Caught_clean - And yea, all huge companies have debt.
Yea. No need for worry. Almost every big company out there borrows huge amounts of money from time to time so they can make some big business moves.
Yea. No need for worry. Almost every big company out there borrows huge amounts of money from time to time so they can make some big business moves.
Travis Bickle -JOB -Travis Bickle -JOB - Fuck no, they are an extremely profitable company.
ok shill
Have a cup of fuck off, KKM.
do you blow Dana with that dirty mouth, shill?
Finished that cup of fuck off already?
Lobo8 - Sauce?Yes?
This is old news. They have a loan due. Just google. Will give you articles explaining it. I believe there are previous threads here about it also.
It's true, but it is also meaningless.
As long as their credit remains good, they'll never have to dig into their own pockets to pay a lump sum. When the loan comes due, they'll simply pay it off the old loan with a new loan. Zuffa will be happy because they don't have to pay out any of their own money, and the bankers will be happy because they get to keep collecting interest payments.
so then your next payment will be what?
2 billion?
All corporations carry a large amount of debt from year to year. Drawing attention to this is just another way of saying "I know nothing about business development".
The deal with fox was over 900 million for, I believe, 7 years.
No, its just with the #'s going down, ppv, etc...
maybe it will be arder to pay that debt?
just worrys me a bit as a fan i guess...
and i think its safe to say many business after 10-20 years are not in any debt, maybe making $$$ profits already
I don't think it was until 2007 that the UFC started making money. Perhaps they're turning a good profit now, but they still have past debts.
Daverr -Well just bc you have debt doesn't mean you're not making money. The debt you pay basically is included in the overhead. If it takes all your money then you're not doing something right. Also, If the fertitas took 400 mil out of pocket and it bellied up, they're out 400 mil. With a loan for an llc, the company bankrupts, not the fertitas. Llc means limited liability
and i think its safe to say many business after 10-20 years are not in any debt, maybe making $$$ profits already
The Winter Soldier -
a lot of business majors in this thread.
LOL, no kidding. VTFU.
I laugh every time someone posts how much money the UFC 'made' based on the gate receipts. Or the genius above that posted how the Fox deal was worth $900 million. Yeah buddy... that's gross revenues. Deduct all of the expenses that the company incurs as a result of putting on their performances (of which you have no idea how to even guesstimate) as well as their SGA expenses and then you've got a rough idea of their net income before interest and taxes. Have you ever seen a set of financial statements from a large company before? Little more complicated than balancing your checkbook.
More than likely, the loan due will be rolled into another loan after a large balloon payment of some kind. You think a billion dollar company doesn't have any debt on its books? They've probably got a line of credit for tens of millions of dollars they could tap into at any moment. Microsoft retired (paid off) $1.25 billion in long-term debt in 2012 alone.
Threads about what the UFC is 'worth', or how much they 'made' based on PPV buys is a hilariously stupid conversation. They're privately held and will likely never divulge the financial statements necessary for you to have any clue what they are worth from a financial stability perspective. Any statement about their outstanding debt (better known as 'liabilities') is virtually useless without knowing what their current assets, total assets, and owner's equity numbers are.
Effstrikingmeansdamage -Daverr -Well just bc you have debt doesn't mean you're not making money. The debt you pay basically is included in the overhead. If it takes all your money then you're not doing something right. Also, If the fertitas took 400 mil out of pocket and it bellied up, they're out 400 mil. With a loan for an llc, the company bankrupts, not the fertitas. Llc means limited liability
and i think its safe to say many business after 10-20 years are not in any debt, maybe making $$$ profits already
That's true only if the bank hasn't asked the Fertittas to guarantee the loan personally, or with assets from their other businesses. it happens all the time and especially if the UFC/Zuffa was in any sort of financial distress whatsoever. Bank loan underwriting is quite complex and extensive when you're talking about putting $400 million on the line. It's not like getting a thousand bucks from Montell Williams over at Money Mutual.
DragonDidn'tDrinkEnoughPee - Wolf debt IMOLol
All companies have debt; also interest rates are very low right now.
Apple sold billions of bonds even though they still had billions in the bank.
Part of this is they can barrow cheaply and pay off the bonds with income generated from oversees that way they don't have to declare the US profit pay less taxes.
Rcs476 -Daverr - just curious, was looking into it and a couple articles came up, one saying they have 425 million due in 2015...A loan is not debt, it is a loan that is coming due.
seems high, true or false? or any1 know?
What? That is exactly what it is. A loan is money borrowed, to be returned with interest. The UFC is indebted to the company that loaned them the money.
Zekolas - All companies have debt; also interest rates are very low right now.
Apple sold billions of bonds even though they still had billions in the bank.
Part of this is they can barrow cheaply and pay off the bonds with income generated from oversees that way they don't have to declare the US profit pay less taxes.
Quit using logic on the UG, thats not allowed!
jfw jr -Rcs476 -Daverr - just curious, was looking into it and a couple articles came up, one saying they have 425 million due in 2015...A loan is not debt, it is a loan that is coming due.
seems high, true or false? or any1 know?
What? That is exactly what it is. A loan is money borrowed, to be returned with interest. The UFC is indebted to the company that loaned them the money.
Lol. And people wonder why we went through a financial crisis.
"It's not real estate, it's a mortgage-backed security. Real estate is much too risky".
Rcs476 -Daverr - just curious, was looking into it and a couple articles came up, one saying they have 425 million due in 2015...A loan is not debt, it is a loan that is coming due.
seems high, true or false? or any1 know?
lol, it's the same thing