Football's Magic Money Tree

[Royboyclaret]

Chester, the link for the full accounts for Preston is showing as error.

[Chester Perry]

Chester, the link for the full accounts for Preston is showing as error.

thanks Roy - sorted now

[Chester Perry]

@FootballLaw looks at everything around the Man City UEFA ban and the process involved in the appeal at CAS in a Done Deal podcast special

https://anchor.fm/daniel-geey/episodes/ ... ext-eatib9

shock data alert on the number of insolvency events in English football in the last 35 years - at least 81

this actually covers an awful lot of detail and does it very well for the layman

[Chester Perry]

Vysyble with a blog about FFP and some suggestions as to how they would like to see it reformed. it is quite heavy and technical and as always underpinned by their belief in the principle of Economic Profit

https://vysyble.com/blog

[Chester Perry]

David Conn has his say on FFP, how it was fundamental to Liverpool's resurgence and is not the reason for Man City's UEFA ban (though it is a cause of it)

https://www.theguardian.com/football/bl ... -city-uefa

[Chester Perry]

It has been the hobby horse of @AndyhHolt for quite some time now and has found a growing swell of support - now former FA Chief Greg Dyke has backed the call for a strong Independent Regulator saying that the FA is not equipped for the role

https://www.youtube.com/watch?v=8nj4SCu ... e=youtu.be

there is a lot of crap in that clip but the fundamental point is clear

[Chester Perry]

The FT with a detailed article that says the while FFP may have capped spend it has not led to greater equality

https://www.ft.com/content/48c7435e-540 ... 2eed0038b1

of course the stated objective was to stop unlimited overspend/losses that were unsustainable - nothing about levelling the economic playing field - so objective achieved

The real question is should the objective have been different - doubt the would have got the necessary buy in if a level playing field was the answer - that went out of the window when the gate money split stopped

[Chester Perry]

A couple of weeks back I mentioned that CAS had ruled that MLS did not have to have promotion and relegation in line with FIFA statutes - CAS have now issued the full judgement

https://www.tas-cas.org/fileadmin/user_ ... ternet.pdf

[Chester Perry]

The Price of Football podcast - Man City UEFA ban special

https://podcasts.apple.com/gb/podcast/t ... 1482886394

[Chester Perry]

@SwissRamble has also had a good look at the financials around that Man City UEFA ban

https://twitter.com/SwissRamble/status/ ... 6509878272

you will notice that @SwissRamble gives his own estimate for the new TV revenue breakdown based on last seasons league positions and number of live TV matches - we would have had an extra £4m

[Chester Perry]

As you are probably aware I have been reading an significant number of articles and listening to many podcasts on and around Man City's UEFA ban - this is perhaps the most detail heavy one. and consequently from my perspective - probably the best - @SportingIntel talks to the Anfield Index in a special off the wall podcast - it lasts about an hour, can be heavy going simply for the amount of info being related - starts from around 5:30 in

https://twitter.com/sportingintel/statu ... 3189124099

[claretandy]

@SwissRamble has also had a good look at the financials around that Man City UEFA ban

https://twitter.com/SwissRamble/status/ ... 6509878272

you will notice that @SwissRamble gives his own estimate for the new TV revenue breakdown based on last seasons league positions and number of live TV matches - we would have had an extra £4m

So an extra 10m for finishing tenth !

[Chester Perry]

So an extra 10m for finishing tenth !

Two things to bear in mind
- @SwissRamble as brilliant as he is, is only making an estimate - the Premier League have not disclosed exactly how much of their income will disappear in costs, solidarity/parachute payment, PFA payments, EBPPP payments, grassroots payments and charity payments etc.
- we still do not know how many games we will have on Live TV

[Chester Perry]

Fresh from raising over their £5m target from a bond issue, fan owned AFC Wimbledon announce their 2018/19 financial results @KieranMaguire has a look

https://twitter.com/KieranMaguire/statu ... 4747940865

[Chester Perry]

@TariqPanja with a tale about what FIFA want for their new Club World Cup (it is a lot as you would expect of Infantino) and what the clubs want - unfortunately I cannot read as I have used up all my free articles - would appreciate someone transcribing for me

https://twitter.com/tariqpanja/status/1 ... 6127475714

[RammyClaret61]

FIFA has turned to an American financial advisory firm to jump-start its efforts to secure the $1 billion it will require to successfully launch its inaugural 24-team Club World Cup next year.

