Financial Fair Play

[parklane1]

Re: O/T Financial Fair Play

The manager can only spend the money if the chairman allows it, it is up to the chairman to run the club properly. If I owned a company and a manager said we need to take on x more staff to increase productivity but I knew that we couldn't afford it and was risking the future of the business then I would say no. Why do you think Spurs are ok after Redknapp has been our manager? Daniel levy is a good chairman who knows how to run a company properly.

I do not disagree with that part at all, Redknapp is a chancer and the fact that three clubs allowed him to sweet talk them into throwing money down the drain shows that after all he is/was a " wheeler dealer".:lol:

 

[Lily White]

Re: O/T Financial Fair Play

I do not disagree with that part at all, Redknapp is a chancer and the fact that three clubs allowed him to sweet talk them into throwing money down the drain shows that after all he is/was a " wheeler dealer".:lol:

Maybe he is a 'wheeler dealer' although Harry says he 'fecking isn't' but the chairmen should have grown a pair and stood up to him. Their responsibilty was the running of the club.

 

[parklane1]

Re: O/T Financial Fair Play

Maybe he is a 'wheeler dealer' although Harry says he 'fecking isn't' but the chairmen should have grown a pair and stood up to him. Their responsibilty was the running of the club.

Well we know he speaks with forked tongue, but as i say its a fact that he has been involved in overspending at 3 clubs which was/is the main point.

But we are going round in circles and i will leave it for others to believe what they will.

 

[THFC6061]

Re: O/T Financial Fair Play

Maybe he is a 'wheeler dealer' although Harry says he 'fecking isn't' but the chairmen should have grown a pair and stood up to him. Their responsibilty was the running of the club.

Exactly.

Blaming Harry for the financial ineptitude of clubs like Portsmouth, Southampton & Bournemouth is simply a red herring - all these clubs had Chairmen, Chief Financial Officers and Boards of Directors who were there to ensure fiscal responsibility.

It was they who collectively failed their clubs, not Harry.

 

[braineclipse]

Re: O/T Financial Fair Play

Exactly.

Blaming Harry for the financial ineptitude of clubs like Portsmouth, Southampton & Bournemouth is simply a red herring - all these clubs had Chairmen, Chief Financial Officers and Boards of Directors who were there to ensure fiscal responsibility.

It was they who collectively failed their clubs, not Harry.

I agree.

But I also think it's fair to say that some managers take a long term and financial responsibility for the clubs they manage. They work towards building sustainable clubs with the transfers they make and push for. Others, like Redknapp, do not. At least not to the same extent, it's not an either/or situation and more of a continuum.

It doesn't mean that the managers that don't take this responsibility are primarily responsible for the potential financial problems the clubs they manage get into, but it's a worthy observation.

 

[jts1882]

Re: O/T Financial Fair Play

Thought that this thread would be the best place to put this... just goes to show the gulf in spending power between the likes of ManU, Emirates Marketing Project and Chavski to ourselves... hopefully that new stadium is up and running before long so that we can narrow the wage gap at least...

https://twitter.com/sportingintel/status/393373994595807232/photo/1

http://www.sportingintelligence.com/2013/10/24/arsene-wenger-what-is-he-good-for-251001/

Chelsea topped the wage bill in 2000-01? No wonder they nearly went under.

 

[jts1882]

Re: O/T Financial Fair Play

QPR’s accounts for 2012-13, in which they were relegated from the Premier League, have not been made public, nor will the club confirm when they will be. Asked to comment on their expected losses last season and this season, and on the potentially destructive fines, a Loftus Road spokesman said: ‘The club will be making no comment on [these] matters at this time.’

I wonder if they can find a way of front-loading the losses into the PL season. For instance, pay bonuses and excess salaries as part of last season's budget, so that the players get more normal Championship wages during this season and limit the losses.

 

[Jordinho]

Re: O/T Financial Fair Play

The European Commission announced on Wednesday it was investigating seven Spanish clubs, including Real Madrid and Barcelona, over public funding issues.

Madrid, Barcelona, Athletic Bilbao and Osasuna are all being investigated for possible tax privileges, while Madrid are also the subject of another inquiry regarding the transfer of land with the City of Madrid.

The other three clubs involved, Valencia, Elche and Hercules, are being investigated by the commission over aid received from the state-owned Valencia Institute of Finance.

