Football's Magic Money Tree

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Chester Perry
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Re: Football's Magic Money Tree

Post by Chester Perry » Tue Sep 03, 2019 6:55 pm

AFC Wimbledon's crowdfunding scheme aimed at getting them back to Plough Lane has passed the £2m mark

https://www.afcwimbledon.co.uk/news/201 ... cwimbledon" onclick="window.open(this.href);return false;

things have slowed down after that breakneck start when the scheme opened see post #1803 (http://uptheclarets.com/messageboard/vi ... start=1802" onclick="window.open(this.href);return false;)

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Re: Football's Magic Money Tree

Post by Chester Perry » Tue Sep 03, 2019 7:07 pm

It is the EFL Trophy tonight - attendances will be very low as the call for boycotting B Teams gains more and more traction - and with the EFL making calls like this is it any wonder

https://twitter.com/R0ryDrake/status/11 ... 6472170498" onclick="window.open(this.href);return false;

for those who do not know about the issue - this is a good place to start

https://thesetpieces.com/features/b-teams-jpt/" onclick="window.open(this.href);return false;
Last edited by Chester Perry on Wed Sep 04, 2019 9:07 am, edited 1 time in total.

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Re: Football's Magic Money Tree

Post by Chester Perry » Tue Sep 03, 2019 8:33 pm

A follow on from post #2029 (http://uptheclarets.com/messageboard/vi ... start=2028" onclick="window.open(this.href);return false;) and the growing issues around 1xBet

https://sponsorship.sportbusiness.com/n ... h-options/" onclick="window.open(this.href);return false;

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Re: Football's Magic Money Tree

Post by Chester Perry » Tue Sep 03, 2019 8:39 pm

Interesting move from FIFA - introduction of Legal Aid and seeking legal counsellors who will work pro bono

https://www.fifa.com/about-fifa/who-we- ... no-counsel" onclick="window.open(this.href);return false;

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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 05, 2019 7:05 am

Well this is an interesting if somewhat belated move (not unusual for this lot) - The EFL are investigating Derby's sale and leaseback deal and getting their own independent valuation done - From the Times

Derby County could face sanctions over sale of Pride Park - Matt Lawton, Chief Sports Correspondent - September 4 2019, 5:00pm,

Derby County could yet face sanctions for possible breaches of financial regulations after the Football League ordered an independent valuation of their Pride Park stadium.

Derby are among a number of clubs who have been accused by rivals of exploiting a loophole in the rules that has allowed them to buy their stadium to make themselves financially compliant.

That has prompted the EFL to commission property experts to provide a valuation of the Sky Bet Championship club’s ground, The Times can reveal. Sources have said that independent stadium valuations have also been commissioned for Sheffield Wednesday and Reading.

In Derby’s case, the owner and chairman Mel Morris used a separate company to purchase the ground for £80 million — with a deal to then lease it back to the club — when it was listed as an asset on the club’s books with a value of only £41 million.

It meant that Derby reported a pre-tax profit of £14.6 million this year when losses in excess of £13 million per year over a three-year period amount to a breach of the EFL’s profit and sustainability rules. Last season, Birmingham City were docked nine points after recording total losses of £48.8 million from 2015-16 to 2017-18, taking them close to £10 million more than the £39 million limit.

It remains possible that Pride Park’s valuation could be boosted by a proposal to build a roof that would make the stadium a multipurpose venue, but the 24 planning application documents listed on Derby council’s website appear to be focused on a two-storey extension for a food court.

One property expert with knowledge of Pride Park believes that it could be valued even lower than the £41 million previously stated in Derby’s books.

A senior figure at a rival Championship club dismissed plans for a new roof at Pride Park as “irrelevant” when it had not been built at the time of the purchase by Morris.

Derby, who have made a slow start to the season under new head coach Phillip Cocu and are 19th in the Championship, are already under renewed scrutiny after signing the former England captain Wayne Rooney as part of a controversial £100,000 a week player/coach deal in collaboration with a betting firm.

Clubs have accused Derby, among others, of breaching financial fair play rules, with Middlesbrough even reportedly considering legal action.

