How Much Money Does Bristol City Have?

How much money does Bristol City have to spend this summer?
In-depth look at the finances at City and how it might affect transfers

The Championship is arguably one of the toughest leagues in the world to navigate because of the disparity between the haves and have nots - majorly influenced by Premier League parachute payments.

Head coach Lee Johnson also regularly refers to the league as being the fifth best in the world.

The financial cushion clubs are afforded, even for being relegated straight back to England's second tier, offers a huge financial advantage, though some clubs are so mismanaged that they even tumble down another division again, cough, Sunderland, cough.

Such discrepancy immediately makes things tougher for the likes of Bristol City, although as other clubs have shown, money is not everything.

The Robins announced a large operating loss of £17.12m last December for their 2016-17 accounts, offset by good profits from player trading - principally the club record sale of Jonathan Kodjia.

Profits on player trading was reported as £13.6m, helping Bristol City towards a more palatable loss of £3.26m overall.

Although the Robins reported a sizeable £13.2m loss in the year before, City need not worry about falling foul of Financial Fair play rules, of which there will be some scrutiny of Cardiff, unless they post losses of more than £20m for the next accounting period.

That is very unlikely to happen unless the club embarks on a spending spree. And given that City's senior hierarchy have explained that the aim is to become self-sufficient, that won't happen.

Further, because of the good Carabau Cup run this past season and improved revenues from the fully operational Ashton Gate - with likely increased commercial revenues and the best average attendances for 39 years boosting the coffers - and there will be some means for optimism on the financial front.

The club also recently announced record sales for season ticket sales for 2018-19 further swelling the finances.

CEO Mark Ashton recently said in his final programme notes of the season: "The largest average attendance at Ashton Gate for 39 years has been followed by record advance season card sales for next season - showing the club is moving in the right direction."

It was asked by one financial pundit earlier in the year if City need a big sale this summer. There's no financial imperative but if the Robins want to spend big they might need to sell big too as Lansdown won't countenance lavish spending.

And with several star players in delicate contract negotiations with the club there could yet be a chance of their top players being sold.

The outcomes of the discussions with Joe Bryan, Bobby Reid and Marlon Pack will likely dictate much of City's summer spending plans. With the Robins unable to record more than £39m losses over a three year rolling period (so £13m a year) there is some room for manouevre. However, it's unlikely that we'll see the club depart from that policy of looking to sign young an untested players than the tried and test from the Championship.

The odd snipe - such as Nathan Baker was - for Championship talents at reasonable prices could happen too. Daniel Johnson of Preston North End has been linked for one, and the midfielder only has a year on his deal.

There's also the Steve Lansdown effect with the owner likely to be happy underwriting some relatively decent investment as he does year on year at Ashton Gate.

There will then almost certainly be some money to spend with Lansdown retaining his ambition, whetted by nights such as the win over Manchester United back in December.

But significant sales will be needed for any significant spending of more than £5-10m, which would be similar to what the club reported spent last summer and an amount that could be swallowed up regarding FFP and the majority shareholder's existing commitment.

Those discussions with the key players could significantly change the landscape at Ashton Gate this summer, however.

https://www.bristolpost.co.uk/sport/football/football-news/how-much-money-bristol-city-1590057

 

Another thread ruined, boring and achieving nothing.