Here are the measures for which each club is being investigated, as announced in a statement by the European Commission:

Real Madrid, Barcelona, Athletic Bilbao and Osasuna

"Since 1990: Possible privileges regarding corporate taxation of Real Madrid CF, Barcelona CF, Athletic Club Bilbao, and Club Atletico Osasuna - These four clubs are exempted from the general obligation for professional football clubs to convert into sport limited companies. The effect of this exemption is that these clubs enjoy a preferential corporate tax rate of 25 per cent instead of 30 per cent applicable to sport limited companies."

Real Madrid

"2011: Real Madrid appears to have benefited from a very advantageous real property swap with the City of Madrid. This swap was based on a re-evaluation of a plot of land at a value of €22.7 million, instead of its earlier supposed value in 1998 of €595,000."

Valencia

"2009: State guarantee by the Valencia Institute of Finance for a bank loan of €75m from Bancaja (now Bankia) to Fundacion Valencia Club de Futbol, which was used to finance the acquisition of shares of Valencia CF by the Fundacion Valencia.

"2010 and 2013: The Valencia Institute of Finance increased its guarantee to Fundacion Valencia Club de Futbol by €6m and €5m, respectively, to cover overdue capital, interest and costs, stemming from defaulted payments of the guaranteed loan previously granted to CF Valencia."

Hercules

"2010: State guarantee by the Valencia Institute of Finance for a bank loan of €18m from Caja de Ahorros del Mediterraneo to Fundacion Hercules de Alicante, which was used to finance the acquisition of shares of Hercules CF by Fundacion Hercules de Alicante."

Elche

"2013: State guarantee by the Valencia Institute of Finance for two bank loans of totally €14m, from CAM (€9m) and from Banco de Valencia (€5m), to Fundacion Elche Club de Futbol, which was used to finance the acquisition of shares of Elche CF by Fundacion Elche Club de Futbol."

http://www.telegraph.co.uk/sport/football/competitions/la-liga/10525942/Real-Madrid-and-Barcelona-face-European-Commission-investigation-over-tax-privileges-and-local-government-aid.html

About bloody time!

 

[SteveAWOL]

Re: O/T Financial Fair Play

Well at least we're over-performing relative to Premier League wage bills this season... \o/

Twitter / edthompsn: Which PL teams are over/under performing their wage spend? [url]http://www.financialfairplay.co.uk/latest-news/wage-spend-versus-points-achieved … [/URL]

[TWEET]416536674546745344[/TWEET]

 

[Jordinho]

Re: O/T Financial Fair Play

Bolton Wanderers could be forced to offload their prized assets in January after revealing debts totalling a staggering £163.8million.

The Championship club - who were relegated from the Premier League in May 2012 after spending 12 years in the top flight - have now not recorded a profit for 11 consecutive seasons.

Bolton's parent company Burnden Leisure PLC have reported losses of £50.7m, rising an already substantial 2012 debt figure from £136.5m.

Wanderers chairman Phil Gartside said: 'This year's results show the difficulties faced in the football business when a club has enjoyed a sustained and successful period in the Premier League, in our case 11 years, then suffers relegation back to the Football League Championship.'

The £50.7m figure is the single biggest loss in the club's history, and that was lowered by the club according to 'a number of one-off exceptional items relating to balance sheet impairments and other accounting adjustments.'

Bolton cut costs after last year's relegation. The wage bill stands at £32.7m - its lowest level since 2007 - and total staff costs were down to £37.4m from £55.3m. Turnover, however, was down by £30m from £58.5m to £28.5m, with advertising revenue falling from £4.3m to £1.4m.

Perhaps most worryingly, attendances at the Reebok Stadium are down by 28 per cent, meaning gate receipts have dropped from £5.7m to £3.8m.

Wanderers chairman Phil Gartside said: 'This year's results show the difficulties faced in the football business when a club has enjoyed a sustained and successful period in the Premier League, in our case 11 years, then suffers relegation back to the Football League Championship.'

The £50.7m figure is the single biggest loss in the club's history, and that was lowered by the club according to 'a number of one-off exceptional items relating to balance sheet impairments and other accounting adjustments.'

Bolton cut costs after last year's relegation. The wage bill stands at £32.7m - its lowest level since 2007 - and total staff costs were down to £37.4m from £55.3m. Turnover, however, was down by £30m from £58.5m to £28.5m, with advertising revenue falling from £4.3m to £1.4m.

Perhaps most worryingly, attendances at the Reebok Stadium are down by 28 per cent, meaning gate receipts have dropped from £5.7m to £3.8m.

'This year we secured sole ownership of the hotel, expanded our education business and applied for planning permission to increase our non-football operations to improve revenues over the medium to long term.