The Middlesbrough owner Steve Gibson levelled such accusations at Aston Villa and Derby at a meeting of Championship clubs in March, and the Leeds United owner Andrea Radrizzani argued that Derby should have faced sanctions for selling their ground to their owner.

“We should revisit the rules,” Radrizzani said at the Financial Times’ Business of Football Summit. “We were judged as a cheating club when we sent a scout to watch [Derby] training, so they should take a similar view on what I would say is greater cheating by these clubs.

“If it’s cheating to send a scout in a public street, what should be the punishment of selling the stadium to a sister company to increase income of the clubs?”

Derby, Wednesday and Reading have consistently denied breaching any regulations.

----------------------------------------------------------------------------------------------------------------------------

It is noticeable that Villa are not part of that investigation - the Premier League do what they want and they want Villa (and quite probably any of Sheffield Wednesday, Leeds, Sunderland and Forest at the expense of Bournemouth, Burnley and Watford)

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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 05, 2019 7:27 am

The Premier League continues it's war with counterfeiters

http://www.sportspromedia.com/news/prem ... W_wZ4BLsjU" onclick="window.open(this.href);return false;.)

On first sight I though that number was miniscule until I saw that it does not include the actions of the clubs or other authorities

More interesting is the idea that counterfeiting is costing the league £1m a game in lost sponsorship - that is £380m or £19m per club (more than we have ever spent on a single transfer) not that it would ever be shared out in an even way

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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 05, 2019 7:39 am

The fallout and ramification's following Bury's expulsion from the EFL continue - At the weekend the Price of Football published an article relating to which clubs are currently most at risk (see post #2028 http://uptheclarets.com/messageboard/vi ... start=2027" onclick="window.open(this.href);return false;). Here @DrRob_Wilson fuels an alarming (for the unaware) article in the Yorkshire Evening Post about the scale of debt, overspending and the consequent number of clubs at risk

https://www.yorkshirepost.co.uk/sport/f ... -1-9972707" onclick="window.open(this.href);return false;

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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 05, 2019 7:45 am

A different angle but an equally depressing outlook, this time in the I with input from Simon Chadwick

https://inews.co.uk/sport/football/bury ... -chadwick/" onclick="window.open(this.href);return false;

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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 05, 2019 8:04 am

following his tweet on Monday about Hong Kong fan clubs of European clubs (many with official affliation) banning membership from Police Officers (see post #2040 http://uptheclarets.com/messageboard/vi ... start=2039" onclick="window.open(this.href);return false;) Simon Chadwick has this to add to those clubs planning tours in Chinese territories next summer

https://twitter.com/Prof_Chadwick/statu ... 6856948736" onclick="window.open(this.href);return false;

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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 05, 2019 8:08 am

"Never before have we seen these many stars up for sale. And never before were there so few takers. Was it a market correction? Was it FFP? Are top clubs entertainment brands to the point that results on the pitch don't actually matter that much?"
@Marcotti looks at why so many stars were up for sale this summer apparently unwanted by their clubs, and why many remain unsold

https://www.espn.co.uk/football/blog-ma ... e-not-sold" onclick="window.open(this.href);return false;

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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 05, 2019 8:26 am

@AndyhHolt telling some home truths to Bolton fans (many still refuse to hear it)

https://twitter.com/AndyhHolt/status/11 ... 5770491904" onclick="window.open(this.href);return false;

even calls out Blackburn fans too
https://twitter.com/AndyhHolt/status/11 ... 7613179904" onclick="window.open(this.href);return false;

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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 05, 2019 8:50 am

A private UEFA study showing the huge wealth gap in European football between the Big 5 and other leagues. It was commissioned by UEFA from Deloitte to feed into the fraught talks over the future of the Champions League - from the Associated Press by @RobHarris

Study finds huge wealth gap in European soccer

A study commissioned by UEFA to aid in the debate over the future of the Champions League shows the financial and talent gap between the top five European leagues and the other 50 leagues on the continent is growing.

