of CEO, Paul King, to apply for an advance on our 2025 distribution to bridge the gap, which requires a league-wide owner vote.
“We can confirm that the Super League clubs have met and agreed to adjourn until Monday to allow more time to consider the documentation provided.”
King added “We’re grateful that our fellow clubs are considering our request and we are hopeful for a positive outcome on Monday.
“Whilst rivalry on the pitch defines our competition, we sincerely appreciate the understanding and efforts to set these aside and empathise with us in a difficult moment.
“We extend our thanks to each club for taking the time to consider our request and look forward to competing in another exciting Super League season in 2025.”
Salford have been hamstrung by the agreement in place for 12 years and once this deal goes through, food and beverage sales worth £150,000 will come their way.
An advertising screen facing the neighbouring Barton Bridge on the M60 will also be put in, with all monies going to Salford.
But until the agreement is literally signed and sealed, nothing can go forward – hence the need for money.
Salford City Council has so far not responded to SunSport’s request for comment regarding the stadium deal.