Hiring the firm, the Raine Group, which has experience in closing deals in the sports sector, suggests that a tender process begun by FIFA in December has failed to secure a backer capable of meeting the organization’s requirements to finance the 2021 Club World Cup, which was awarded to China last year.
FIFA Set to Reward China With World Cup for ClubsOct. 20, 2019

Much of the money is needed to secure the participation of the top European clubs, which are seeking privileged status and would essentially become joint owners of the event.
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Last month, leaders from a group of elite European clubs, including Liverpool, Juventus and Barcelona, traveled to FIFA’s headquarters in Zurich. According to people familiar with their plans and a document summarizing their meeting obtained by The New York Times, they discussed the creation of a joint venture between FIFA and the European Club Association, a status that would elevate their interests above participating teams from soccer’s five other regional confederations. The talks centered on financial incentives, and the possibility of including as many as 12 European teams, four more than the current format, which caps European involvement at eight.

Reaching agreement for the tournament has been a fraught process. The project has fractured the relationship between FIFA’s president, Gianni Infantino, and the head of European soccer, Aleksander Ceferin, and faced opposition from the sport’s biggest clubs and leagues. FIFA wants its new tournament to eventually have a stature similar to the World Cup’s, an aspiration that would threaten the status of UEFA’s Champions League, which is currently the world’s richest club championship.

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Attempts by FIFA to close an agreement for the tournament in 2018 with a group led by the Japanese conglomerate SoftBank foundered when Infantino failed to get the support of the FIFA Council. At the time, several members of the FIFA board — led by Ceferin — complained of not being told enough information about the project. A FIFA analysis, reported by The Times in 2018, concluded the organization needed to raise $650 million to $1 billion for the tournament to be viable.
For Infantino, the stakes are high. As well as stoking tension with Ceferin, the discussions around new club arrangements — which would prioritize Europe’s involvement over clubs from the rest of the world — have also led to a breakdown in relations between Infantino and Alejandro Domínguez, the leader of the sport in South America and a longtime Infantino ally.

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Domínguez, annoyed at being sidelined when South American teams were among a group that met with Infantino, signed an agreement to work on joint projects with UEFA’s Ceferin earlier this month. A few days later, FIFA scrapped a FIFA Council meeting set to be hosted by Domínguez in Asunción, Paraguay, where his organization, CONMEBOL, is based.
FIFA largely blamed costs for scrapping the event, but Domínguez reacted with fury, demanding, in a letter to FIFA, a detailed breakdown on how much FIFA spent to host similar meetings recently in India, Rwanda and China.

After finally bowing to the creation of the tournament, UEFA has so far stymied FIFA’s efforts to secure the participation of the continent’s top teams for the inaugural event next year. It has demanded the field should include winners of its second-tier Europa League competition, while FIFA wants only the continent’s best teams.

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The clubs are taking advantage of the tensions. As well as talking to FIFA about the quadrennial World Cup, Europe’s biggest teams have also met with the American billionaire Stephen M. Ross, who is seeking to get them to commit more formally to an annual preseason tournament. Ross’s company, Relevent Sports Group, has held talks with both UEFA and FIFA about securing their backing for an annual event in which participating clubs could secure about $10 million per tournament and an equity stake, provided they commit to several editions of the competition.

FIFA hopes the new revenue stream from an expanded Club World Cup will allow it to invest more in developing the game around the world. But the financial demands of the top teams could make that difficult: Those teams want a model similar to the Champions League, where more than 90 percent of the income is paid out in prize money.

Because of the early opposition to its project, FIFA has found itself in a hurry to get the financing it requires. Some groups that showed initial interest in the event, like Suning Holdings Group, which is based in China, owns the Italian team Inter Milan and is one of the biggest Chinese investors in soccer, declined to make an offer after complaining that there was a lack of detail in FIFA’s tender request.

By hiring Raine to manage the process, FIFA is enlisting an organization well versed in securing deals for sports entities, and one with a presence in China. Led by the banker Joe Ravitch, the firm helped the English soccer champion Manchester City sell a stake worth $500 million to the American investment group Silver Lake Partners in November. And City’s Premier League rival Chelsea has directed any parties interested in acquiring the club from its Russian owner, Roman Abramovich, toward Ravitch.

[claretandy]

Two things to bear in mind
- @SwissRamble as brilliant as he is, is only making an estimate - the Premier League have not disclosed exactly how much of their income will disappear in costs, solidarity/parachute payment, PFA payments, EBPPP payments, grassroots payments and charity payments etc.
- we still do not know how many games we will have on Live TV

Estimates that i have seen show that if the new monies were shared equally, then each team would get 12.5m, you would think a top 10 finish would gain more than this.

