SFA's European Licensing

[The DA]

It looks like the SFA have sneaked out their 2017 Club Licensing status document on a Friday evening.  All Premiership clubs have been granted a European license other than ICT.  I'm not sure why ICT missed out since they have a better set of ratings than Dundee, who were awarded a license. Not that it matters since ICT will be joining us in the Championship next season.

What's more interesting is that Rangers have had their 'Legal/Admin/Finance & Codes' rated as silver, better than, say, Hearts.  

This requirements for a silver rating includes the following 'The auditor’s report in respect of the annual financial statements shall not include an adverse or disclaimer of opinion'.  Didn't the auditors' report in Rangers 2016 accounts include an 'emphasis of matter - going concern' regarding the need to raise further funding?  What is that if it's not an 'adverse opinion'?

Does this awarding of a European license mean that Rangers are into the Europa League?

[Dee Man]

2 minutes ago, The DA said:

It looks like the SFA have sneaked out their 2017 Club Licensing status document on a Friday evening.  All Premiership clubs have been granted a European license other than ICT.  I'm not sure why ICT missed out since they have a better set of ratings than Dundee, who were awarded a license. Not that it matters since ICT will be joining us in the Championship next season.

What's more interesting is that Rangers have had their 'Legal/Admin/Finance & Codes' rated as silver, better than, say, Hearts.  

This requirements for a silver rating includes the following 'The auditor’s report in respect of the annual financial statements shall not include an adverse or disclaimer of opinion'.  Didn't the auditors' report in Rangers 2016 accounts include an 'emphasis of matter - going concern' regarding the need to raise further funding?  What is that if it's not an 'adverse opinion'?

Does this awarding of a European license mean that Rangers are into the Europa League?

Rangers are the only team I have heard of this season that required x amount of money just to get them through the season and at one point looked like they were going to run out before the season's end, if reports were to be believed. 

That doesn't sound like a club worthy of 'silver rating' status to me.

[The DA]

12 minutes ago, Dee Man said:

Rangers are the only team I have heard of this season that required x amount of money just to get them through the season and at one point looked like they were going to run out before the season's end, if reports were to be believed. 

That doesn't sound like a club worthy of 'silver rating' status to me.

United needed  loans to get us through the season and we've quite rightly been awarded a bronze rating for finance and overall.

[bennett]

27 minutes ago, The DA said:

United needed  loans to get us through the season and we've quite rightly been awarded a bronze rating for finance and overall.

What happened at united, you guys made a packet from player sales, had healthy crowds and a great crop of youngsters coming through etc...

 

[aDONisSheep]

53 minutes ago, The DA said:

It looks like the SFA have sneaked out their 2017 Club Licensing status document on a Friday evening.  All Premiership clubs have been granted a European license other than ICT.  I'm not sure why ICT missed out since they have a better set of ratings than Dundee, who were awarded a license. Not that it matters since ICT will be joining us in the Championship next season.

What's more interesting is that Rangers have had their 'Legal/Admin/Finance & Codes' rated as silver, better than, say, Hearts.  

This requirements for a silver rating includes the following 'The auditor’s report in respect of the annual financial statements shall not include an adverse or disclaimer of opinion'.  Didn't the auditors' report in Rangers 2016 accounts include an 'emphasis of matter - going concern' regarding the need to raise further funding?  What is that if it's not an 'adverse opinion'?

Does this awarding of a European license mean that Rangers are into the Europa League?

Sorry to be an accountancy w4anker /curmudgeon but an emphasis of matter is not quite the same as a qualification of the accounts.

An emphasis of matter is just a note about something that could be material for any 'users of accounts' that they feel needs additional narrative, but in general the auditors are relaxed that any potential issue will be resolved.

A qualification is where the auditors have not been able to do their job satisfactorily or where they have not had a satisfactory response to a material item.

Aberdeen had an emphasis of matter several years ago, when they hadn't finished negotiating the revised loan arrangement (renewed loans needed to be in place about 9 months later, so AFC had time to get it done) but at time of audit, negotiations hadn't been completed.

Yours

aDONis (ACCA)

[EKACCIES]

The first time Accies have been granted a UEFA license

[bennett]

Just now, EKACCIES said:

The first time Accies have been granted a UEFA license

Same with us.

 

[sjc]

7 minutes ago, bennett said:

Same with us.

 

Spot on. Have a green dot on account of this rare statement of fact from yourself, Bennett.

[7-2]

Anyone that doesn't realise the SFA would do whatever it takes to ensure Rangers Int played in Europe, and as Rangers, just hasn't being paying attention since 2012.

[The DA]

1 hour ago, aDONisSheep said:

Sorry to be an accountancy w4anker /curmudgeon but an emphasis of matter is not quite the same as a qualification of the accounts.

An emphasis of matter is just a note about something that could be material for any 'users of accounts' that they feel needs additional narrative, but in general the auditors are relaxed that any potential issue will be resolved.

A qualification is where the auditors have not been able to do their job satisfactorily or where they have not had a satisfactory response to a material item.

Aberdeen had an emphasis of matter several years ago, when they hadn't finished negotiating the revised loan arrangement (renewed loans needed to be in place about 9 months later, so AFC had time to get it done) but at time of audit, negotiations hadn't been completed.

Yours

aDONis (ACCA)

Cheers, aDONis - I was going to prefix my post with an IANAA but THAT would have been wanky/curmudgeonly.

