Stefan Borson reveals why Everton’s owners have bankrolled £56m injection
Everton’s owners have bankrolled a £56million injection to pay the bills at the Hill Dickinson Stadium.
The Friedkin Group (TFG), which is spearheaded by Dan Friedkin, took over Everton last December, bringing to an end Farhad Moshiri’s eight-year spell on Merseyside.
A Companies House submission earlier this month revealed Everton’s owners had injected £46m into the club.
It was confirmed last week TFG has now injected a further £10m, ensuring David Moyes’s side have been backed with £56m worth of investment in recent weeks.
Former Man City financial adviser Stefan Borson exclusively told Football Insider the ownership group will continue putting money into Everton to pay the bills.
Everton owners to bankroll more cash injections
TFG is looking to improve Everton’s financial situation after they previously faced profit and sustainability (PSR) issues, with top-flight clubs permitted to lose £105m over a rolling three-year period.
Everton are now in a stronger PSR position, but they are still believed to be slightly restrained following their previous issues, having been deducted eight points for two spending breaches in the 2023-24 campaign.
Speaking exclusively to Football Insider, Borson said: “Well, they’ll be loss making.
“First of all, a lot of the money that’s going in is just to pay the bills, and that’s going to carry on for a while.
“It’s not cheap to open a new stadium, for example, there are all sorts of costs that happen in that process.
“And they’re building their financial capability back up from a very difficult place, so they’re going to have to keep putting money in for quite some time.
“As the wage bill increases and the player costs increase because they have to build the size of the team, I would expect this to carry on for a while with these issues of shares periodically to put money in because people aren’t going to put loans in anymore when they’ve got the PSR hit.
“It won’t be interest-free because you have to charge fair market value, so a shareholder loan is no longer free money in, so I think you’ll see people just put equity in more frequently.
“So, that’s what it is, it’s just to pay the bills.”
Everton fans saw their shares in the club diluted earlier this year after Friedkin initially secured a 99.5 per cent stake.
Everton agreed women’s team sale in new PSR move
Everton sold their women’s team to a parent company earlier this summer in a move that is expected to generate a significant paper profit and ease any lingering PSR fears.
The Merseysiders’ latest published accounts for 2023-24 revealed their revenue increased from £172m in 2022-23 to £187m, while their losses dropped from £89m to £53m across the same period.
Moyes’s side have picked up seven points from their opening four games of the new Premier League season.
For more Everton and exclusive news, follow us on Facebook or join our brand new WhatsApp Channel for instant updates to be sent straight to your phone.