Chronicle Hourihane piece

Very much this. It's a calculated risk if there's a prospect of promotion, and presumably done in the knowledge that the missed revenue if not promoted has to come from somewhere, which in this case is presumably via more funding from the shareholders.

Personally, I think they overestimated the promotion prospects this season, based on a false league position and a brief run of good form that included the Wrexham game. The January transfer window dealings then put the nail firmly in the coffin.

 

Not sure to be honest. i would imagine it does, but even so, i doubt our managers are on more than 5k a week.

 

I thought the same, as under the current method of recruitment this isn't the case. I certainly hope he's given more input into recruitment than his predecessors.

 

The profit/loss on transfer is recognised in full at the time of the deal. The instalment payments flow through as debtors and creditors (for outgoing transfers).

From a profit perspective in accounting terms, a £10m profit on a player sale (I can dream, can't I) is identical regardless of whether it's paid in one lump sump or in instalments over 5 years (which would be extreme). The differences show up on the balance sheet and cash flow analysis.

 

So IF I’ve understood correctly the difference is likely to be down to lack of transfer fees.
But using the example above of £10m over 5 years when they are quoting £10m deficit surely in real terms in the bank that is £8m as we receive £2m a year?

 

Spot on. No good trying to constantly rebuild a side in League 1. It needs to be hard and fast oven ready players that play simple, effective football that gets you promoted. Then build when you're back in the Championship.

 

Having looked at the record, the average home attendance up to the Sheffield United game at their place, when we went top, was a tad over 8K. It included games against reasonably big clubs such as Huddersfield Town, Bolton Wanderers (who were runaway leaders), QPR, Norwich, Portsmouth and Stoke City. I would argue that this makes the average attendance for the past two painful seasons reasonably decent in comparison.

 

Buying 5hite an aving 40 odd players on the payroll dunt help,

 

Show me ones who have lost £10m or more

 

Quantity over quality im afraid .........sithi.

 

Overpaid failures with no character will take some shifting and we've got plenty of them.

 

You know what’s even more mind boggling is this attitude that all clubs are running at losses - in no other business would this happen on such a grand scale. It’s mental tbh - all to keep average footballers in jobs. Crazy.

 

Throw in the 7 figure salary of our fantastic sporting director on top of that, we are realty up shits creek. I can’t wait for next season.

 

I’d say less than average footballers in many cases. Something has to change, footballers have too much power and a lot of them are pinching a good living given their ability (or lack of).

 

Are you claiming Sormaz to be on £20k a week?

 

The £10m projection is presumably the underlying loss before transfer fees are taken into account. The figure in this year's accounts was £9.6m, of which £6.8m was re-clawed via profits on transfers (NB: both are P&L figures, not cash movements). Assuming that the same £10m operating loss repeats going forward (chances are it probably gets worse each year, due to player wage inflation, etc) the issue is that there's progressively less to be clawed back via player trading profits, as there are fewer saleable assets in the squad these days.

I did a quick analysis of the latest accounts when they were published, with some info on how the transfer fees broke down in P&L and balance sheet/cash flow terms. It might help, or equally it might make your head spin!

 

It is not a loss but a projected one for next season. Hence players will have to be sold if a satisfactory figure is reached. Very few clubs in league one have released figures for 23/24 yet. and none will probably do so for 24/25. till next year 2026. The vast majority of clubs in the efl have to sell to stay alive. Few exceptions. I would imagine.

Of a few I looked at
for 23/24 £10m + losses
Huddersfield £15m
Bolton £11m +
Charlton £11m +
I would imagine this last season and next season will exceed those figures unless as with us, players are offloaded for silly money. To offset em. When I looked at how Chelsea conducted their transfer business. And the way I look at it. They sign players on long contracts. Even 6 yrs on teenagers. Then pay the fee over those 6yrs (not sure if that is normal or agreed between clubs) so for example they reputedly paid $11m for Solina based on appearances etc. Over 6yrs. So less than $2m pa.
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Football transfer fees are typically paid in installments rather than a lump sum. The exact payment structure is negotiated between the buying and selling clubs, and can include an initial payment, followed by additional payments over time, often tied to specific events or milestones.

 

Stockport. Birmingham. Pretty much all clubs in whatever division lose money and lots of it. Leeds just lost 60.8 million.

Huddersfield 15 million

https://www.bbc.co.uk/sport/football/articles/c4g25358y8wo

 

Mate, we must have made massive savings. I was unaware we'd lost our Chief of Staff. To Burnley.

Very Burnsley-esque.

 

Given that our owners are “allegedly” worth over $9bn, I’m quite disappointed that they think £10m is anything more than loose change. Especially given it can more than likely be offset against tax.