'We will continue to invest, both in the long and short term, where the returns can be justified.

'However, Financial Fair Play rules require an alternative funding structure and Bolton Wanderers is very much moving towards a self-sustainable future.

'Looking forward we have to recognise we are no longer a Premier League club in the Championship, but a Championship club with ambitions to play in the Premier League - a stark reality of the financial rules now imposed.'

Dougie Freedman's side are currently struggling down in 18th place in Championship.

http://www.dailymail.co.uk/sport/football/article-2531603/Bolton-financial-trouble-Championship-strugglers-announce-crippling-debts-163-8m.html

 

[Superhudd]

Re: O/T Financial Fair Play

Bolton Wanderers could be forced to offload their prized assets.

:lol: And they are

 

[Southcote Spur]

Re: O/T Financial Fair Play

:lol: And they are

The ground

 

[Sandman]

Re: O/T Financial Fair Play

This just shows me that too many team rely on the money from the premier league and over pay players and signings to stay there when they should be more responsible and sustainable. Mr Gardside is blaming relegation for the loss in income when he should be blaming himself for allowing Bolton to get that much in debt on income that is not consistent. I believe they have their parachute payments so what is he going on about?

 

[SteveAWOL]

Re: O/T Financial Fair Play

Twitter / sportingintel: Bolton join .... errm ... an elite band.

 

[screen nayim]

Re: O/T Financial Fair Play

I've just checked and I definitely don't have a grain of sympathy for Bolton. Their brand of anti football wasted a prem place for too many years. £186m of debt is a monumental disgrace - they're never going to be able to pay that back from their income streams. Couldn't have happened to a more deserving individual than Gartside.



I think it all started going wrong for him when he burnt down the Phoenix Club tbh.




Seeing it all from block 29.

 

[Jordinho]

Re: O/T Financial Fair Play

Chelsea announce £49.4m loss but claim financial outlook still bright

• Loss in year to June 2013 follows small profit in 2011-12
• Club confident over financial fair play complianceChelsea have insisted they remain on track to comply with Uefa's financial fair play rules, despite plunging to an annual loss of £49.4m according to their latest financial results.

The figures show that, for all the club's long-stated ambition to operate at break-even following a decade in which they have been subsidised by Roman Abramovich to the tune of more than £1bn, they remain loss making.

Last year, Chelsea posted their first profit of the Abramovich era and claimed it marked a milestone in their journey to self-sustainability, though it later emerged that the profit of £1.4m owed much to a one-off £18.4m share windfall. For the year ending June 2013, however, the results show a return to heavily loss‑making ways.

The £49.4m loss, partly due to new signings and a turbulent season during which the then Champions League holders exited the competition at the group stage, is closer to the £67.7m loss of two years ago than last season's paper profit. But the club argued that a 19% rise in annual commercial income to £79.6m and a record turnover figure of £255.8m showed they were moving in the right direction. Nor do the figures include a recently signed £300m, 10-year kit deal with Adidas.

"For Chelsea FC to achieve a record level of turnover despite our first group-stage elimination from the Champions League shows we have structured our business and are growing in the correct way for long-term stability," said the chief executive, Ron Gourlay. "Our philosophy is we build upon success on the pitch and although in these financial results we haven't repeated the sizeable profits made the previous year from player transfers, we believe the age profile of the existing squad means we will benefit from that investment for many years to come.

"A successful team builds awareness around the world and our increased commercial revenues in 2012-13 and new or extended partnership deals demonstrate we are working hard to capitalise on that."

Despite winning the Europa League under their interim manager, Rafael Benítez, Chelsea's early exit from the Champions League severely hit revenues. The full impact of signings during the period from July 2012 to June 2013 on the club's wage bill will not be apparent until the full accounts are lodged at Companies House next month. Like some other clubs, Chelsea attempt to control the way their results are presented by initially releasing only a limited summary.

Uefa's first monitoring period for its financial fair play break-even rules cover the 2011-12 and 2012-13 seasons and will be calculated next year. The new rules, designed to cool European football's overheated finances, have proved controversial because some argue they will lock in the established order and others that deals such as Paris Saint-Germain's with the Qatar Tourism Authority make a mockery of them.

Chelsea are confident that despite tumbling into the red again, they will comply with the acceptable €45m (currently £37.5m) "deviation" permitted during the first two-year accounting period once allowable expenditure on youth development, infrastructure and charitable giving is excluded from the total.