[Chester Perry]

that is the way the big clubs geared it Andy

[Chester Perry]

Cheers Rammy - as ever no mention of the players, and Infantino keeps on chasing the money - it is noticeable that when he was at UEFA that Man City and PSG were able to reach swift financial settlements and again this month it transpires that the PSG Chairman had reached a swift financial settlement with FIFA of a bribery issue

[Chester Perry]

@KieranMaguire talks to the Wednesday Week podcast about Sheffield Wednesday's issues

https://www.thewednesdayweek.co.uk/epis ... l-at-swfc/

those Wednesday lads are really quite uninformed of the details of the mess their club is in - could work for Talksport

[claretandy]

that is the way the big clubs geared it Andy

14 clubs had to agree for the change to go through, we will be a beneficiary.

[Chester Perry]

You have to admire the way German football fans stick together - the DFB have said they will stop Monday night football in the next TV cycle - fans don't trust them so keep up the protest

https://twitter.com/RorySmith/status/12 ... 2619350019

nearest things have come to this organised in this country is the no B teams protest in the Football League Trophy

[Chester Perry]

14 clubs had to agree for the change to go through, we will be a beneficiary.

That is true but it came from the big clubs who wanted more - it also meant that almost every club that stayed up got more - relegated clubs get less than before and less in parachute payments as that comes from the domestic rights only

[Chester Perry]

The background to that Monday Night Football protest in Germany

https://www.dw.com/en/bundesliga-monday ... a-46390559

[Chester Perry]

Man Utd post half year results - much made about the net debt position - I just read it as they are paying a lot of cash for things and not getting as much revenue - debt position itself is not really changing

https://www.theguardian.com/football/20 ... r-woodward

https://www.dailymail.co.uk/sport/footb ... gures.html

[Chester Perry]

@KieranMaguire also says Man Utd's half year results are down to cash

https://twitter.com/KieranMaguire/statu ... 7498821632

as emphasised by this animated graphic of the clubs cash position illustrates vividly

https://public.flourish.studio/visualisation/1192476/

[Chester Perry]

The only ace Ed Woodward has up his sleeve when it come to transfers at the moment (everyone knows they are desperate for players) is that he can pay cash in full up front - but even that doesn't seem to help much

https://twitter.com/KieranMaguire/statu ... 6855421952

[Chester Perry]

CAS have announced that Man City have lodged their appeal to that UEFA ban

https://www.tas-cas.org/fileadmin/user_ ... e_6785.pdf

[Chester Perry]

Following yesterday's half year update by Man Utd @SportingIntel gives us an update on those key Glazer figures since the takeover with other peoples money

https://twitter.com/sportingintel/statu ... 9070322688

the debt has never really been reduced in all that time (in fact it grew as a result of finance arrangements, but revenue growth and cash held position has seen them trumpet net debt so it seemed like it had. The Glazers themselves have recovered all the deposit they put down to buy the club and made quite a bit more. If they had wanted to the family could have used club income including share sale to clear the debt by now, but they would rather take consulting fees and dividends to line their pockets

[Chester Perry]

The 2018/19 accounts for Wycombe explain why the fans sold the club

https://twitter.com/KieranMaguire/statu ... 9377076230

[Chester Perry]

Gianni Infantino has released his plan for the future of football in an open letter - so open that ii is published exclusively by the Telegraph behind a paywall - is there a more perfect metaphor for this man?

https://www.telegraph.co.uk/football/20 ... infantino/

I cannot read it as all my free views have been used up - if you can - please transcribe

[Chester Perry]

At last - FIFA is to discuss preventing the playing of regular season games in countries foreign to the league - It comes after renewed attempts from La Liga to do so

https://www.bbc.co.uk/sport/football/51653859

[Chester Perry]

Liverpool have announced their 2018/19 financial results - much reduced profits from last time

https://www.theguardian.com/football/20 ... ar-2018-19

Club statement

https://www.liverpoolfc.com/news/announ ... -statement

[Chester Perry]

Meanwhile so have QPR - remember them

https://twitter.com/KieranMaguire/statu ... 5660488704

[Chester Perry]

and so have Mike Duff's Cheltenham - who are making a real charge for promotion in League 2 this season after his rescue and consolidation last year (sound familiar Burnley fans)

https://twitter.com/KieranMaguire/statu ... 5687552002

[Chester Perry]

Talk about stereotyping a country - Hibs new American owner says that the 40 year long ban of sale of alcohol at Scottish grounds is financially damaging for the game financially

https://www.edinburghnews.scotsman.com/ ... ms-1996279

[Chester Perry]

It is Thursday so it it is Price of Football Podcast today - SportPesa and Everton, the cost of being a mascot and BuryAFC

https://podcasts.apple.com/gb/podcast/t ... 3ebf350e96

[Chester Perry]

