Sky 2014

[rob tatum 175]

Mr russell pocketed 20 % ??? Is that true ? That is one hell of an accusation to make but if it is true what a scandal. I am shocked by this but no doubt you will all tell me it was common knowledge ,sums up speedway etc etc.

[Alan_Jones 1,005]

Mr russell pocketed 20 % ??? Is that true ? That is one hell of an accusation to make but if it is true what a scandal. I am shocked by this but no doubt you will all tell me it was common knowledge ,sums up speedway etc etc.

 

It was common knowledge at the time.

[The White Knight 9,039]

It was common knowledge at the time.

 

I didn't know it was that much though?

[LagutaRacingFan 1,936]

Wow!

 

What a shambles.. Why the hell don't the BSPA drive out Mr Russell.

[Soul Crew 87]

Some naive folk round here, its common practice when brokering a contract that you take an agreed percentage of said contract, the only thing that baffles me is how "GoSpeed" ended up with the intellectual rights to British Speedway?

[oldace 1,678]

Some naive folk round here, its common practice when brokering a contract that you take an agreed percentage of said contract, the only thing that baffles me is how "GoSpeed" ended up with the intellectual rights to British Speedway?

 

And it was a deal open to anyone at the time. A 20% finders fee for any sponsorship money brought into the sport.

 

The question is though, should Terry Russell have been conducting those negotiations for himself or for the BSPA?

[PHILIPRISING 7,298]

HE was (is) working on behalf of the BSPA ...

[Grand Central 2,654]

And it was a deal open to anyone at the time. A 20% finders fee for any sponsorship money brought into the sport.

 

The question is though, should Terry Russell have been conducting those negotiations for himself or for the BSPA?

 

'Finders Fee' may have been an appropriate term back in the late 90s when Sky were brought on board originally.

But 200K a year for finding your way back to Isleworth from Kent for the subsequent renogotiations seems a bit steep.

 

 

.

Edited October 21, 2013 by Grand Central

[PHILIPRISING 7,298]

But if( and it is if) that is the deal the BSPA as a whole agreed with Terry then who do you blame? It is no good thinking it's a good deal when you have nothing and then try and move the goalposts at a later stage.

[Grand Central 2,654]

But if( and it is if) that is the deal the BSPA as a whole agreed with Terry then who do you blame? It is no good thinking it's a good deal when you have nothing and then try and move the goalposts at a later stage.

 

Oh, you are absolutely right.

You have said that TR is a brilliant negotiator.

He really rang rings around the numpties at the BSPA to get the deal with them on the rights so skewed in his favour.

[Trees 2,814]

Doesn't he put some of it back though ........

[Humphrey Appleby 13,959]

But if( and it is if) that is the deal the BSPA as a whole agreed with Terry then who do you blame? It is no good thinking it's a good deal when you have nothing and then try and move the goalposts at a later stage.

 

I'd say 20% was a fair fee for negotiating the initial contract, but arguably a lot for a straightforward renewal. Yes, if that's what the BSPA agreed to then fair enough, but more fool them...

 

It probably should be pointed out that Go-Speed also appeared to have financially supported some of the ailing BEL tracks, although the television deal was reportedly conditional on having at least 8 teams in the league so there may not have been a lot of choice. The liquidator's report makes interesting reading though.

Edited October 21, 2013 by Humphrey Appleby

[Grand Central 2,654]

Doesn't he put some of it back though ........

It probably should be pointed out that Go-Speed also appeared to have financially supported some of the ailing BEL tracks, although the television deal was reportedly conditional on having at least 8 teams in the league so there may not have been a lot of choice. The liquidator's report makes interesting reading though.

 

Every track 'supported' then received it's own share of the Sky money too, remember.

Does anyone know what 'net' amount Go Speed introduced?

[Humphrey Appleby 13,959]

Does anyone know what 'net' amount Go Speed introduced?

 

Memory could be failing on this, but the first deal was reputedly for something like 5 million over 5 years, so about a million a year. Take out 20% and that leaves 800K per year.

 

From this, each BEL track supposedly got something like 50K per year, with the rest going in payments to teams shown live (presumably to compensate them for lower crowds).

 

Apparently some promotions were also unwritten for any potential losses in order to encourage them to stay in the BEL to ensure the requisite number of teams. Whether this involved any actual payments or just guarantees is unclear.

 

Don't expect this to ever be explored by the Star though...

Edited October 21, 2013 by Humphrey Appleby

[Grand Central 2,654]

Memory could be failing on this, but the first deal was reputedly for something like 5 million over 5 years, so about a million a year. Take out 20% and that leaves 800K per year.

From this, each BEL track supposedly got something like 50K per year, with the rest going in payments to teams shown live (presumably to compensate them for lower crowds).

Apparently some promotions were also unwritten for any potential losses in order to encourage them to stay in the BEL to ensure the requisite number of teams. Whether this involved any actual payments or just guarantees is unclear.

Don't expect this to ever be explored by the Star though...

 

Yes, that's the general jist of what I thought.

Edited October 21, 2013 by Grand Central