Apparently, that's how much our wage budget would drop if we relied solely on gate receipts. He really should have spoken about all commercial activity, not just gate receipts, because without that it's just meaningless. The club also receive TV money and sponsorship that would remain constant without input from a benefactor, so I don't know why he'd ignore other income streams. Maybe he was including them? Maybe he was being deliberately obtuse to fudge the issue and make a point? I dunno, but the implication was that without Patrick Cryne we'd lose 70% of the wage budget. Can that possibly be right? Do the recently published accounts back that up? Patrick Cryne puts about 2 and half times more money in to the club than all the rest of us put together? Because that's what Mansford's claim suggests. Is he telling the truth or bullshitting? Is that kind of cash injection even allowed under the financial rules of League 1?
Like you I felt the bits he left out were more important than the bits he left in. Creative accountancy it used to be called. Under SCMP the owner can gift his club any amount of money to his club I believe though you gave to be careful how you give the money. Sounded like lies Lies and damned statistics to me.
From what I know, it's probably somewhere in the right ballpark for this season. I think we'll see a similar loss this season to last but with a much smaller turnover. Under SCMP we are only allowed to spend 75% of our turnover on wages. Additional revenue has been provided by the owner as an equity injection and/or gifts which is allowed under SCMP and effectively the same thing as far as we are concerned as he's the only shareholder. I suppose the issue would be if he walked away as I'm sure the future liabilities due to player contracts would make things difficult if we had to rely on gate receipts/commercials etc. That 75% goes down to 60% next season as well.
Which is why I constantly argue we should be run in the black. And how we've managed to rack up such a high wage bill on signings from league 2, non league, semi-professional Scottish teams and out of contract Championship players either coming back from injury or way past their best is beyond me.
I understood turnover was meant to half to between 4 and 5 million isn't 75% of that greater than 1.2 million or am I being daft. Turnover would have to be be less than 2 million to get out at 1.2. Like Jay says quite how we are paying Cowdenbeaths finest and the other recruits this I don't know. I take it Cranie/Nyatanga take up a big chunk.
We've also paid out a relatively large amount in transfer fees this season - probably 750,000 at least so not sure if they are also including that spend in the equation. And I'd guess a lot of the players on big wages aren't the ones that play often - Bailey and Lita are probably on a good screw for this league. Not to mention Cranie who could even be the top earner. Treacy would have been on a fair whack as well. Most of the current first team are no doubt on average wages for this league, hence our average (at best) position. Sent from my iPhone using Tapatalk
I think you are correct and also as Jedstar mentioned we've spent some money on signings. Plus the loan players could have cost a few quid.
Well yeah that's fair enough, and to be honest the fees spent do look like good investments (providing Hourihane manages to rediscover some form) Sent from my iPhone using Tapatalk
I am neither shareholder nor a director of BFC. How the club manages its financial affairs is none of my business. Transfer fees, wages etc are matters for the club and the players involved not issues for public discussion.
Unfortunately it has been made our business when financials are given as reasons and factors for our performance and sacking/appointing of managers.
But Mr Cryne offered the fans the opportunity to take over the club so wouldn`t it be wise for some fans to know these things? Realistically the club will always keep finances close to their chest and wouldn`t allow fans the opportunity to go over the books and find out about the day to day running, contractual issues etc. That's why we just get drip fed information when they come under pressure.
Apparently Nyatanga's not on a big contract at all, although it may not be true. Bet we *****ed all our budget up the wall on Turnbull, Lita and Treacy this summer, alongside Cranie, BFJ, Jenning & Ramage.