At last a positive Article on the el

[gufct]

Galway's calculated gamble
Sunday January 21st 2007
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NICK LEESON has been known to gamble, and this year is no exception.

The Galway United general manager is gambling on a full-time professional set-up to ensure that the club's promotion to the eircom League Premier Division is not a one-season wonder - and his directors are hoping that he has got his sums right.

After all, this footballing figures man is no ordinary Joe. Galway's guru has a GUBU background that puts Luciano Moggi in the ha'penny place.

A check on his website discloses that, in 1995, his gambling instincts led to the collapse of Barings Bank (personal bank to the Queen of England no less) and had him sentenced to four years in a Singapore jail where creature comforts weren't on the menu.

His best-selling book on his experiences, Rogue Trader, was filmed by David Frost, with Ewan McGregor in the lead role. While the book helped to pay off Nick's massive (£1½m) legal fees, he didn't make a penny from the film.

In jail, Leeson developed cancer, and his wife left him. Any lesser mortal would have got the message - gambling doesn't pay - but not Nick. The only thing that has changed is the verbals. For gambling, he now resorts to the euphemism 'risk-taking'. Nice one, Nick.

The first time I met Nick was at Leopardstown just after Christmas when we were guests of Paddy Power. An enquiry as to his fortunes on the day received the self-deprecating response: "Not great, what would you expect with my record at gambling."

So, sitting opposite him in the Hotel Meyrick in Eyre Square and quizzing him about Galway's gamble, it was reassuring to note that the brow didn't furrow and leak, or the eyes glaze, and there were no sweaty palms either. Either this was all matter of fact to him, or else he had his poker face on.

Nick, meanwhile, responded by giving me some lessons in life. Apparently it comes naturally when you have been locked up for 23 hours every day for four years. Some things you never forget.

Other things don't mean a thing. Take, for instance, Christmas. When I suggested to Nick that he must have had a nice Christmas having heard the news that Galway had been awarded a Premier licence, his response took a philosophical tack.

"In prison in Singapore, you're fed boiled rice twice a day, and you have to rationalise everything quickly. You are served up fish with about 300 bones in it and you realise that you eat, not for enjoyment, but for survival, and that you can cope with anything. So even at Christmas you lower your expectations. A bit of fried rice and a piece of chicken was the special dinner in prison for Christmas.

"As a result I have found it fairly easy to adapt and to get on with people from all spheres. But, to my wife's disgust, I'm not big into birthdays and big occasions. I enjoy other people enjoying them, but to me it's just another day."

After that, though, it was all facts and figures when it came to Galway's ambitious budget - "doubled from when we were in the first division," as manager Tony Cousins explained.

"I prepare the budget for Galway United," said Nick, "and I can stand over 80 per cent of it, but the rest is a bit of a gamble. Over the year you have to qualify that risk, understand it, and if you don't you have problems."

Yes, but what about that 20 per cent?

"It's one of the most difficult things involved in sport, any sport - the 20 per cent risk is largely what we need to generate in revenue through the turnstiles. We probably have something approaching 18 or 19 per cent of our budget forecast based on that. That's quite high, so we certainly don't want a season like Bray or Waterford had last year."

He then paints a more hopeful picture: "Our first four or five home games will probably sell out, and the Dublin teams, Derry and Drogheda will bring a large number of fans, so we're not necessarily totally reliant on having success this year." Cousins is singing from the same hymn sheet: "We have to make sure that we take tentative steps, not go with a ridiculous budget that we can't afford. We need one that we can improve gradually and that's how I've sold it to the players.

"For me, staying out of the bottom three will be success this season. If you don't have good foundations your house will fall down and I want to build the club so that it can go forward and put a better team on the pitch as it grows."

Leeson then draws on his experience as an after-dinner speaker to illustrate the point. "In the financial world people ask me should there be more or less regulation and I always answer that it doesn't matter; what's important is that you get it right in your own company. Likewise in football, and that's what's happening in Galway. We'll have a tightly run, efficient ship that can sail through stormy waters.

"I don't have any sympathy for other clubs who buy success and run into trouble. I might like the people involved, but they're responsible for their own problems."

He then added a chilling note: "Sometimes a sinking ship should be allowed to sink."

Leeson believes that the licensing process means that the fittest will survive - the financially and structurally fit. "It's a fantastic opportunity to build a league that will prosper, but there are a number of clubs with problems. Everything in the Genesis report has been borne out, and remember, it suggested an eight-team league."

So far, the indications are good for Leeson's budget. Season ticket sales, which account for 15 per cent, are bang on target, with the fixture list expected to give them another push.

On March 2, Mario Rosenstock is the star attraction at the club's ball, with a target of €50,000 plus accounting for another five per cent.

And in a deal with sponsors Aer Arann, football packages will take 66 fans to see Sunderland play Southend on February 17 and meet Niall Quinn and Roy Keane, and on May 5 they will be heading to the Manchester derby.

Leeson, a Man City fan since he was five, secured the tickets for the latter fixture from his great friend, City's CEO Alex McIntosh.

