Outstanding money owed and relegation clauses

Tinpot Club said:
I might be wrong here but wasn’t the £81m in the accounts as of last summer?

If true we had already done some of our business and unlike previous seasons, didn’t make any January signings. Therefore, would it be possible that some of the Sky money for this season would have been put aside to cover this deficit rather than further spending.

Our low net spend makes sense taking into account with this news but it might not be as bad a position as it looks.
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Interesting discussion on the radio at lunchtime about how seriously we are in the carp financially and they fear for our future?
 
Here's a guess at next season's financials. All numbers (wages, parachute payments etc) plucked from the air.

EXPENDITURE
Wages £55m (70% of current, further reduced by selling some big earners)
Past transfer instalments £35m (in the year, out of total £80m payable over 3 years)
Other costs £5m
New signings £20m (could spread over 4 years but I haven't)
Loan repayments to Max £0
Training ground / new stadium £0
TOTAL EXPENDITURE £115m

INCOME
Parachute payments £75m
EFL TV Money £10m
Gate, commercial etc £3m
Sales of key players £22m (£88m spread over 4 years)
Instalments owed to us £5m (amount that we haven't already borrowed against)
TOTAL INCOME £115m

SURPLUS £0

Anyone else (eg FIFA game experts) like to improve on these numbers?

So if we can get enough sales proceeds, and reduce the wages far enough, it could be alright.

The good news is even if it isn't alright, Max has said he is standing by us. Which will tell buyers we won't settle for low prices, and tell players we don't need to sell them and won't pay up their contracts. And mean that Max won't look for repayment of (much of?) his loans.

But any spending on training ground or stadium would be on top of all the above.
 
Braithwell said:
Interesting discussion on the radio at lunchtime about how seriously we are in the carp financially and they fear for our future?
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The only one in the mire is Max because the club owes him the money, until such time as he decides to stop bankrolling us we have a friendly debt. At some point he may want his money back - perhaps Ake's fee may be the start of that, however he knows the best way of getting his money back is try and get us back up.
 
Braithwell said:
Interesting discussion on the radio at lunchtime about how seriously we are in the carp financially and they fear for our future?
Click to expand...
Not sure which radio station or who they had on but lots of people seem to have an opinion of us despite knowing nothing about us. I’ll leave it to the experts I think
 
JohnHold said:
Here's a guess at next season's financials. All numbers (wages, parachute payments etc) plucked from the air.

EXPENDITURE
Wages £55m (70% of current, further reduced by selling some big earners)
Past transfer instalments £35m (in the year, out of total £80m payable over 3 years)
Other costs £5m
New signings £20m (could spread over 4 years but I haven't)
Loan repayments to Max £0
Training ground / new stadium £0
TOTAL EXPENDITURE £115m

INCOME
Parachute payments £75m
EFL TV Money £10m
Gate, commercial etc £3m
Sales of key players £22m (£88m spread over 4 years)
Instalments owed to us £5m (amount that we haven't already borrowed against)
TOTAL INCOME £115m

SURPLUS £0

Anyone else (eg FIFA game experts) like to improve on these numbers?

So if we can get enough sales proceeds, and reduce the wages far enough, it could be alright.

The good news is even if it isn't alright, Max has said he is standing by us. Which will tell buyers we won't settle for low prices, and tell players we don't need to sell them and won't pay up their contracts. And mean that Max won't look for repayment of (much of?) his loans.

But any spending on training ground or stadium would be on top of all the above.
Click to expand...
Parachute payment figure looks way too high. Clubs relegated last season got roughly £45M for the first year in the Championship, will get £35M the second year and £15M the 3rd year. I am assuming the same sort of figures apply for thsi seasons relegated clubs.
https://www.examinerlive.co.uk/sport/football/news/how-much-huddersfield-town-earn-16059217
 
redharry said:
The only one in the mire is Max because the club owes him the money, until such time as he decides to stop bankrolling us we have a friendly debt. At some point he may want his money back - perhaps Ake's fee may be the start of that, however he knows the best way of getting his money back is try and get us back up.
Click to expand...

And we've just had more communication from Max then we ever have, including a commitment to getting us back into the Premier League. If we wanted a sign he wasn't trying to cash out then it's probably the best we could hope for.
 
JohnHold said:
Here's a guess at next season's financials. All numbers (wages, parachute payments etc) plucked from the air.

EXPENDITURE
Wages £55m (70% of current, further reduced by selling some big earners)
Past transfer instalments £35m (in the year, out of total £80m payable over 3 years)
Other costs £5m
New signings £20m (could spread over 4 years but I haven't)
Loan repayments to Max £0
Training ground / new stadium £0
TOTAL EXPENDITURE £115m

INCOME
Parachute payments £75m
EFL TV Money £10m
Gate, commercial etc £3m
Sales of key players £22m (£88m spread over 4 years)
Instalments owed to us £5m (amount that we haven't already borrowed against)
TOTAL INCOME £115m

SURPLUS £0

Anyone else (eg FIFA game experts) like to improve on these numbers?

So if we can get enough sales proceeds, and reduce the wages far enough, it could be alright.

The good news is even if it isn't alright, Max has said he is standing by us. Which will tell buyers we won't settle for low prices, and tell players we don't need to sell them and won't pay up their contracts. And mean that Max won't look for repayment of (much of?) his loans.

But any spending on training ground or stadium would be on top of all the above.
Click to expand...
TV money overstated by about £30m. You don't get Championship solidarity payments as well as PL money, and you get 55% of the equal shares money (no performance bonus).

Other expenses last year were £27m. You won't get them down to £5m.

Wages last year was £110m. (Probably higher this year.) 70% of that is £77m, and to reduce another £22m by getting rid of a few and making some expensive new signings is optimistic.

On the other hand, your sales income won't be coming in over 4 years. Especially as you may offer a discount for cash, so to speak. That's where you need to get the extra money from.
 
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