FFP / profitability and sustainability

Status
Not open for further replies.

balggy

Player Valuation: £5m
I hadn’t seen a thread on this, so I thought I would ask the question of how concerned people are that we may end up falling foul of the profitability and sustainability rules?

I have limited knowledge of our accounts, but from listening to people who do, the general consensus seemed to be that we will be the first club in the premier league to be in breach of profitability and sustainability.

As no other premier league club has been in breach, it is difficult to estimate the likely punishment. Hopefully it would just be a warning and possibly a fine.

However, if you look at the summer, it seems to be something that the club was concerned about. In the past, Moshiri has been bullish and splashed the cash, despite us all knowing that we were heading for a clash with profitability and sustainability. But this summer, the spend was so low, with clear holes in the squad, you can only conclude this is something the club are worried about.

If you look at the Championship, clubs have faced a points deduction for failing their version of profitability and sustainability. Whilst Derby are going to be hit for going into administration, they are also going to be punished for breaching profitability and sustainability.

My worry is that, just as Oumar Niasse was the only player to be punished retrospectively for diving with a ban, it is easy to have a pop at Everton, and we may be made an example of. I think the big 6 would be happy to see us be made an example of for for daring to try and compete with them and to deter others. Similarly, the other 13 only give a toss about themselves. If Everton are in breach and are hit with a points deduction, it only helps them get higher up the table.

I really don’t know how it will go, but it would be interesting to hear your thoughts on it.
 
im not worried we didn't spend any money at all this season and we got rid of lots of players, we got a loan fee for 2 years for kean with the purchase option, we will get a fee for small at the employment tribunal soon, we may have got some compo from madrid for ancelotti if there was no clause in his contract, we got a small fee for bernard, we have saved lots of money in wages by getting rid of players.

if there were major major problems then the likes of richarlison and dcl would be sold
 

You have to imagine we're probably in the black this season with the Kean loan, sell on for Vlasic and shedding some of the wage bill.
Some of the previous spending can be written off as infrastructure costs now that we've started the stadium build.
We'll be ok but unlikely to be much in the kitty to spend this season.
 
You have to imagine we're probably in the black this season with the Kean loan, sell on for Vlasic and shedding some of the wage bill.
Some of the previous spending can be written off as infrastructure costs now that we've started the stadium build.
We'll be ok but unlikely to be much in the kitty to spend this season.
Stadium could end up costing a billion ??
 
So, are we the only fan base in the league that are cacking ourselves about these rules that you never hear about? Who is next in line for the cack attack? After Everton, who else should be starting to cack themselves about these rules?
 
So, are we the only fan base in the league that are cacking ourselves about these rules that you never hear about? Who is next in line for the cack attack? After Everton, who else should be starting to cack themselves about these rules?
Probably Arsenal, Villa and Palace, the latter two possibly more than Arsenal, but no Europe after their spending over the last 2 years has been fairly high.
 

If I am not mistaken, it is a rolling 3 year total of losses that is looked at, so we will drop the deficit from 18/19?
That was when we brought in Mina, Bernard, Richarlison & Digne I believe. Total loss of £112m according to @swissramble, so that’s a decent amount to be dropping, with hopefully the current year being much more favourable.



Yes I think rolling 3 years. A quick look at Everton's losses, officially released on their webpage.But I don't really know what the FFP criteria is when calculating the losses, so we can only rely on the numbers released by the club.

Loss:
FYE June 2020: 140mil [2019-20 season]
FYE June 2019: 112mil [2018-19 season]
FYE June 2018: 13mil [2017-18 season]

The 2020-21 season numbers are not officially release yet. At least, we won't be carrying the 112mil and 140mil losses baggage into 2022-23 season.

But I did see somewhere that we are -35mil at the moment. If that is case, it's not good news, but encouraging that we could possibly get out of the waters by 2022-23.
 
didn't stop a whole host of lower league teams from getting hit with deductions.
Although it always seems to be one law for PL and another for everyone else.

Suspect if we do get into any real trouble then DCL or Richy will be on their bike.
 

Status
Not open for further replies.
Top