The destabilizing effect of the power of the “Big Five” leagues — England, Spain, Germany, Italy and France — is set out across a 50-page study by accounting firm Deloitte marked “private and confidential” and obtained by The Associated Press after being presented to UEFA’s Professional Football Strategy Council in Monaco.

The data shared with key European soccer officials is certain to fuel the heated debate over the future of the Champions and Europa Leagues heading into key meetings of clubs next week in Switzerland. The divisiveness of the discussions led to UEFA, European soccer’s governing body, to call off a meeting that was also scheduled for next week involving clubs and leagues. UEFA President Aleksander Ceferin believes they are not “ready for a meaningful discussion.”

The “Polarization in European Football” report was commissioned by UEFA in June during the increasingly fraught talks involving leagues and clubs over attempts to overhaul the format of European competitions from 2024. UEFA initially presented the idea of reserving 24 places for clubs in the Champions League to return the following season, but it has since backed off the proposal because it has left some of the biggest leagues at odds with their best teams.

Changes to the format are being pursued by the top clubs to ensure them more games against each other and guarantee inclusion in lucrative annual tournaments without qualifying. One of the most powerful figures in the fight is Andrea Agnelli, who has wielded his power as head of the European Club Association and is chairman of Italian champion Juventus, Ronaldo’s team.

The biggest leagues have pushed back, saying changes that would limit the opportunities for teams to earn a place in the European competitions such as the Champions League devalue their leagues.

The European Leagues group has worked to divide the elite, perennial trophy winning clubs from their less prosperous counterparts.

One of the most recent leagues to publicly denounce the ECA was the Czech Republic, which said their clubs agreed it was “inappropriate for European football bodies to create plans that would alter the structures, calendar and competitiveness of the domestic game.”

The wealthy Premier League clubs offered support with a rare joint statement in June that highlighted the “obligation to maintain the health and sustainability of domestic league football.”

Caught in the middle is UEFA, who is using the study to help support its claim that it is the only European soccer body that distributes funds across the continent. The report shows how the top leagues are monopolizing the best players and the cash of broadcasters.

Some key findings:
— The Big Five accounts for 74 percent of the 19.7 billion euros ($21.7 billion) generated by leagues across the continent, up from the 68 percent 10 seasons earlier.
— Forty-Seven teams account for 60 percent of the revenue generated by all 720 clubs in the 55 nations assessed by Deloitte.
— The attractiveness of the Big Five league matches on television could at least partially account for a drop in stadium attendances this decade across the 45 lowest-ranked leagues by revenue.

“To meet broadcast demand, the Big Five match calendar has increasingly been spread to collectively cover the weekend from Friday through to Monday nights to ensure live Big Five games are always available to watch in non-Big Five markets,” the report said. “Meanwhile, most leagues in Europe have seen a decline or little or no growth in matchday attendances.”

— The Big Five leagues banked 97 percent of the 2.4 billion euros ($2.6 billion) generated in non-domestic broadcast revenue by all European leagues in the 2017-18 season.

Rights holders in the other 50 European nations paid 430 million euros ($474.3 million) to show matches from the Big Five, accounting for 18 percent of the Big Five’s international broadcast revenue.

“Nothing is coming back in my country,” Romanian federation president Razvan Burleanu recently told the AP, referring to money Romanian broadcasters pay to screen league games from abroad. “This can be an idea to contribute to decreasing the gap between top-five leagues and the rest.”

UEFA argues it is doing just that, sharing the revenue from European competitions.

While generating 373 million euros ($411.4 million) from broadcasters in countries beyond the Big Five, UEFA distributed more than double that to clubs in the 50 bottom-ranked countries.

The Big Five also profited but to a lesser degree: UEFA gave them around 150 million euros ($165 million) on top of the fees those markets paid for Champions League and Europa League games, taking the total to around 1.3 billion euros ($1.4 billion).

The Big Five redistributes some of their revenue domestically to lower divisions, but Deloitte highlights how they “do not make direct solidarity payments to other European leagues.”

— The report also shows how the Big Five has increasingly been a magnet for foreign talent, with more than a fifth of the players in those leagues coming from the rest of the continent last season.

