IF You Ever Wonder About the Bengals Not Having Any Money

[jfkbengals]

(03-27-2017, 11:25 PM)Luvnit2 Wrote: Even if they did, teams get loans all the time for bonuses and huge contracts. A bonus can be pro rated over the ife of a contract so paying the player 100% upfront for a 5 year contract, they just get a 5 year loan.

Signing bonuses are required to be paid from cash reserves and are prohibited from being leveraged.  So there are no loans on contracts.

(03-28-2017, 12:12 PM)Hammerstripes Wrote: I would actually be very shocked if the Bengals have less than $100 million in cash.  Mike Brown has owned this team for over 20 years, there's no way he didn't make (and stash) $5 million per year.

As stated earlier in the thread, MB purchased the remaining shares that were not in the family just a few years ago in cash, so I'm sure that severely reduced his assets.

(03-28-2017, 12:18 PM)Luvnit2 Wrote: I was saying cash strapped teams do just that, they do take out loans for huge bonuses. They do it not because they want to pay interest, but because they don't in some cases have 20 million dollars laying around.

I also stated I did not feel the Bengals had cash issues a couple of times in this thread. But, 31 other teams and always someone who does not manage money as well as others.

They cannot leverage contracts.  Additionally ownership is required to maintain a very conservative debt ratio by league rules.

(03-31-2017, 11:02 PM)Shake n Blake Wrote: I have no idea what Mike's motivations are for keeping a small personnel department and scouting staff, and not building a practice facility. My educated guess (based on tidbits I've read) is that he's stubbornly old school when it comes to players practicing in elements. Money could be a factor - and let's be honest - if it is, it's not like any of us will ever know. That's just not something he'd admit to. Same deal with the small personnel and scouting staffs.

I wasn't singling you out with the "excuses" remark, Jim. I just feel there's some folks on here who will take what you said and run with it, using it as an excuse for how Mike runs things.

As for the size of the staffs, there is a mind set that too many cooks in the kitchen is counter productive.  I have heard Brown make enough public statements on the issue to believe that is his opinion on the matter.  If Mike's ideology it to streamline things with direct input of trusted sources as opposed to a plethora of people providing a possible excess of opinions, that is his prerogative as owner.