The Summer Transfer Window

Fooking ell

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It'll take 6 weeks for us to sign Dubravka, nevermind anyone else!

 

So when Ashley says that Rafa can spend all that we generate, what exactly does he mean?

Is it the literal version of all that we generate? Probably not.

Is it the “profit”? Should be.

Is he going to include some of the new players wages? If so, do we count first year’s wages or full contract wages? Should we include wages?

Is it any other variation of all that we generate and, if so, what?

Great sounding promise but very vague in real terms and open to many interpretations. Was that meant to be the case or are some of us just too cynical? So wide that Son of Ashley is given scope to try and interpret as he feels like.

Does anyone else get the old “de ja vu” feeling. Seem to remember clearing wages towards the end of the last summer’s window without any real counter balance of players coming in. Seem to remember the promise of breaking the transfer record in the winter window by bringing in Jorgenson but that didn’t happen either. So where has that “spare” money gone which doesn’t seem to be being factored into this upcoming window’s money?

No doubt Pouchy will keep me right.

 

This means we won’t have a break from football as we will be straight into the rumour mill..

 

Who needs a break?

 

Me. Not had a holiday for ages.

 

Quite right - its a meaningless soundbite. Is it related to cash available or profit which can be two quite different things depending on how you recognise player purchases and sales in the balance sheet and P/L.

Think what he means is we have to be self-sufficient. He is not going to take any money out (well apart from free Sports Direct advertising) and not going to put anything in. So we need to have both a forecasted profit and the cash in the bank to cover the upfront cash payments needed for purchases.

So based on bfp calculations:
Revenue
PL Money: £127mill
Gate Receipts: £25mill
Fun88 Shirt Sponsor: £8mill
Commercial/Merchandise: £20mill
Hospitality/Pie sales: £5mill
Total: £170mill
Costs
Wages: £75mill
Amortisation of player values £20mill
Matchday expenses (consumables): £5mill
Others: £5mill
Total: £105mill
Profit: £65mill

Cosnequently we should have about 65mill to spend before player sales. However suspect that we will cover the loss from Championship Season first which we should know shortly.

 

player bonuses will need to be taken off too

 

I think we pay in Sports Direct Vouchers so don't think it will impact.


Or do you know what these might be - can't find any info online.

 

You guys are getting the hang of this now. Starting to see the full cost of running a club. Once the wages, fees, running costs, bonus payments are all factored in I think we will generate 40m. We would be relying on Mike not wanting some debt paid off but he has never seen us wrong in that regard before. I feel positive and think we will continue with the last 3 years policy of backing the manager with everything we have. I think Rafa will manage it better than mcclaren did. I think Rafa will have 75-80m after sales max. If we don’t manage to shift players on, that could travel south by as much as 20m. A minimum amount I’d expect to see spent is 55-60m on transfers wages and fees.

 

If it's correct that the transfer fees for both Wijnaldum and Sissoko were in instalments then we should have money from these to spend as well.

 

There are so many intangibles that it makes it very difficult to calculate (payment terms for the players we bought and sold are probably one of the biggest). Hence why its very easy to say Rafa will get all the money available. Pity he can't just say and that is this much.

 

I imagine that's what the negotiations are for. He's never going to say it out in public, but I'm not defending him - if Ashley knew and would give a number, Rafa would have already signed/walked. Smoke & mirrors, unfortunately.

 

Sissoko was. Wijnaldum? I doubt it. There is no way we wouldn't have insisted that they pay the full whack up front. The numbers for last season wouldn't have added up either and we'd have had to borrow more from Ashley. There will be £7m coming in from the Sissoko fee on top of the £127m TV money. You know that is £55m more TV cash than we received from our last season in the Premier League? Have we increased our cost base any? I think it could be argued we've trimmed the wage bill and the sponsorship deal is improved. Profits will be very healthy this year.

 

I'm hoping that Rafa has been told a figure. The club should have a figure based on the accounts and forecasts. The only unknown at this stage should be the revenue from player sales. So they can say 'Rafa you have this much plus player sales'

You wouldn't expect this figure to be made public as it shows your hand to other clubs

 

Agreed. Maybe he can tell Windy Mag or Free-Dor so they can pass it on to us by PM.

 

They seemed to suggest it was plural for transfers paid in installments with that account note in 2017. Hopefully there was a few as it will all help. Perhaps not Gini, perhaps it was others like Townsend, Cabella, Thauvin or Janmaat?

I think though everything points to our wages going up sadly. All wages are on the increase though so we are no different to other clubs in that regard.

 

Once again - where are you getting the 2017 accounts from? I can only find 2016, downloaded from Companies House. On the 2016 accounts there is post balance sheet event that says as follows:

This I take to mean that in the accounts for the 2017 there will a bigger charge for fees we were still paying for those players than we will get in from their sale. This suggests that there is a significant amount of the UKP40mill to be paid during 2018 and beyond.

 

I think you've misread my dear friend. I said the accounts from 2017. The 2016 accounts were released in April 2017.

Charnley said this of them at the time in notes on the accounts published on the website:

“Our approach, following relegation, was to make further sizeable investment in our playing squad in preparation for the EFL Championship season ahead and our annual wage bill is, we believe, still above and beyond many current Premier League teams. Whilst not without financial risks, this strategy was adopted in order to maximise our chances of promotion at the first time of asking.

“Outgoing transfers will ultimately generate a significant net player trading surplus for the summer 2016 transfer window but, due to the cash profile of the deals, this will result in a net cash outlay in 2016-17.

https://www.nufc.co.uk/news/latest-news/annual-accounts

The word "deals" suggests more than one deal was structured long term.

 

I tell you what mind I don't think that Jorgensen has scored another goal since our failed bid. He is not far off 1 in 3 this season for them. I would maybe leave that one alone and count it as a bullet dodged. 20m-25m?!