Ex-Edinburgh owner Carruthers still keen to do business with SRU
Bob Carruthers: Business model
FORMER Edinburgh Rugby owner Bob Carruthers has written to the SRU offering to pull together entrepreneurs who could take over the running of Scotland’s professional teams.
The 50-year-old Scot who made his money in the entertainment industry, was forced out of the Scottish game in 2007, only a year after taking over the Edinburgh team with his consortium. Edinburgh crowds rose and supporters praised a far better customer experience under Carruthers than was the case with the SRU, but his ownership became embroiled in court actions as he fought the union and chief executive Gordon McKie over funding and latterly refused to allow players to take part in Scotland squad sessions.
McKie, who quit the SRU in May, wrested back control of the team but Carruthers still believes he is owed substantial amounts of money and that the SRU cannot use the name Edinburgh after he sold it to an SRU subsidiary company, Murrayfield Experience Ltd.
In total, Carruthers believes he invested, or lost, over £1m in the venture but insists he is prepared to do the same again. The obvious question is: Why?
“Because Scottish rugby still needs entrepreneurs to take the professional teams off the SRU’s hands,” he said.
“The clubs are the stakeholders in the SRU and should be benefiting from the money that flows in from television, which would encourage people to play the game and get numbers up. The SFA don’t own football teams, the RFU don’t own rugby teams, and the SRU shouldn’t own rugby teams.
“People like Brian Kennedy [Scottish Sale Sharks owner] have proven how it can and should be done, and there have been more people interested in getting involved with pro rugby in Scotland and if the SRU had opened the door. The new regime at Murrayfield is talking about being ‘open for business’ and wanting to meet potential investors in the pro teams, so I’ve written to them and invited them to talk about it.”
Carruthers now comes with the baggage of 2007, having upset a number of players still involved in the game with his handling of disputes and never convincing that he had the necessary funds to wholly control a pro team. He had wanted the SRU to hand the consortium the substantial fees received from competing in the Magners League and Heineken Cup, and disputes over that ultimately sunk the partnership.
“We had enough money,” Carruthers insisted. “You are looking at £3m-£4m as a base figure for running a pro team per year [the SRU currently spend nearly £5m per team], but it’s not necessarily about one person producing that but a consortium with the support of the monies for our teams taking part in the Rabo Direct Pro12 and Heineken Cup. I’m not coming at this in an adversarial way. We were forced into a difficult position by a lot of pressure from the SRU in 2007, which is why it ended the way it did. But I haven’t changed my belief that it can work in Scotland.
“I watch Worcester, who have a good set-up with a far smaller catchment than Edinburgh’s, and just feel it’s a crying shame we don’t yet have that working at Edinburgh and Glasgow, and that important rugby areas like the Borders and Caledonia are still outside the pro fence.
“At the moment Scottish rugby is in danger of sliding off the world stage but, with constructive dialogue and a positive vision, anything is possible.”
Carruthers spoke of his desire to grow the professional base back to four teams, with the Borders and Caledonia restored which, while the SRU and potential investors remain strangers, is some distance from reality.
Sir Moir Lockhead, the new SRU chairman, president Ian McLauchlan and Mark Dodson, the new chief executive, are not only ‘open for business’ but actively seeking out new business friends and, in response to Carruthers’ comments, Dominic McKay, SRU Director of Communications and Public Affairs, reiterated: “We welcome discussions with anybody that is looking to invest in Scottish rugby, be that in the professional teams or grassroots rugby.”
Anyone willing to invest in Scottish professional rugby and put forward a credible plan to run teams should be welcomed into Murrayfield on a red carpet. Carruthers, therefore, is likely to be extended the courtesy of being heard, but it remains to be seen whether he has the ability to provide the necessary lead.
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Comments
There are 3 comments to this article
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Top Totty
Wednesday, November 2, 2011 at 12:47 PMInvestors are thin on the ground so good luck to the SRU. However, I would suggest getting back with BC would be a case of out of the frying pan into the frier again! SRU should keep a hold of the reins until they have a 100% reliable investor.
Rampant
Wednesday, November 2, 2011 at 11:36 AMCarruthers may not be the ideal person to lead a Pro team, but at least he is getting the debate started again. If he can encourage other investors to sign up then I'm in favour. Caveat being that they get a soild Chief Exec to manage it
YES - IT'S ROCKET SCIENCE, FOLKS!
Wednesday, November 2, 2011 at 10:28 AMDoes that jowly Carruthers fellow have any credibility - as an investor, manager, owner or as one who might conceivably assemble a viable consortium of suitable investors? In citing the RFU, SFA & Sale Sharks, he conveniently forgets to mention the regional ownership models in Wales & Ireland - while comments about the Worcester catchment area compared with Edinburgh are total nonsense. Anyone been to Sixways recently????? Mr Carruthers may be a fool to imagine others are as silly uninformed as he is........ The man is deluded, and so would anyone daft enough to hitch up to his wagon of skin-deep plausibility.
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