Salford receive cash they crave as investment looks possible with stadium deal
SALFORD have been given the £500,000 they need to see themselves through their latest cash crisis.
Now to hand the Red Devils over to a new investor.
For SunSport understands more than one buyer, including interest from Australia, is in the running to take them on – with hope an agreement can be struck in the next month or two.
One person not believed to be in contention, however, is Justin Pascoe, former chief executive of NRL side Wests Tigers.
Yet the vultures looking to pick off the best of Paul Rowley’s squad are circling – half of Super League is thought to have made an approach after learning of their short-term issue.
Salford, who continue to be in special measures until things pick up off the field, were given the advance of their central funding after delays to the city council’s buyout of the community stadium left them facing bills without new revenue streams.
They have so far denied them the food and beverage cut worth about £150,000 a year and an advertising screen facing the neighbouring M60 motorway, which would see money come in.
The club has also lost out on at least three sponsorship deals as a contract has not been signed and sealed – others that are lined up cannot be activated either.
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As things stand, the club is hamstrung by the terms of its current arrangement involving stadium partners Peel – which many would describe as commercial suicide.
Yesterday the other 11 Super League clubs backed out of making the decision, instead leaving it centrally to RL Commercial – who always had the final say.
After getting the OK, Salford chief executive Paul King said: “This affords time for the club to consider all investment options and to continue to collaborate with the council and our friends at Sale Sharks to support the purchase of the stadium.
“We are hopeful that is imminent, at which point we look forward to progressing the build of our advertising Screen, to provide the club with an additional revenue source.”
Chief operations officer Claire Butters has been brought in to develop a five-year commercial strategy.
She added: “We know we have work to do commercially. This is a big club with a rich heritage.
“Our job is to re-establish Salford Red Devils as the club of Salford and build something special here that people love and want to be part of.
“The Salford spirit knows no limits and that’s the mindset we’re adopting.”
Salford City Council announced it had agreed the deal to take on all of the Community Stadium several weeks ago.
But so far, no contract has yet been signed, causing the hold up, and it is believed there is no timescale for when lawyers will have drawn one up.
Sources believe it is a case of ‘days rather than weeks.’ Yet it has been that way for some time.