Figures can be made to say anything, as Leeson knows from personal experience, but Galway have a safety net this season. "We have a group of ten directors who have agreed to sign a financial guarantee to underwrite any shortfall, but we hope that won't happen, and it's my job to see that it doesn't happen."

Inspiring them with confidence, no doubt, is the fact that Galway made a profit, albeit a small one, last season

Inspiring them with confidence, no doubt, is the fact that Galway made a profit, albeit a small one, last season.

A large part of this was due to the arrival of Cousins as manager half-way through the season. The former assistant at Shamrock Rovers and Drogheda United showed his leadership qualities by igniting a run that took 30 of the last 36 points on offer.

As a result, Galway's gates were the highest in the First Division, buoyed by two attendances in the 4,000 bracket against Rovers and Dundalk.

Procuring the Premier licence is not an end in itself, according to Leeson. "The requirements for the licence will change," he points out, "so it's a work in progress. At present we don't have the seating capacity we need at Terryland. A new stand is starting in a few weeks and will be ready in May or June.

"The fundamental problems in the league are that the stadiums are not good enough, and the marketing is not right yet. That football attracts less than one per cent of sports sponsorship in this country is an indication that we've got it wrong."

Looking to the future, Leeson has ambitious plans for Galway: "In eight to ten years, Galway United need to be playing in a state of the art stadium that is generating its own revenue. You can't run a business on an asset that only earns money one day out of every 14."

On the playing front, Galway are in year three of their five-year plan. So far they have met their targets, and in year five they want to bring European football back to Galway.

Leeson, who has made a complete recovery from cancer, has settled there now with his second wife Leona Tormey from Kells, his two step-children Kersty (12) and Alex (7) and their own child Mackensey (2½).

"Galway has all the advantages of a big city with none of the disadvantages," he says. "It's a feelgood city, and there are not too many of those."

Galway has been good for Nick Leeson - and he's busy repaying the debt.

Seán Ryan

[dcfcsteve]

Interesting article on Nick Leeson - but where's the positive article about the EL you mentioned......?

[pete]

What club is he taling about again?

[dcfcsteve]

What club is he taling about again?

The article is as much about him, his past and constant references to the concept 'of ' gambling as it is about Galway, let alone the EL.

Not a good article for the EL at all in my view. Simple because it's not an article about the EL at all....

[paul_oshea]

there was another article in the living section of the independent. both were very good to be honest. one was about portlaoise, but used in relation to eircom clubs.

[gufct]

Its not just about Nick lads it also lays out the way the club is run, its plans and Tony is also interviewed.

[bigmac]

Tony is also interviewed.

Yep, the interviewer goes into great depth with him.

"doubled from when we were in the first division," as manager Tony Cousins explained.

Nice article about Leeson, but an article saying that this year Galway are gambling on success is hardly eulogising the EL is it?

[paul_oshea]

look they do go into a bit lads, its a good article about GUFC, and a "general" overview of how the finances work, therefore it is about a club in the EL and its a good read, therefore in my book anyhow that constitutes a good article about the EL. They are never going to go into a great deal about that, why do El supporters have to knock everything, instead of getting behind everything? is it a pre-requisite of being an "EL fan"?

Interesting to note how he says everyclub work the "20%" gamble factor. Galway having under-writers to sort them out if the sh1t hits the fan is also good. I really liked his point about ( the stadium ) being 1 in 14 days is the main source of income for a club, is just wrong. If they really improved their stadium, along with facilities etc, they could hold all sorts of functions there, plus gigs in the actual stadium ( i.e. look at pearse stadium, dylan and the likes, galway is a great spot for intimate to medium sized gigs like dylans ). It is certainly promising from a business point of view for GUFC if leeson can do all he proposes to do.

[bigmac]

look they do go into a bit lads, its a good article about GUFC, and a "general" overview of how the finances work. They are never going to go into a great deal about that, why do El supporters have to knock everything, instead of getting behind everything? is it a pre-requisite of being an "EL fan"?

I think it's a jaded response to the constant promotional material coming out of Galway to be honest.
As I've said, it's a good article, but its focus is clearly on Nick Leeson rather than GUFC so I'm taking it with a pinch of salt. IMO it reads more like a press release than an independent article about the club.

[BohDiddley]

one was about portlaoise, but used in relation to eircom clubs.

Who said post-modernism was dead?

Of course the Galway article is positive. Even if if does centre on a rather dubious character, it frames the league positively. Certainly, it makes a change from the knee-jerk league-bashing so many hacks indulge in.

[paul_oshea]

In fairness, he doesnt start going on about himself a great deal except for the begining and thats because the interviewer keeps asking those sorta questions. I do see what you mean about a press release somewhat though, but he makes good points about other clubs and how they are run, and how they use their stadiums etc. Maybe thats why galway are looking healthy, because they have gone into it full time, proper setup, with back-up and contingency plans. They are looking ahead, and in that sense it is a blueprint/prototype for other clubs. Big clubs all over the world, are well run business, thats what has made them big football clubs, just as much as what they have acheived on the field, even more so in the case of some clubs ( look at real madrid etc, even chelsea, over such a short term ). If galway get their business running efficiently and effectively, a good footballing team will follow. Money brings power, power brings money, they work( go ) hand in hand, and more money means better players in the long run too, and better players means a better club.

