The sponsorship deal, if in cash is about $1.4 million per year.
I'm not sure what it costs for a Super team to operate or salary cap etc..
Somebody is going to have to stump the Brumbies to the tune of several million per year for them to remain in the competition, The ARU is not in a position to do it with the support of the Force abd Rebels (I think - they are committed )
Will the Vikings ? Sounds like too much water under the bridge there.
Your Nordic neighbours are cashed up. Could we see a "hostile takeover" ? Could the Vikings be the new Brumbies ?
Salary cap is about $4.5 million plus a $500,000 allowance for third-party payments.I don't think EPS or development is in that cost nor if you call in EPS for injury cover which after 4 games (IIRC) get additional payments.
So add in coaches back-end staff etc so another $1mil then operating costs you have to be looking at $8mil+ plus a season.
Of interest in the recent media report have shifted to naming 2 teams that may go. The Rebel are no longer on the chopping block and I bet it was because their current owner (I have seen reports of recent meetings) would have wanted a guarantee from the ARU or most likely would have pulled out immediately and the ARU would have 3 clubs to fund.
Vikings (who are on the inside with the Brumbies board) is an interesting conundrum all round and is possible (as tax right off) but unlikely. The Vikings group are looking at ways to consolidate as revenue is down and income steams are changing. They tried unsuccessfully to offload their golf course (community opposition) for development and have floated an option of selling Viking park for development (units etc) and establish a new "Vikings park MkII" out the back of Tuggeranong. The idea is to sure up finances.
So they have money but its limited so Brumbies investment may not get to go ahead. It wouldn't be hostile either so that's another issue (we have had enough mates rates nepotism BS!). It could also be at the expense of other community sporting groups support so it could lead to political issues as well for the Vikings Group. If they did make a move the already divided ACT rugby landscape (you are either with Vikings or against it) its could further upset the ACT club rugby who may see it as another Vikings power play .
The preferred option would be someone like Aquis but IMHO the key issue is about the details. (I would love to see the Rebels deal details as i think i know where the several Million a year the ARU kick in go).
What is it you buying? When Super Rugby clubs were established they ended up being the "state union managers" and admin centres. So the ARU now have a problem as the business models are no good.
Even with Millions to burn, why would I want to buy the Brumbies? So aside from the financial issue (no assets etc), its not just about the Brumbies as what I make out of it is supposed be hand over to ACT Rugby. What - hand over any ROI or profits? This on top of performing the Admin etc. Now the board, why would I want to deal with a board made up of people outside of my investment.
You can see where this is going and its IMHO the dirty secret and real issue that Pulver and the ARU don't know what to do about.
Companies like Aquis could and may buy in to the Brumbies if the business model was different. EG: Buy the Brumbies a home with HP centre say somewhere like near Weston and add a small club, accommodation, and lever off the Cycling, MTB, and equestrian centre and tie up with the A-League and AIS. It adds up to sports tourism, (those that play the sports and those that play in the Aquis house) that can be marketed via the Brumbies. But not under the current ARU model.