So, if an auditors'statement that, in effect, says a company isn't a going concern without further funding isn't treated as an 'adverse opinion', what is?  Does 'an adverse or disclaimer of opinion' have a more specific/technical meaning in accountancy?

[aDONisSheep]

11 minutes ago, The DA said:

Cheers, aDONis - I was going to prefix my post with an IANAA but THAT would have been wanky/curmudgeonly.

So, if an auditors'statement that, in effect, says a company isn't a going concern without further funding isn't treated as an 'adverse opinion', what is?  Does 'an adverse or disclaimer of opinion' have a more specific/technical meaning in accountancy?

Aye, it's a riddle, wrapped in a mystery inside an enigma (or at the very least... grey)

IIRC an emphasis of something that is being considered and declared by the company (often it is dealt with in the statement of accounts itself), but that the auditors themselves feel it's important enough to warrant being called out.

So in Aberdeens case, the company confirmed it was in negotiations with the bank and were at a relatively advanced stage, they also gave verbal assurances that if those negotiations wen't tits-up, that directors would work to bridge the funding gap.  However there was no contractual obligation with either the bank or the directors at the time the accounts were signed off, so the auditors added the emphasis of matter, even though the going concern risk was probably only a petri dish risk and unlikely to happen, there was a risk.

How adverse it was or wasn't, was up to the users of the accounts.  I wasn't particularly worried at the time.

However, what many people don't know/recall is that Aberdeen sailed very close to wind round about 2000.  An emphasis of matter (had it been around in 2000) might have been very interesting indeed.

Yours

aDONis

 

[Dev Alahan]

I wonder why McDiarmid Park is only rated Bronze? Seems strange when other similar stadia are all silver.

[RandomGuy.]

7 minutes ago, Dev Alahan said:

I wonder why McDiarmid Park is only rated Bronze? Seems strange when other similar stadia are all silver.

Criteria are...

1. Safety Certificate 

2. Boundary Wall - One point is to prevent viewing from outwith the ground, numerous points at McDiarmid to see the pitch from outside, possibly marked down for that?

3. Safety policy and Contingency plan

4. The Field - rated on quality of the surface (McD isn't great), Dimensions, Gradient (fairly steep "mount" in the centre of the pitch, which slopes towards each goal, maybe marked down for that?), area around the edge of the pitch (maybe the grass outwith the pitch is too small?), Irrigation/Drainage system.

5. Floodlight quality/power

6. Dressing rooms (multiple different requirements for a Silver award, like massage tables and fridges in both dressing rooms, and both must be 20m squared without including toilets/showers, maybe too small?)

7. Technical areas (must seat 11 or more people, ours dont)

8. Medical room (must be separate for players/fans, must either be accessible without going through a dressing room, or accessible from both), Doping control area (must be separate room)

9. Spectator area - Available capacity (maybe shutting a stand regularly harms this?)

10. Disabled supporter provision - Silver requires a permanent seat for assistant, access to hospitality, audio commentary, covered area for a minimum of 8 wheelchairs

11. Photographer facilities - Room must be easily accessible from the field, with 8 power points, phone connection and Wi-Fi

12. Media facilities - Room must have 10 individual workstations with their own electricity and telephone socket and Wi-Fi. 10 press boxes available in the centre of a stand with Wi-Fi.

13. Commentary - Minimum of 9 seats for commentators

 

[Dev Alahan]

5 hours ago, RandomGuy. said:

Criteria are...

1. Safety Certificate 

2. Boundary Wall - One point is to prevent viewing from outwith the ground, numerous points at McDiarmid to see the pitch from outside, possibly marked down for that?

3. Safety policy and Contingency plan

4. The Field - rated on quality of the surface (McD isn't great), Dimensions, Gradient (fairly steep "mount" in the centre of the pitch, which slopes towards each goal, maybe marked down for that?), area around the edge of the pitch (maybe the grass outwith the pitch is too small?), Irrigation/Drainage system.

5. Floodlight quality/power

6. Dressing rooms (multiple different requirements for a Silver award, like massage tables and fridges in both dressing rooms, and both must be 20m squared without including toilets/showers, maybe too small?)

7. Technical areas (must seat 11 or more people, ours dont)

8. Medical room (must be separate for players/fans, must either be accessible without going through a dressing room, or accessible from both), Doping control area (must be separate room)

9. Spectator area - Available capacity (maybe shutting a stand regularly harms this?)

10. Disabled supporter provision - Silver requires a permanent seat for assistant, access to hospitality, audio commentary, covered area for a minimum of 8 wheelchairs

11. Photographer facilities - Room must be easily accessible from the field, with 8 power points, phone connection and Wi-Fi

12. Media facilities - Room must have 10 individual workstations with their own electricity and telephone socket and Wi-Fi. 10 press boxes available in the centre of a stand with Wi-Fi.

13. Commentary - Minimum of 9 seats for commentators

 

Thanks, that's interesting.

I'm still a bit surprised that we are in the same category as Ochilview or Central Park... even Nairn County are rated Bronze.  Seems a bit strange on the face of it but I guess there's no need to worry about it and I'm sure we won't be spending anything to improve our category.

[Nightmare]

St Mirren the 3rd highest rating in terms of Youth/Club Academy. They're the only Gold (Celtic & Rangers are Platinum).

Lex was right all along, lads.