No country was impacted more than the Netherlands, which lost 50 players to the Big Five — a rise of 61 percent since the 2007-08 campaign. European champion Portugal is next on the list, with 49 players lost.

The struggle keeping players at home is particularly acute for Belgium and Austria. They have experienced around a three-fold increase in the number of players going to the Big Five in a decade.

The report does not touch on the players who benefit from Big Five salaries and the chance to win the biggest trophies.

— Transfers fees are not significantly filtering across the European game, with 67 percent of transfer spending — or 3.5 billion euros — circulating within the Big Five last season compared to 56 percent — or 1.4 billion euros — in 2007-08.

Non-Big Five leagues only receive 18 percent of the transfer spend, down from 23 percent in 2007-08.

“Only the Big Five leagues in aggregate are profitable,” Deloitte concluded to UEFA. “Operating losses have increased across all other tiers, in aggregate, since 2007-08.”

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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 05, 2019 9:15 am

Not expecting any English clubs to post financial results for last season any time soon - though that doesn't stop people speculating - 3 such pieces I would love to read in full from offthepitch.com but most of the content is behind a paywall

Brighton expected to post a loss
https://offthepitch.com/a/seagulls-set- ... d-spending" onclick="window.open(this.href);return false;

Man City expected increased profits after domestic treble - probably not as much as you would expect
https://offthepitch.com/a/citizens-set- ... tic-treble" onclick="window.open(this.href);return false;

Tottenham are expected to post new world record profits - remember that the FA lost money in 2017-2018 on Tottenham's rental of Wembley while the club posted record revenues and a world record profit (a point no one in the press seemed to question at all)
https://offthepitch.com/a/spurs-set-pos ... ive-profit" onclick="window.open(this.href);return false;
Last edited by Chester Perry on Fri Sep 06, 2019 12:50 am, edited 1 time in total.

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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 05, 2019 9:20 am

Another proposal for the revamped Champions League post 2024 - known as the Copenhagen plan

https://www.dailyrecord.co.uk/sport/foo ... p-18968055" onclick="window.open(this.href);return false;

The curious thing about this is Ajax CEO Edwin van der Sar is an Executive President of the ECA and this goes against everything in their proposals that he was advocating only 2 months ago

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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 05, 2019 10:00 am

@KieranMaguire offers is views on the EFL's elite barn door closing squad's investigation into the ground sales at Derby, Sheffield Wednesday and Reading via the Yorkshire Evening Post

https://www.yorkshireeveningpost.co.uk/ ... -1-9976354" onclick="window.open(this.href);return false;

you do get a sense from the city of Leeds that everyone believes it is now or never for them to get promotion and they crave positive opinion on how they are doing it as much as will they do it

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Re: Football's Magic Money Tree

Post by Tricky Trevor » Thu Sep 05, 2019 8:03 pm

http://www.skysports.com/share/11803041" onclick="window.open(this.href);return false;
EFL review following Bury demise.

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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 05, 2019 10:58 pm

Well this is a surprise - the Premier League are to lok at the sale of Villa Park in a parallel investigation to that of the EFL on Serby Sheffield Wednesday and Reading

https://www.bbc.co.uk/sport/football/49600851" onclick="window.open(this.href);return false;

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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 05, 2019 11:00 pm

Tricky Trevor wrote:http://www.skysports.com/share/11803041
EFL review following Bury demise.
Well that seems reasonably structured at first glance

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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 05, 2019 11:05 pm

Department of Culture, Media and Sport to have autumn hearings looking into the regulation of football

https://www.parliament.uk/business/comm ... ent-17-19/" onclick="window.open(this.href);return false;

it will help focus minds in the EFL, PL and FA if nothing else - though I suspect it has much to do with the flurry of investigations and reviews announced this week

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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 05, 2019 11:16 pm

Seems like some people around Franchise FC are getting worried about their finances - they are losing about £10k per day totalling £16.8m over the last 6 seasons that actually saw them make a profit in one of them

https://twitter.com/KieranMaguire/statu ... 4263638017" onclick="window.open(this.href);return false;

https://www.miltonkeynes.co.uk/sport/fo ... -1-9058904" onclick="window.open(this.href);return false;

