Garlick

[KRBFC]

There was money in the bank yes.

I've already pointed out the TV rebate.
Then other operational costs etc.

Can't help you anymore than that, because it's clear you're not interested in the figures and facts that go against your agenda, unsurprisingly.

You haven't offered up any kind of figures or facts, just typical politician like spiel. You realize that money was saved over the years, right? leftovers from operational costs....

[GodIsADeeJay81]

You haven't offered up any kind of figures or facts, just typical politician like spiel. You realize that money was saved over the years, right? leftovers from operational costs....

The facts and figures have been discussed on this forum for ages, there's actually a whole thread dedicated to football finances.

The fact is you can't be bothered reading it, or spending anytime looking this stuff up, it's far easier for you to look an ignorant fool instead.

So how about you wander off, spend a bit of time having a read and come back when you're better equipped....
Or not, whichever you prefer and I already know which it will be.

[MACCA]

Stinks?

[Nonayforever]

Maybe he decided to sell because someone ****** him off.

[boatshed bill]

Every club is required to hand back money from the broadcasting deal in the form of a rebate.

Strange isn't it, when due to Covid there have been far more games televised to what I assume is a larger TV audience?

[GodIsADeeJay81]

Strange isn't it, when due to Covid there have been far more games televised to what I assume is a larger TV audience?

Yeah it's cos of the kick off times being moved around etc, so the broadcasting companies are losing viewers abroad.

Normally kick off times are targeting foreign audiences more than the UK ones, I think.

[Bordeauxclaret]

All the “normal” tv slots are still being used though.

[GodIsADeeJay81]

All the “normal” tv slots are still being used though.

https://www.theguardian.com/football/20 ... ier-league

I got it wrong, its because football stopped for a bit last year and with it being played behind closed doors they feel the product they've paid for has been devalued.

[Bordeauxclaret]

How much of that loss is offset against the extra games being shown?

[Rumbletonk]

I can't get my head around it. Personally, I've never watched as much football as this season

[randomclaret2]

Is Garlick now the wealthiest Board member ?

[claretonthecoast1882]

Lets's flip it

KRBFC - how much revenue do you think we have budgeted for this season and and outline the same for next season (assuming full attendance and traditional schedule for match days)

Then do the same for costs (without transfers) then we can talk about just how much money there really is)

Don't be cruel, asking him an intelligent question is cruel considering he puts L & R on his socks

[Jimmymaccer]

You confirmed your lack of understanding in your first sentence/paragraph in your second sentence/paragraph what you think is recklessness was not, what is recklessness is what you proposed in with your first sentence/paragraph.

What you proposed in the first sentence/paragraph would have led to an operational loss, with Premier League revenues resulting in a negative cashflow

Rather an impolite response CP?

And Sadly CP I do understand Balance Sheets, P&L,s, cash flows, deferred payments et al

..........payments are rarely made in one cash transaction, they’re phased so whilst on Balance Sheet as asset/liability, CFADS/EBITDA could still remain positive and a leveraged transaction possible.

with a stronger squad a buyer may have considered the risk of relegation lower, and the certainty of income from PL involvement more likely.

Im not suggesting he should have bought 4 players at £50m each with full payment on day 1 whilst flogging 3 at a massive loss......he’s failed to invest, which is often a failure of many a business (though I acknowledge that skill in itself is difficult).

[Volvoclaret]

Spoken like a true Merchant Banker JM

[Chester Perry]

Rather an impolite response CP?

And Sadly CP I do understand Balance Sheets, P&L,s, cash flows, deferred payments et al

..........payments are rarely made in one cash transaction, they’re phased so whilst on Balance Sheet as asset/liability, CFADS/EBITDA could still remain positive and a leveraged transaction possible.

with a stronger squad a buyer may have considered the risk of relegation lower, and the certainty of income from PL involvement more likely.

Im not suggesting he should have bought 4 players at £50m each with full payment on day 1 whilst flogging 3 at a massive loss......he’s failed to invest, which is often a failure of many a business (though I acknowledge that skill in itself is difficult).

Staged payments are borrowing in another form with the interest built in, that whole economy is built on the football creditor rule, a rule that has come under much strain in the last 2 - 3 windows. The last published accounts saw us with £22m of such direct liabilities with a further 7m in conditional liabilities or roughly half of the cash position (as a certainty). Owed to us there were £14m direct payments and up to £3m in conditional payments. Last summer was to see us receive the final direct inward payments (£14m) and we were due to pay out a similar amount leaving us with around £8m outstanding.

I have repeatedly talked about the club working to an operational budget based on revenue coming for a 17th placed position, at least half of the league do this. The difference for our club is it looks to break even at that revenue, I see no change in direction on that currently and I will always be supportive of that approach. This takes us to the crux of the difficulty for our club when signing new players. If you pay up front from cash in hand, you want (get?) a better price and from a cash flow perspective only have the tax, agent fees and wages to service, if it is a staged payment you have to add those to the annual operational cash flow. The club have rarely followed that approach in recent times, though I suspect it was in the works for last summer pre-pandemic.

JayRod for example has cost cash flow £5m this season and last in transfer payments and probably circa £2,5m+ in the other costs. next season he will cost us just the £2.5m. Endlessly extending contracts of fringe squad players, eats operational budget and cashflow, and prevents new blood arriving from outside the club, this is the corner the manager has backed us into.

The club has not failed to invest, that is evident everywhere you look across the club if you consider it carefully. That investment may have failed to be focused in the areas you consider the most important, but it has happened and is happening constantly across the club. It is not sexy or headline grabbing but it is real and done to build a stronger club going forward and done out of the operational cashflow budget. The previous board have been called risk averse many times and accused of not putting faith into the manager, I will always contend that they employed huge faith in the manager and sought to build a much stronger and capable club to support him, there was and is real risk in that, an equal yet different risk to those that chucked money at players year on year before going down with little to show for it but a fire sale.

If you want to accuse the previous board of anything with something approaching justification it is that they failed to grow revenues enough to met the immediate on field desires of the manager and a number of the fans. It was something they acknowledged freely and were improving on, Commercial Income doubled in the last two sets of accounts, much of which did not come out of the pockets of fans, who for all their gripes enjoyed ready access to some of the cheapest football in the Premier League. That of course was another mistake as it hamstrung the budgets and opened the club to all kinds of problems should the club be relegated for an extended period - try getting our fans to accept cost increases on Premier League prices in the Championship even when there are more games.

Given the understanding you say you have, you will know all this already but don't seem to accept there are many ways of cutting the pie. Even if you do not like what you think has happened, try and show some understanding of what the reasoning was and is for the decisions that have been made. That is what I seek to do for the most part, and yes I worry about the profile of our squad, the quality of play at times and even the prospect of relegation and the struggle to regain promotion but I think I can see what the club has been trying to do and accept that as a legitimate approach whether it is the one I would take or not.