What happens when a team has no money left?

[Tampa GM]

Today I saw that Colorado Avalanche has this Current Funds -$249,740 How will it effect a team when the team no longer has any cash? How will they pay the players etc?

Click to read more...

 

[Atlanta GM]

Actually this is an issue I have been watching closely. My team is on track to finish the season with only $1-4MM in the bank... Quite a drop over the last 3 seasons. (I had over $30MM 3yrs ago)

Has the league thought of a salary cap? This would make the playing field even and prevent teams from buying the cup. Like the nasty Thrashers did last year...

Unlike our NHL counter parts, where an owner can inject his own funds into the team, an HFNHL team should not & cannot be in a negative balance...

I'm curious for some league discussion on this important subject. I for on would hate to see the league go bankrupt, especially considering the number of finance guy's in this league...

Corey

 

[Dr.Sens(e)]

The Admin Team are currently discussing the situation in Colorado, and on a wider scale, the money issues across the league. Certainly the endorsement money will help several teams at the end of the year, but we have several other teams on pace to join Colorado on Chapter 11 Row.

All I can say at this point is General Managers should be managing their financial situation if they want to guarantee they hold on to their franchise.

Stay tuned.