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Re: Football's Magic Money Tree

Post by Chester Perry » Fri Sep 06, 2019 11:24 am

Following on from yesterday's post speculating on the 2018/19 financial results of some premier league clubs (see post #2063 http://uptheclarets.com/messageboard/vi ... start=2062" onclick="window.open(this.href);return false;)

Bournemouth predicted losses of £30m - again mostly behind a paywall but you can get the jist of it
https://twitter.com/KieranMaguire/statu ... 0575783936" onclick="window.open(this.href);return false;
https://offthepitch.com/a/mounting-loss ... fer-window" onclick="window.open(this.href);return false;

I will add that they have taken a total of £10m in loans recently against staged payments of players sold this summer (that means they have cash flow issues - all clubs bar ourselves and Man Utd in the top tier do the same

https://twitter.com/KieranMaguire/statu ... 4009549829" onclick="window.open(this.href);return false;
https://twitter.com/KieranMaguire/statu ... 7513881602" onclick="window.open(this.href);return false;

I have posted elsewhere on this thread about the increasing prevalence on such financing in both buying and selling

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Re: Football's Magic Money Tree

Post by Chester Perry » Fri Sep 06, 2019 11:29 am

@KieranMaguire gives some forthright views re the news of the EFL investigating Derby, Sheffield Wednesday, Reading and the PL investigating Aston Villa re ground sales to related parties

https://twitter.com/KieranMaguire/statu ... 4865925120" onclick="window.open(this.href);return false;

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Re: Football's Magic Money Tree

Post by Chester Perry » Fri Sep 06, 2019 11:30 am

Huddersfield have been fined £50k for the Paddy Power shirt stunt

https://twitter.com/FAspokesperson/stat ... 1287390208" onclick="window.open(this.href);return false;

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Re: Football's Magic Money Tree

Post by Chester Perry » Sat Sep 07, 2019 4:40 pm

It was the SoccerEx Europe conference in Portugal thise week - as ever there were lots of plenary sessions and forums - here The head of the European Leagues gives the details of what he is proposing for European Club Competition post 2024

https://twitter.com/Soccerex/status/1169944637525647360" onclick="window.open(this.href);return false;

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Re: Football's Magic Money Tree

Post by Chester Perry » Sat Sep 07, 2019 4:50 pm

Article on why 32Red are investing heavily in Derby's signing of Wayne Rooney - plenty of spin but some insight into the marketing benefit

http://www.sportspromedia.com/interview ... NM.twitter" onclick="window.open(this.href);return false;

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Re: Football's Magic Money Tree

Post by Chester Perry » Sat Sep 07, 2019 5:04 pm

A look at the leap in the average player cost tin the Premier League during the current decade - it was only £3.7m at the beginning!!!? - the article has some length but plenty of detail

http://www.sportspromedia.com/interview ... NM.twitter" onclick="window.open(this.href);return false;

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Re: Football's Magic Money Tree

Post by Chester Perry » Sun Sep 08, 2019 9:38 am

The Price of Football investigate to find out just how bad Bury's finances were and in comparison to others in the lower leagues

http://priceoffootball.com/bury-another ... -the-wall/" onclick="window.open(this.href);return false;

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Re: Football's Magic Money Tree

Post by Royboyclaret » Sun Sep 08, 2019 10:26 am

Chester Perry wrote:The Price of Football investigate to find out just how bad Bury's finances were and in comparison to others in the lower leagues

http://priceoffootball.com/bury-another ... -the-wall/" onclick="window.open(this.href);return false;
Been a sad and sorry decline at Bury, but looking at those financial results, even as little as ten years ago, they were still in reasonable shape posting break-even or even small profits.

The downward spiral seems to coincide with Stewart Day's lofty ambitions for the club and it's been downhill ever since. Scandalous figures for the last three years of resuts and the fact they have not published figures at all to May'18 suggests an even sorrier tale of bad management.

Now, it's a long road back.

