HIGH-PROFILE Scottish businessman Jim McColl has insisted he has no concerns about the level of debt at Rangers.
A study by football business lecturer Keiran Maguire disclosed last week that Rangers’ borrowings topped £22 million during the club’s most recent financial year.
But Mr McColl, a Rangers fan who attempted to acquire the club in a consortium with Walter Smith and current director Douglas Park in 2012, is unconcerned by the current liabilities of the Ibrox side.
Much of the debt carried by the club is in the form of interest free loans provided by directors, including chairman Dave King, which are expected to eventually be turned into equity.
The club’s most recent accounts, for the year ended June 30, show that investor loans totalling £15.9m were due to be repaid in the current calendar year, with £12.9m having been due in July and the remainder this month. The accounts show £5.875m of fresh investor loans were advanced to the club in its last financial year.
Mr McColl, who heads the Clyde Blowers Capital industrial investment firm, said: “I don’t think there is any concern there. As they improve their earning capacity is going to go up, if they can get further in Europe each year. It is well-managed now – it wasn’t before when it went through that tough time. It is very well-managed now I think.”
On the pitch, Mr McColl said he is pleased with how the team has fared so far this season under Liverpool legend Steven Gerrard in his first managerial role.
Mr McColl said: “I think it has been very encouraging since Steven Gerrard joined. They are doing well. Obviously, it can’t be done overnight, but I think they are making very good progress.”
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