This should be an interesting meeting to listen in on - West Brom fans given chance to quiz the club over a mysterious loan given to former owner Jeremy Peace which he then may have used to buy more shares in the club & then sold it for £200m to Chinese investors

https://www.expressandstar.com/sport/fo ... n-meeting/

[Chester Perry]

I covered the financial issues at Swansea quite a bit last year when they brought Trevor Birch in to help them make sense of it all - they announced their 2018/19 results a few weeks ago but only recently posted them at Companies House - @SwissRamble gives them a thorough lookover

https://twitter.com/SwissRamble/status/ ... 5321376769

[Chester Perry]

Is German Football's proudly held and much admired (by fans at least) 50+1 rule under threat?

https://www.copa90.com/en/read/german-f ... lus-1-rule

[Chester Perry]

@KieranMaguire has a quick look at those Liverpool 2018/19 financial results

https://twitter.com/KieranMaguire/statu ... 7580496896

[Royboyclaret]

@KieranMaguire has a quick look at those Liverpool 2018/19 financial results

https://twitter.com/KieranMaguire/statu ... 7580496896

Very little to see as yet with Liverpool still to publish their full financial results. Interesting graph, though, showing the comparable net profits of all PL clubs in their latest results. As recently as three years ago aggi on here was keen to emphasise that most PL clubs were by that time reporting a net profit mainly as a result of increased levels of Broadcast Income. Clearly that is no longer the case with as many as 9 of the 20 clubs reporting a net loss in their last accounts. Didn't take long for Wages and other costs to catch up with Income.

Burnley, however, remain in a healthy financial position and the latest results due in some 5 weeks time should confirm the situation of being a superbly run Club both off the field as well as on it.

[Chester Perry]

Very little to see as yet with Liverpool still to publish their full financial results. Interesting graph, though, showing the comparable net profits of all PL clubs in their latest results. As recently as three years ago aggi on here was keen to emphasise that most PL clubs were by that time reporting a net profit mainly as a result of increased levels of Broadcast Income. Clearly that is no longer the case with as many as 9 of the 20 clubs reporting a net loss in their last accounts. Didn't take long for Wages and other costs to catch up with Income.

Burnley, however, remain in a healthy financial position and the latest results due in some 5 weeks time should confirm the situation of being a superbly run Club both off the field as well as on it.

That is because last season was at the end of a TV cycle, the problem for most clubs is that the new cycle isn't giving them a massive uplift in revenues - expect quite a few to struggle financially in the next few years

[Chester Perry]

Football leaks has lead to other prosecutions besides Man City, we just don't here about them much - In Spain a group of Football Agents have been charged by the legal authorities of a number of shady property deals as a result of Football Leaks - I do not suspect anyone other than their families and employees are too concerned for them

https://theblacksea.eu/stories/football ... all-leaks/

[Chester Perry]

These will require some detailed reading when Published - The EFL's Governance review and Bury FC review have been completed - both have been presented to clubs and were discussed in a meeting today - They should be published shortly

https://www.efl.com/news/2020/february/ ... fc-review/

[Chester Perry]

In a move that surprises no one the EFL changes it transfer window to match the Premier League and the rest of Europe

https://www.efl.com/news/2020/february/ ... fer-window

[Chester Perry]

I didn't get the chance to read FIFA President Gianni Inantino's open letter to the Telegraph yesterday (which was kept behind a paywall) - but today he has seen fit to share his vision with the rest of the world

Press release
https://www.fifa.com/who-we-are/vision/

the full report

https://resources.fifa.com/image/upload ... xrudiu7iym

[Chester Perry]

Meanwhile FIFA have ratified their plan to limit the number of players over the age of 22 that can go on loan from a club as of this summer - it will be 8 (Chelsea currently have 14 in that age group out on loan)

FIFA statement
https://www.fifa.com/who-we-are/news/fo ... fer-system

Daily Mail getting a bit over excited
https://www.dailymail.co.uk/sport/footb ... broad.html

they also confirmed that they are looking to tighten up regulations to prevent domestic league matches being played abroad - I posted earlier

[Chester Perry]

That Man Utd investors call this week saw some quite bullish statements from it's leading officials - this on commercial was exceedingly so given that last season so a slight reduction overall

https://www.soccerex.com/insight/articl ... ard-arnold

this one was incredibly bullish - I am not sure how they can get away with guaranteeing that they will be playing Champions League football next year

https://www.independent.co.uk/sport/foo ... 62466.html

[Chester Perry]

This could get interesting - apparently Championship clubs (currently reviewing their Profitability and Sustainability (FFP) rules are considering imposing a salary cap of £20m - From the Telegraph and behind a paywall - please transcribe if you are able

https://www.telegraph.co.uk/football/20 ... e-drastic/