State of Championship Club Finances

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There would have to be some tolerance between the figures before a penalty’s are incurred for unforced circumstances. A loss etc £2m is recoverable and easily tradable in the championship. Currently it’s an aggregate of £39m over 3 accounting years.

 

What concerns me is clubs like Bradford voted to chalk last season off just because they couldn't afford 140,000 for Corona testing. Should they even be in the league if their finances are that bad?

 

I was thinking more of the Championship. I didn’t write the post as a right or wrongs on all clubs, but more to highlight the reliance on championship clubs have on their owners to provide cash flow to compete.

my opinion football in England needs a complete reset. The EFL need a more equal share of the TV money to keep the leagues and professional football alive below the premier league.

 

Grass roots wouldn’t get a stack with those sums...

 

Anything below the FFP threshold is seen as normal by most clubs. This is why Wigan fans are adamant they are a well run club, despite them losing £7.7 million and £9.2 million since their parachute payments stopped.

 

Yeah your right, I wrote it off the cuff whilst I’m on the move but you can see my point tho.

 

That’s exactly why I’d written the post, to highlight the vulnerability championship clubs have, when they are heavily reliant on an external benefactor to subsidise their cash flow, especially in Wigan’s case and the chickens have come to roost.

 

And what are our figures like? Sorry if I should know.

 

I would guess we have a turnover between £12-13m and a wage role of about £10m to £11m. Exc player transfers but remember we have running costs and the academy etc that are not being subsidised.

I don’t know exactly because the figures are a little distorted due to relegation in 18/19, but I don’t think what Iv stated above would be too far out. If we did drop the league one, Turnover would drop to just below £7m.

 

Good work and research mate.

 

The current FFP rule is ridiculous, it almost encourages clubs to lose money. There needs to be something in place that allows for more regular auditing, rather than over three years. Then if a club incurs a loss, they can be given actions to take and if they're not taken then they'll lose points.

 

Thanks mate, I could write a long report on this subject but it’s not really for a light hearted football board.

the vulnerability of most championship clubs is staggering. Iv been frustrated as anyone when I see our owners, who are a billionaire consortium on paper not invest a penny in the club, have sold players, for what we think is under value and replaced by untested kids. but this is clearly because players heads are turned for massive increases in salary. Once a player or anyone’s head is turned for the offer of money, it’s difficult to focus, especially if we have a player on £6k a week and a similar sized club supported by a benefactor offers north of £15k for doing the same job. As fans we don’t see the psychological effect, we see 90 min games and results. however when you look into the finances of other clubs long term, under the current model we are sustainable and should Chien and Mr Conway do a runner, the club is safe. the moral is be careful on what you wish for. They could be over ambitious but ambition is today’s climate comes at huge price. Ask Wigan supporters. Reading will be next along with a number of others.

 

For me this is where the Government should be sticking it’s nose in .
The Tax revenue I would imagine is quite noticeable to the Treasury and they imo allow a few clubs that go into liquidation etc to pay less so not to kill the fatted cow etc .
Government should be setting up a task force in conjunction with the PL and EFL to place hard and fast rules that stops the potential of community hubs such as football clubs being victims of rampant capitalism and probable money laundering ,
I won’t hold my breath on that with the Tory Party taking donations from Russian Oligarchs .

 

government don’t care there are players in the premier league on 300k a week paying 40% tax on PAYE. It’s that distribution of wealth from the premier league that needs to be shared more equal. 300k a week is more than our entire budget for the year.

 

You've not come across @Red Rain yet?

 

Turnover £7.8 million and wages £8.1 million on the latest accounts (2018/19).

 

My view of FFP is that it is simply there because it give clubs a chance of being competitive in a division skewed by parachute payments. The fundamental problem, in my opinion, is parachute payments.

 

League one published figures. It will also include the offset of transfers received ie Brad Potts, Bradshaw etc

 

Sheff weds accounts due out on Friday, should be interesting.

 

They will be more holes in their accounts than a sive. Chansiri could make that problem go away by simply investing the capital as Equity and NOT debt, that way the club, on paper will have made No losses. No need to fabricate a £60m sale on Hillsborough as they will have spent equity in the club, have zero debt associated and FFP would not be relevant .

why is he not doing that? if he’s such a fan of the massive and wants to give them 100s if millions to win the PL?

they are in serious trouble. Not just with the EFL their whole structure.