Wrexham owes its Hollywood star owners millions
Wrexham lost £5 million ($9.7 million) in the year of its promotion to the English Football League and now owes nearly £9 million ($17.4 million) to Hollywood owners Rob McElhenney and Ryan Reynolds.
But turnover doubled to almost £10.5 million ($20.3 million) and Wrexham says financial losses suffered since McElhenney and Reynolds’s takeover in February 2021 should not be repeated because of the income now generated by the EFL League Two club.
“The amount owed to The RR McReynolds Company, LLC [owned by McElhenney and Reynolds] at the year-end was £8.977 million [2022: £3.714 million],” a Wrexham statement read.
“The financial losses suffered by the club since the takeover shouldn’t be repeated, with income generated by the club now sufficient to meet the operational costs of the club going forward.
“These losses were deemed necessary to allow the club to maximise its full potential in the shortest time practically possible.
“The club is under no immediate pressure to repay these loans at the expense of the progress we seek to achieve and further financial support will be provided/secured to support the capital expenditure projects the club is currently planning, which includes increasing the capacity of The Racecourse Ground and the development of a training facility for all the club’s teams.
“The year-on-year income comparisons since the takeover, show the potential of the club.
“These will significantly increase again for the year ending 30 June, 2024, following promotion and the continued popularity of Welcome To Wrexham.”
Wrexham ended a 15-year absence from the EFL last April by winning the National League, while the women’s team also won promotion to the top tier of Welsh football.
Turnover increased from £5.972 million ($11.55 million) to £10.478 million ($20.27 million)in the year ending 30 June, 2023, but losses was up from £2.913 million ($5.63 million) to £5.113 million ($9.89 million).
Wrexham payroll rose from just more than £4 million ($7.74 million) to nearly £7 million ($13.54 million), offsetting increased income in retail operation, sponsorship and advertising and football revenue owed to the Dragons reaching the fourth round of the FA Cup.
The club has attracted widespread global interest after two successful seasons of the documentary series Welcome To Wrexham.
Phil Parkinson’s side is chasing a second successive promotion and is currently third in League Two with seven games to play.
