QPR could be right in the clart

This makes quite grim reading and emphasises the pitfalls of stretching too far.
Interesting that 'Arry is at the helm too, given his previous...






Massive £80m Losses Could Lead To £60m Fine For Basket Case club


http://www.themag.co.uk/the-mag-art...-could-lead-to-60m-fine-for-basket-case-club/



If ever there was a club that wasn’t a model for others to follow it would be Queens Park Rangers.

In a desperate bid to compete and get to, and stay in, the Premier League, the London club appear to have every chance of becoming another Portsmouth.

A relatively small club with a limited capacity paying way over the top transfer fees and wages that are/were unsustainable, it is hard to see how QPR can survive – especially with what awaits them.

It is now reported by the Daily Mail that QPR’s losses for last season (2012/13) could be as high as £80m, thanks massively to transfer fees and wages of up to £100,000 or more on players such as Loic Remy, Samba, Ji-Sung, Jenas, Cesar and numerous others.

To compound matters, a player such as Cesar is on reported £90,00 wages but is out of favour, whilst Park Ji-Sung is on loan at PSV with Rangers continuing to pay most of his £70,000 a week wages. As to what the deal is with Loic Remy we can only wonder as he is rumoured to be QPR’s top paid player.

As if things can’t get worse, with falling into the Championship the London club are in line to be the first big casualty of the Financial Fair Play (FFP) rules already put in place by the Football League.

What the rules basically amount to is that any Championship club making losses over £18m in the current season (2013/14) will be fined £1 for every £1 they lose over that amount.

This would be due to be paid in January 2015 and estimates are putting Rangers’ losses this season as being even as high as last year, particularly with lost TV revenue – a nightmare scenario that could see QPR facing a fine of up to £60m or so.

A Football League spokesman said;

‘This is the first season in which clubs will ultimately face sanctions and clubs have to submit accounts for 2013/14 by December 1 2014, with sanctions then levied in early 2015. If a club being sanctioned are in the Premier League by then, the fine will need to be paid.’

Fines paid by clubs were originally believed to be going to the other clubs who stayed within the rules but for ‘political’ reasons it is reported that any money generated by sanctions will be donated to charity instead.

The last public accounts for Rangers were for the 2011/12 season and they made a loss of £22.6m and had debts of £89m, their wage bill having doubled then from £29.7m to £58.4m.

The Mail claim that QPR’s wage bill last season could have been as high as £90m which would equate to around one and a half times as much as they actually turned over! With players such as Remy, Samba, Park, Hoilett, Bosingwa and others having to be added to the near £30m wage bill of the previous season.

An ideal ratio of wages to turnover is seen as 50%, Rangers’ last season will have been around 150%…only ’100%’ out!

Whether QPR’s mad finances would help/hinder any possible Newcastle deal for Loic Remy is open to debate, what would appear to be clear is that surely it is a no-brainer that even if Rangers are promoted they will have to get the likes of Remy off their wage bills and also pull in as much transfer cash as possible to help them survive.

Sadly the QPR fans are caught up in the middle of this madness and more than one or two of them must be casting a look to just how far Portsmouth have fallen before the supporters came to their rescue.

The chaotic running of clubs such as Portsmouth and QPR are those who are at the very core of what the various FFP initiatives are trying to avoid in this country and elsewhere, especially the nightmare scenario of clubs folding mid-season as has happened in other leagues abroad.

 

Spend as if there is no tomorrow and then find that there is no tomorrow.

 

I believe it will only be a fine if they get promoted. If they don't it's a transfer embargo. See an extract from the BBC website

 

Whatever Harry touches turns rotten.
The saggy faced twat.

 

I agree they should be punished for spending well beyond their means and that clubs should be run on a no profit minimal spend rule.
Especially the Premiership clubs with the income they receive.
But a £1 fine for every £1 spent seems destined to only **** the club up.
I know you can't exactly slap the wrist of a multi-billionaire (and believe things such as speeding fines should be means tested when you earn £60k a week). But perhaps the owner should face the punishment not the club?

 

On one hand it potentially f***s the club for no reason other than the owner is a tit, on the other a high profile sacrifice will induce better financial management amongst clubs who could go down the same road in future...


And on the third hand growing from your knee (because you're a mackem), the worst that can happen is QPR eventually no longer exist, and their supporters have to walk an extra five minutes to go watch some football.

 

It was ten years to the day that Portsmouth beat a decent Leeds team 6.1 and Wimbledon were playing non league...


QUOTE=Sidthemackem;5643802]Take a look in League 2 and check out where Pompey are now. Just off the back of a 4-0 twatting from AFC Wimbledon.

Another 'Arry special, although much of the daft spending at QPR was down to Mark Hughes.[/QUOTE]

 

Meanwhile geordies plot another protest march at the ignominy of being a lowly ninth in the top flight...

 

An interesting article and a worrying one. This is going to condemn the smaller clubs to always being smaller clubs. Whilst some sense has to be made out of this transfer fee and salary mess that football has got itself into the fair play rules should look at the revenues earned via the turnstiles. Otherwise the big clubs will always remain big clubs because Manchester United will always sell shirts in Malaysia, Japan and Surrey. If the fair play rules are worked on revenues via the turnstiles then it would make for more even competition.

One pedantic note; the percentage in the original article should be 200%, not 100%. The ratio of wages to turnover is three times what it should be, not twice.

A fine article and a worrying one. What's going to come of all this? It's going to end up like the American sports system where there's no promotion or relegation from the 'Majors' because it'll always be the smaller clubs going up and down. And we'll have the same clubs, year in and year out, playing in Europe. You know, just like that European super Breakaway League that UEFA always wanted.

 

Mike, is that you ?

(I think so too)

 

Roly, a very valid point fella.
Whilst hating the regime for it's antics, I've always been consistent in my praise for MA and his fiscal approach to running our club.
Under Fat Fred we had spend several years worth of future revenue and were close to the brink.
I believe the phrase is..

But for the grace of god there go I......

 

Mikes still a **** though. I don't mind his fiscal approach and getting us on an even keel but unfortunately his "other" traits as an owner are way too bad to ignore.

If they go under, can we just have Remy for nowt? Well its one less London club, there's too many anyway.

Seriously I hope for their fans sake that someone sorts that mess out. They need to be promoted this season or they will be in some serious ****e.

 

Mike's view is minimal spend rule, no matter the profit.

I just think Madrid paying £85m for a player and Man U saying well, we'll pay £105m for him is ridiculous.
Yeah, Manchester United make a ton of money more than anyone else, but they don't have that in the bank so shouldn't be able to spend it.
Loans within reason I say.
If you make £10m profit, fair enough, spend £12m, but not £20m.
And if you make a loss of £80m you should be paying that back before you splash out another £80m.

 

It'll be the ruin of more than one club before long.

 

Hope they do get fined, might make clubs spend with in their means, surprised they've brought in the players they have.

 

A few brown envelopes flying around no doubt.

 

What would happen, if say, Man City lost £100m - resulting in a £82m fine which needed to be paid next year. Would that fine then come out of that financial year's profit and loss or is it kept seperate? Who is allowed to pay it? Could the owner just say, "Oh! There you go! I'll pay your fine for you"?

 

This is a good post, Arry has done a good job at QPR so far and can not take any blame for the naivety of Mark Hughes and Tony Fernandes

 

If they then flout the rules I'm sure points will be deducted.
And we all know points can't be bought.... just ask Man Utd.