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Re: Football's Magic Money Tree

Post by Chester Perry » Mon Sep 09, 2019 11:04 am

I have posted before about the role of sponsors in bringing players to a club, for their own commercial gain, here we learn of one preventing a player move between to clubs it sponsors as it was felt to be detrimental to them commercially. The role Adidas played in blocking Pogba's move to Real Madrid.

https://www.dailymail.co.uk/sport/footb ... adrid.html" onclick="window.open(this.href);return false;

the internecine interests of non football reasons impacting the game and it's clubs never ceases to amaze me

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Re: Football's Magic Money Tree

Post by Chester Perry » Mon Sep 09, 2019 11:22 am

This will strike a note with a few readers - the always readable John Nicolson asks have you got the hindshite virus

https://www.football365.com/news/have-y ... ng-you-ill" onclick="window.open(this.href);return false;

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Re: Football's Magic Money Tree

Post by Chester Perry » Mon Sep 09, 2019 12:02 pm

In post #2071 (http://uptheclarets.com/messageboard/vi ... start=2070" onclick="window.open(this.href);return false;) I mentioned Bournemouth taking out £10m in loans against future transfer payments to ease cashflow - an increasingly common occurrence in the game as I have posted a number of times across the summer - Here @MartynZeigler of the Times reports on one of the key financial institutions in all this and the source of Bournemouth's loan Macquarie of Austrailia - known as the "Vampire Kangaroo"

English clubs make deals with ‘Vampire Kangaroo’ by Martyn Ziegler, Chief Sports Reporter

Increasing numbers of English football clubs are handing over the rights to future transfer fees worth tens of millions of pounds to an Australian investment bank in exchange for up-front cash sums.

Several clubs have done deals with Macquarie — nicknamed the “Vampire Kangaroo” because of its ruthless focus on profits — so that they can immediately bank money owed for transfer fees, instead of waiting for the cash if the fee is being paid over several years. Macquarie receives a hefty commission for paying the cash up front as it takes over the debt and is paid directly by the buying club.

Bournemouth are the latest club to do a deal with Macquarie: £12 million still owed by Aston Villa for the defender Tyrone Mings, who was called up by England for the first time this week, will be paid by the Midlands club to the Australian bank in two chunks, £6 million in August next year and another £6 million in August 2021 as well as “any default interest payable by Aston Villa”.

Bournemouth also have a £4 million agreement with Macquarie for Lys Mousset who was sold to Sheffield United.

Leicester City did the same with the money owed for Riyadh Mahrez — Manchester City paid Macquarie £18 million of the £60 million transfer fee in July with the final £18 million due next year. Middlesbrough have also entered into similar deals.

Kieran Maguire, a lecturer in football finance at the University of Liverpool, said: “We are seeing this more and more where clubs are looking for cash immediately, but of course it costs them a premium to do so.”

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Re: Football's Magic Money Tree

Post by edlass » Mon Sep 09, 2019 12:18 pm

Chester Perry wrote:
Kieran Maguire, a lecturer in football finance at the University of Liverpool, said: “We are seeing this more and more where clubs are looking for cash immediately, but of course it costs them a premium to do so.”
What benefit is there to having actual cash but at a premium? I don't really know what "cashflow" is!

But if they do need it now then couldn't the owner just give Bournemouth the £10m and then they pay it back next year? Then there is no premium and everyone gets all there money? (except the vampire guy). It seems complicated!

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Re: Football's Magic Money Tree

Post by Chester Perry » Mon Sep 09, 2019 1:00 pm

I can think of a number of posters on here that could tell you about the importance of cashflow in many ways better than I could (Royboy, Aggi, Tall Paul especially) - There was also an @AndyhHolt thread on it over the summer which I can't find at the moment

From my perspective without a ready cashflow (including overdraft facility to cover spikes and troughs in revenue - lower league football normality) you cannot cover your regular outgoings as you have overspent/over committed - wages not being paid on time is usually the first indicator in the game of much worse to follow (Bolton and Bury anyone)- hence the recent campaign to dock points for failing to pay wages on time - it will then create added focus on financial commitments and ability to adhere to them, thereby (in theory) encouraging clubs to make more sensible decisions on transfers and wages.