The chairman, Bruce Buck, said: "From the very beginning of the current ownership of Chelsea Football Club, a long-term objective was financial sustainability, and the subsequent implementation of financial fair play by Uefa and by the Premier League has brought that to the top of the agenda for football clubs.

"We are pleased therefore that we will meet the stipulations set down by Uefa in their first assessment period, and by our own analysis we are progressing from a commercial viewpoint as well as continuing to add trophies to our collection, which we never lose sight of as our most important goal."

The level of acceptable losses, which must be covered by a club's owner, then falls to €45m over three years for the next monitoring period and then €30m over the following three years.

http://www.theguardian.com/football/2013/dec/31/chelsea-49m-loss-financial-year-june-2013

 

[Superhudd]

Re: O/T Financial Fair Play

European Commission investigates Liberty Stadium funding dealLiberty Stadium The £27m council-owned Liberty Stadium opened in 2005


Swans' 11,000 stadium expansion plan
Stadium losses hit half a million

A deal allowing Swansea City FC and the Ospreys rugby region to play at the Liberty Stadium is being investigated by the European Commission.

Swansea council has been asked to give details over funding arrangements at the council-owned stadium.

The commission is carrying out a Europe-wide investigation into state aid in sport.

State aid rules, policed by the commission, limit how much public money can be given to private companies.

The £27m Liberty Stadium was built in 2005 with the Swans and the Ospreys both playing there.

The clubs pay a peppercorn rent to the Swansea Stadium Management Company (SSMC) - a body running the stadium which is a partnership between the council and the two clubs.

The clubs also contribute over £1m a year to the running costs of the stadium with any profit made being returned to the teams and the local authority.

However, it is understood so far that SSMC has failed to ever return a profit which means the council is yet to see a return on its investment.

State aid

Following a freedom of information request to the council, it confirmed questions had been raised about the agreement and whether it complied with state aid regulations.

The council added there had been no assurances given by the European Commission about whether the deal complied with regulations governing state aid.

A Swansea council spokesperson said: "The European Commission has asked us a number of questions in relation to the Liberty Stadium and currently we are in dialogue with them, as are a large number of sports clubs from across Europe."

If it is proved that the use of the Liberty Stadium breaks European law, then both clubs could face having to pay back money, plus interest.

A spokesperson for Premier League Swansea City said: "The club is aware that the European Commission is currently in discussions with Swansea City Council in relation to the Liberty Stadium.

"We have asked to be kept informed of any future development."

The Ospreys have been contacted for a response.

The European Commission investigation is looking into alleged illegal state aid involving several clubs including Spanish giants Barcelona and Real Madrid.

 

[P.D.]

Re: O/T Financial Fair Play

Notice Chelsea trying to sneak out their results on a busy newsday so they get glossed over. They did this 2 years ago with the last big loss referred to in the article. Funny they didn't do it wit their profit last season.

Unbelievable how they can still make a loss after being gifted a billion to sort themselves out.

 

[K.D.D.D.D.Soc]

Re: O/T Financial Fair Play

Notice Chelsea trying to sneak out their results on a busy newsday so they get glossed over. They did this 2 years ago with the last big loss referred to in the article. Funny they didn't do it wit their profit last season.

Unbelievable how they can still make a loss after being gifted a billion to sort themselves out.

This is why I always argue with people who say football is a business, no business could be run this way or the way most clubs are run either through being a rich man's vanity project or just lack of income.

 

[SteveAWOL]

The 2014 Deloitte Football Money League

We remain 14th in the overall Deloitte Football Money League and 6th in the Premier League...

BBC News - Man Utd pushed out of football rich list top three

...Real Madrid, with revenues of 518.9m euros (£444.7m), topped the list for the ninth year in a row, breaking a record previously held by Man Utd. French champions Paris Saint Germain took fifth spot in the table. Despite falling down the pecking order, United's revenues increased from 395.9m euros to 423.8m euros.

Other findings included:

• The total combined revenue for the top 20 richest clubs rose 8% to 5.4bn euros
• Treble-winning Bayern Munich saw revenues rise by 62.8m euros (17%) to 431.2m euros
• Turkish clubs Galatasaray and Fenerbahçe claimed places in the top 20
• All clubs in the top 30 now generate over 100m euros in revenue each, whereas in the first list, compiled in 1996-97, only Manchester United topped this figure
• Although Liverpool's revenues grew by 9%, the club fell out of the top 10 for the first time since 1999-2000

http://www.deloitte.com/view/en_GB/...ball/deloitte-football-money-league/index.htm