Uefa New Rules on Finance and Spending for European Clubs.

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Philw said:
Well tbh i dont think it will effect us that much. We may not see such exhorbitant fees, but the top clubs, with the highest turnover will still be able to offer much higher wages than us. We'll still be lagging Man U/City, Arsenal, Chelsea, Spurs and Liverpool :( It should effect clubs like Villa and B'ham -vely tho. And im sure teams will work out ways to finigle things into the infrastructure/etc section that allows investment. Can the club afford to raise tickets prices massively without losing attendance? Whats the point in charging more per ticket if you only make the same net £££ cos less people go to the game? (except for lower assosciated overheads/costs) Surely a fuller stadium is preferential over a few more £££ on the top line?
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Check out the PROFIT AND LOSS TABLE for the Premier League ...... it's been shown on Sky Sports News about this story.


Everton are in the top half of the table with one of the smallest losses at 5th.

That means 15 other clubs lost more money than us.....

Which is a good indicator of things........ in relation to our business model at Everton.
 
Matt Damon said:
Check out the PROFIT AND LOSS TABLE for the Premier League ...... it's been shown on Sky Sports News about this story.


Everton are in the top half of the table with one of the smallest losses at 5th.

That means 15 other clubs lost more money than us.....

Which is a good indicator of things........ in relation to our business model at Everton.
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Sure, but even without taking on those losses some of the teams who lost more can still outspend us. We just won't be as far behind as we were. I think Arsenal will profit most from this. Like us they are not really big spenders, and prudently run, but have their stadium and massive turnover.
 
Philw said:
Sure, but even without taking on those losses some of the teams who lost more can still outspend us. We just won't be as far behind as we were. I think Arsenal will profit most from this. Like us they are not really big spenders, and prudently run, but have their stadium and massive turnover.
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Yes, but given that the infrastructure spending is not limited - for us... it's potentially more beneficial as that is the only thing limiting us in terms of revenue.

We won't have as high a revenue as them - regardless... because they're in the capital (with the current UK business model)

but the ratio difference will be reduced between clubs.

I think.


Then it becomes more about the football once again!
 
Matt Damon said:
Yes, but given that the infrastructure spending is not limited - for us... it's potentially more beneficial as that is the only thing limiting us in terms of revenue.

We won't have as high a revenue as them - regardless... because they're in the capital (with the current UK business model)

but the ratio difference will be reduced between clubs.

I think.


Then it becomes more about the football once again!
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Yeah, except we can't seem to attract that kind of investment either, and when we do the government nixes it! :o
 
Matt Damon said:
Yes, but given that the infrastructure spending is not limited - for us... it's potentially more beneficial as that is the only thing limiting us in terms of revenue.

We won't have as high a revenue as them - regardless... because they're in the capital (with the current UK business model)

but the ratio difference will be reduced between clubs.

I think.


Then it becomes more about the football once again!
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You are wrong!
 
it will be nice not to have man city / real madrid like spending, but i think it will also limit mobility within the table. it doesn't take effect immediately so i think you'll see more times planning to make most of their investment in the team immediately, as they won't be able to invest later. Count on the market getting even more inflated in the coming years before the ban is actually put in place.
 
Philw said:
Yeah, except we can't seem to attract that kind of investment either, and when we do the government nixes it! :o
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The "investment" - or private equity is unaffected.

It can still spend as much as it wants on "infrastructure" and recoup this on increases on club value as revenue/assets increases in value

For us - the stadium.

It's win win mate this ruling. Less money for our rivals teams. Prices come down (eventually) for players/wages

and Stadium revenue incentive goes up.

Win Win for Everton
 
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This sets in stone the current situation ... almost. Clubs with the highest income will make damn sure their debt is reduced. After that, worldwide, merchandise buying fans will ensure the Utds of this world are perpetually at the top of the tree. Seems to me this is not the outcome of a bitterly anti EPL Uefa President's plot against the big four, but an attempt to ensure that the current house of cards doesn't completely collapse.

Could be wrong of course. The new rules could come into play, birds start singing, flowers bloom, peace and love flourish and Everton have the dosh to compete. No harm in hoping, but any certainty about such an outcome is horribly misplaced in my opinion.
 
dixie1928 said:
This sets in stone the current situation ... almost. Clubs with the highest income will make damn sure their debt is reduced. After that, worldwide, merchandise buying fans will ensure the Utds of this world are perpetually at the top of the tree. Seems to me this is not the outcome of a bitterly anti EPL Uefa President's plot against the big four, but an attempt to ensure that the current house of cards doesn't completely collapse.

Could be wrong of course. The new rules could come into play, birds start singing, flowers bloom, peace and love flourish and Everton have the dosh to compete. No harm in hoping, but any certainty about such an outcome is horribly misplaced in my opinion.
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Some of the clubs with the highest revenue also have the biggest debt and wages bill. Man U, Chelsea, L'pool, Arsenal, WHU, to name a few.
 
We aren't in any danger right now. Our squad is "worth" a huge amount compared to the Book Value of the players (fees paid less amortisation over the life of the contract).

The approximate net book value of Everton's squad is as follows: £34.1M

Howard £1.2M (2/5 years remaining on 1st contract: Fee Paid £3M), Baines £2.4M (2/5 £6M), Heitinga £4.8M (4/5 £6M), Jags £1.6M (2/5 £4M),
Distin £3.3M (2/3 £5M), Billy £7.2M (4/5 £9M), Gosling £0.6M (2/7 £2M (1 year of 3.5 years)), Pienaar £0.7M (1/3 £2M), Fellaini £7.8M (3/5 £13M),
Yak £4.5M (2/5 £11.25M) - ALL OTHERS NIL

Gains in Current Financial Year:
Lescott £15M (being £5.5M paid less £2.75M written down (3/6 years) less 1/3 of Value Gained (£24M-£5.5M) payable to Wolves)
Neill £1M

Written off in 09-10 (above players on 1st contracts where fee was paid) £13.5M

Net effect on Balance Sheet 09-10 (Gains less Write-offs) £2.5M GAIN

So, with a gain to come this Financial Year and the POSSIBILITY of another gain should Pienaar go (say £12M) plus off book 'assets' such as Rodwell and the likes of Osman, Saha, Arteta, Anichebe and Vaughan we are far from in a serious problem.
 
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billycopper said:
Chelsea were in a perilous financial state before Abramovich took over. The club still owe him £726m! They have the highest wages bill in English football history and made a pre-tax loss of £47m last year.

http://www.timesonline.co.uk/tol/sport/football/premier_league/chelsea/article7096683.ece

I'm sure it's on Platini's mind to stop British clubs from dominating the Champion's League, as they have done for the last five or six years, by buying the world's best players.
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What I meant was that they were finishing in the Top 4 regularly and I'd say they were still one of this country's bigger clubs. Right now they have a really solid squad, whereas there's still work to be done with Citeh.
 
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