Basically all the clubs mentioned have spent big and in the short term they are not able to meet the financial commitments as a result of selling players on HP - they may have built in the loan cost into the selling price to get the sum they need
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Re: Football's Magic Money Tree

Post by Chester Perry » Mon Sep 09, 2019 1:19 pm

The Price of Football takes a closer look at the finances of Scunthorpe United after the owner claimed recently claimed they are one of the better run clubs in the lower leagues

http://priceoffootball.com/scunthorpe-u ... out-of-me/" onclick="window.open(this.href);return false;

they look destined for a nasty fall at some point to me

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Re: Football's Magic Money Tree

Post by Chester Perry » Mon Sep 09, 2019 3:56 pm

Juventus continue to enjoy the commercial return of signing Cristiano Ronaldo

https://sponsorship.sportbusiness.com/n ... al-report/" onclick="window.open(this.href);return false;

you will note that the increase in shirt sales that led to the additional Euro 15m does not cover his salary let alone his 100m transfer fee - the signing was supposed to help them win the Champions league. Also none of this begins to explain why they have felt the need to/try to sell thei brightest younger players
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Re: Football's Magic Money Tree

Post by Tall Paul » Tue Sep 10, 2019 9:36 am

edlass wrote:What benefit is there to having actual cash but at a premium? I don't really know what "cashflow" is!

But if they do need it now then couldn't the owner just give Bournemouth the £10m and then they pay it back next year? Then there is no premium and everyone gets all there money? (except the vampire guy). It seems complicated!
With almost perfect timing, Swiss Ramble has put out this Twitter thread analysing the cashflow of all PL clubs.

https://twitter.com/SwissRamble/status/ ... 3445666816" onclick="window.open(this.href);return false;
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Re: Football's Magic Money Tree

Post by Chester Perry » Tue Sep 10, 2019 10:00 am

Cheers Tall one - brilliant as ever from the maestro

a few takeaways
- as many of us know, our club are definitely doing things the right way, even down to good citizenship on the tax front, you would think HMRC like us at the moment given the proportion of tax to revenue we pay
- Newcastle (for all the fans complaining) appear to be a very health club financially speaking
- West Ham are increasingly improving their financial position (though hard not too with that deal on the London Stadium - I suspect they will own it in the next 10 years)

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Re: Football's Magic Money Tree

Post by Chester Perry » Tue Sep 10, 2019 10:20 am

Back to a favourite on-off topic on this thread, football club valuations - here Forbes.com look at the story that Britain's richest man Sir Jim Radcliffe looked at buying Newcastle over the summer but, like many before him, was put off by the asking price (you can add Chelsea to that too)

https://www.forbes.com/sites/harrydecos ... 22f3ab20b1" onclick="window.open(this.href);return false;

I suspect the writer of this article has not bothered to look at the underlying finances, or looked at the number of independent valuations of Premier League clubs that have been published this year alone (even though I have questioned them myself)

Newcastle's biggest sticking point when it comes to a sale is that £110m of debt that it owes Ashley - he wants everything back he has put into the club (understandably), yet he will not bring down that initial debt, though he has got back all the other loans. The only way he is going to sell the club is if he brings down the debt. It is not like they cannot afford too, they made enormous loan paybacks in the last published accounts and are predicted to make a profit of around £46m from last season

https://twitter.com/KieranMaguire/statu ... 6660298752" onclick="window.open(this.href);return false;

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Re: Football's Magic Money Tree

Post by Chester Perry » Tue Sep 10, 2019 10:35 am

More on the sorry tale at Bury - Stewart Day's Mederco has been in admin for some time and have just published an updated report @KieranMaguirre takes a look

https://twitter.com/KieranMaguire/statu ... 0045246469" onclick="window.open(this.href);return false;

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Re: Football's Magic Money Tree

