Football's cash crisis: A case study

Huddersfield's attendance has fallen dramatically

David Taylor, chairman of Second Division Huddersfield Town, outlines the problems facing his club, just one of the many struggling with multi-million pound debts.

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The shadow of debt

"When we took over in January this year, our debt was £13m.

"We have got that down now to less than £6m and, by the end of the season, we want it down well below £4m.

  Huddersfield factfile

Founded: 28/6/1908

League position: 19th - Division Two

Avg ticket price: £12

Debt: £6m

"The debts happened because of relegation. The previous regime took a flyer on certain players, on big contracts that they couldn't sustain.

"The loss of the ITV Digital money cost us £200,000 this season.

"Worse than the loss of the money was the stagnation that it caused in the transfer market. We cannot get rid of players who are costing us a fortune."

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The threat of administration

"I have seen administrators at work before, and they are only interested in a quick entry, getting plenty of money for themselves and then making a quick exit.

"There would be problems with the jewel in the crown, our Academy. We might be forced to close it down.

"It is the future of the club and we have to make sure we safeguard it.

"Sadly, you can never say never to anything. Any club or any company in the country could have to go into administration."

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Unrealistic wages

"Many clubs have been guilty of paying out silly wages in an effort to get success.

"The demise of ITV Digital brought home that you have to be more realistic in the wages you pay.

We are down £60,000 a fortnight on what we had coming in last year

Huddersfield Town chairman David Taylor

"We have got 12 players out of a total of 30 on big contracts that were negotiated two or three years ago, when we were in the First Division.

"I do not want to comment on the exact figures, but our monthly wage bill far exceeds our monthly gate receipts."

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Stay-away fans

"We still get a relatively good response from people in the town.

"But the problem now we are in the Division Two is that the good derby games that we would have had are in Division One.

"The two Sheffields, Rotherham, Bradford and two or three strong teams in Lancashire.

"Those clubs would bring good crowds to the stadium - whereas you do not expect too many people to travel up from Plymouth.

"We were getting 14,000 on average. That is now down to 9,500.

"The average ticket price is £12, so we are down £60,000 a fortnight on what we had coming in last year.

"Our travelling costs are much higher yet, at the same time, the away crowds are way down from when we were in Division One."