Finance guru tips Newcastle to save ‘loads of money’ amid latest High Court twist
Newcastle United will save “loads of money” in the long run by building up their legal team.
That is the view of finance expert Doctor Dan Plumley, speaking exclusively to Football Insider about developments behind the scenes at St James Park.
Newcastle posted a job advert on Linkedin on 15 February for a Legal Counsel to help navigate “commercial, legal and compliance issues”.
Amanda Staveley and Mehrdad Ghodoussi are currently involved in a High Court battle against previous owner Mike Ashley.
The Newcastle chiefs are alleged to have breached the terms of a £10million loan used to finance the £305m takeover in October last year.
Ghodoussi told The Athletic last Saturday (26 February) that they will “vigorously contest” the charge.
Plumley claimed it is no surprise to see the Magpies building their legal arsenal ahead of further inevitable litigation issues down the line.
“The off the pitch stuff isn’t just limited to finance anymore,” the Sheffield Hallam University expert told Football Insider‘s Adam Williams.
“You have legal, fan engagement, new technologies etcetera. That is the way the industry is going.
“That comes with a resource issue for the clubs because the more staff you take on, the more you have to pay.
“But there will be a cost-benefit analysis. That’s the way these decisions are made.
“If you get legal counsel and they give you good work in the field of these fair market value restrictions, that will save you loads of money down the line.“
The Premier League recently passed legislation requiring all new sponsorship deals to meet fair market value criteria.
There were concerns among the rest of the top flight that Newcastle’s new owners could use sponsorship deals to artificially boost their FFP standing.
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