[paul_oshea]

Who said post-modernism was dead?

hmmm, maybe i should have written that more clearly. portlaoise G.A.A club not GAAAAAA club.

maybe the league needs a few more nick leesons.
he does strike me though reading that article as someone you couldn't fully trust, and would jump ship quickly, or maybe thats just me not thinking objectively or thinking abjectly.

[galwayhoop]

i don't see hjow the stadium can be used much more than it already is. terryland is owned by Galway & District league and GUFC are only tenants - albeit main tenants. The pitch is used about twice as week as it is between Galway Town games, schoolboy and junior fixtures.

it may only be used 1 out of 14 days in a GUFC context but the ground is used much more than that in reality.

as for concerts that is well and good but these are usually held in the june/july months which is at the height of the eL season.

not trying to be negative but i can't see what other uses the stadium can be put to

[Conor H]

Gufct,

I can see why some clowns would have sour grapes towards us if every time we have an article about Nick,which mentions UTD,is put up in the EL section.

No need for it.It's the same old stuff.....different newspaper,different week.

[dcfcsteve]

This is a story first and foremost about Nick Leeson, and secondly about Galway United. Maybe 100thly it is about the Eircom League.

We seem to be so desparate for anything positive in the media about our league that any article that even mentions it in broad-context is held-up as something positive about Irish domestic football.

Reminds me of the rabble in Monty Python with the shoe and the gord, clinging onto anything that might vaguely offer hope - "It's a sign, a sign I tell you....!"

[bigmac]

i don't see hjow the stadium can be used much more than it already is. terryland is owned by Galway & District league and GUFC are only tenants - albeit main tenants. The pitch is used about twice as week as it is between Galway Town games, schoolboy and junior fixtures.

I think he means have a stadium that can generate revenue outside of match day - training pitches, conference centre, functions, bar sales etc.. Certainly on an EL level of revenue, a full size all-weather pitch in a stadium complex would generate a sizeable amount of income.

Paul, what did he say about how other clubs use their stadiums? I agree that big clubs are run as businesses, but I don't think that Chelsea are an example of a well-run club. On the contrary, their business plan only invloves them breaking even for the first time in 2009! Hardly a model for EL clubs to emulate.

The other key point is that a well-run club does not automatically generate a good football team. Certainly having money available is a necessity, but that money cannot be generated off the back of an unsuccessful team. Galway have definitely maximised their current earning potential, but should success not follow, it will become increasingly difficult to maintain that level of income, let alone increase it.

[jebus]

Leeson believes that the licensing process means that the fittest will survive - the financially and structurally fit.

And there in a sentence is Galways 5 year plan to win the League. Stay afloat and hope every other club in the Premier goes the way of Dublin City and Shelbourne so you're the last man standing, a fine 'football' team the EL has there

[gufct]

You missed the point Galway Hoop. Its not Terryland Nick is talking about and it is long term 5/10 years down the road.Nick has been excellent for Galway United since he came and as the article states he acknowledges how United was good for him .He has been almost 2 years in the job and has worked his ass off for our club so yes I and lot of others at GUFC Trust him and count on him as a friend.

As for Jebus wouldnt expect anything else.

[osarusan]

And there in a sentence is Galways 5 year plan to win the League. Stay afloat and hope every other club in the Premier goes the way of Dublin City and Shelbourne so you're the last man standing, a fine 'football' team the EL has there

Jebus, I know you disagree with how Galway became a Premier Division team, but surely you don't have a problem with a team being structurally and financially sound?

And if your "5 Year Plan" did actually happen for them, and they were the "last man standing", I think it would be better to direct criticism at the clubs that fell apart along the way.

[MyTown]

Wow has Jebus got a bad dose of sour grapes or what??? I'm very sorry about what has happened to senior soccer in the Treaty City, but here in Galway we're trying to be positive.

Every club faces obstacles. Most clubs envied Shels when they brought Deportivo to Lansdowne. Look at them now - a few short seasons later. All clubs face cynicism, negativity and a floating support that will follow a winning team.

We're trying to be positive. A few posters here have noted their weariness about the constant 'spin' coming from here about our future. Well, no apologies from this quarter. We'll do what we can to survive and prosper in the league on and off the field. Off the field we had a major success last season. We'll try to emulate that ON the field this year. We might fall flat on our faces - but at least we're trying to prepare in a sensible and thorough way. And if we do fail, we certainly won't be alone.

BTW - The article was written by Sean Ryan, a journalist who has written extensively about our League for decades. His track record of research and committment to the League is second to none. Obviously we have received huge publicity out of Nick Leesons association with the club. Nick & Galway United have benefitted hugely from that.

I would have thought any article that brings the League up for discussion in close season is to be welcomed and positive.

I can't wait for the all the stories about Bohemians new money, Derry's response to the Minister for Foreign Affairs prposal of an FAI/IFA merger or who the next big export from our league to the UK will be.

Bring it on - Bring it on

COME ON UNITED