Post by Chester Perry » Tue Sep 10, 2019 10:57 am

This has been doing the rounds in the dailies but I will post the source - CIES Football Observatory say that Man City have become the first team ever to invest Euro 1 billion in it's current squad - not it's history, it's current squad at the end of the transfer window

https://football-observatory.com/IMG/si ... /wp266/en/" onclick="window.open(this.href);return false;

by way of contrast ours is Euro 132m and Norwich Euro 32m

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Re: Football's Magic Money Tree

Post by Chester Perry » Tue Sep 10, 2019 11:54 am

It looks like Gianni Agnelli's grand plans for European Club football post 2024 have been permanently blown out of the water by the members of the ECA (hooray for them - surely he has to step down now)

https://apnews.com/12399acfc1ee4b028959f50cda096566" onclick="window.open(this.href);return false;

particularly loved - "When the ECA gathered English member clubs in London last month, an attendee recalled how an executive from Arsenal pointed out the process had achieved something rare: Uniting the Premier League."

the Copenhagen plan seems the most sensible approach I have seen so far - not that I agree with it entirely - as for the Swiss plan - talk about making things complicated

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Re: Football's Magic Money Tree

Post by Chester Perry » Tue Sep 10, 2019 11:56 am

breaking news on La liga broadcasts in the UK

https://twitter.com/RobHarris/status/11 ... 2163431424" onclick="window.open(this.href);return false;

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Re: Football's Magic Money Tree

Post by Chester Perry » Tue Sep 10, 2019 11:58 am

More detail on the Copenhagen plan

https://twitter.com/RobHarris/status/11 ... 1965744128" onclick="window.open(this.href);return false;

and the Swiss plan

https://twitter.com/RobHarris/status/11 ... 5583508480" onclick="window.open(this.href);return false;

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Re: Football's Magic Money Tree

Post by Chester Perry » Tue Sep 10, 2019 12:04 pm

This could get interesting - Serie A wages published today in Gazetta della Sport

as @Marcotti says https://twitter.com/Marcotti/status/1171372057029988353" onclick="window.open(this.href);return false;

while we await the detail here are last years figures

https://imgur.com/r/soccer/wRxKccc" onclick="window.open(this.href);return false;

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Re: Football's Magic Money Tree

Post by Chester Perry » Tue Sep 10, 2019 12:45 pm

There is a new moneyball podcast - they really have some cracking guests - this week are journalist @RobHarris (whose thoughts and articles I post regularly) and @spcott (who founded Lawinsport.com, another great source of posts for this thread) amongst the topics up for discussion - Is Piracy threatening the future of football? and why the rules of the game off the pitch are now so crucial

https://audioboom.com/posts/7363089-is- ... ters-and-w" onclick="window.open(this.href);return false;

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Re: Football's Magic Money Tree

Post by Chester Perry » Tue Sep 10, 2019 12:53 pm

first article on those Serie A wages for the current season

https://translate.google.com/translate? ... 19-2020%2F" onclick="window.open(this.href);return false;

just how does Ronaldo manage to get by - that figure is not just his playing wages from Juventus by the way

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Re: Football's Magic Money Tree

Post by Chester Perry » Tue Sep 10, 2019 1:02 pm

coming to a ground near you in the not too distant future I would think

https://twitter.com/DCBlueStar/status/1 ... 5094762501" onclick="window.open(this.href);return false;

and club shop

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Re: Football's Magic Money Tree

Post by Chester Perry » Tue Sep 10, 2019 1:23 pm

Interesting long game from La Liga on building up a global audience for the league

https://www.soccerex.com/insight/articl ... th-youtube" onclick="window.open(this.href);return false;

of course it could back-fire when your audience is used to getting the content for free

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Re: Football's Magic Money Tree

Post by Chester Perry » Tue Sep 10, 2019 1:23 pm

The much maligned SportPesa betting company appear to have resolved their licensing problems in Kenya

https://sponsorship.sportbusiness.com/n ... e-dispute/" onclick="window.open(this.href);return false;

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Re: Football's Magic Money Tree

Post by Chester Perry » Tue Sep 10, 2019 1:30 pm

Bayern Munich announce record revenues and profits for the 2018-19 season

https://fcbayern.com/us/news/2019/09/pr ... iscal-year" onclick="window.open(this.href);return false;

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