I'm afraid the money from a Jacob sale will have to go towards avoiding a huge loss rather than to funding big spending elsewhere. Last accounts showed an operating loss of £21m and a wage rate of 130% of revenue. FFP rules state that accumulated losses over 3 period not to exceed £39m + there is this new rule coming in soon that wage/revenue ratio has to be less than 0.7. The £21m operating loss was offset by sale of KLP so loss for that year was just £5m. But this years accounts are likely to be a horror story. I'm afraid that us and Ipswich went all in in Jan but we didn't make it.
We will likely be ok. Yes some will need to balance the books but in reality we wont be having a huge operational loss.
Man city will sell him to the club that gives them the best deal, if multiple clubs offer deals that match etc then it will be up to delap. In that case we should have an edge, but that edge will soon be meaningless if a better contract is on offer elsewhere.
I really don't share your optimism. Quite a few loans from top division clubs do not usually come cheap. I'd be expecting the wage bill to be equivalent or even higher than the one before. Attendance may have been up a bit but we know how little that counts for revenue. So I don't see any real reason that the loss won't be another £20m+ which is totally unsustainable.
Even if it was a £20m operational loss that still allows for some wiggle room. With a player sale it basically resets the clock. From an FFP standpoint I dont see us going over. If both JG and JP are sold you're looking at £40m-£50m in sales. That still leaves a decent wedge to play around with.
I'm with Cityzen, I don't think those figures are realistic, not even close. I think clubs like Cov, M'Boro and West Brom (if they are still here) are in a better position than us at this point in time - they kept their powder relatively dry last season and have superior managers. There will still be at least one of Leeds and Southampton in there too (though they may also be forced to cut their cloth). I just think we risked our funds in Jan, it hasn't worked out and that has now left us at a disadvantage re our rivals starting next season.
I don't think so. I think the fact that premier league clubs are struggling with FFP is putting a cap on expenditure of the teams that would likely be interested. Its also unclear what buy-back arrangements Villa have on JP. I've heard rumours, but some of them make little sense ... like they have to match another team's offer (in which case what value is the buy back) or that it is only triggered if we are in same division as them (again ... why would they accept that as a clause?). I would have thought somewhere in the region of £25m-£30m tops. And that means our two best players gone just to wipe out loss. Couple that with the fact i don't think any other team relied on loans like we did last season leaves us with quite a bare starting team. Our scouting network is quite impressive I suppose. Philogene was a fantastic buy and we don't have to go back too far to the likes of Jared. But overall I think there are more reasons to expect a more modest season next year than enjoyed this.
Played about 30 mins all season on loan. Doesn’t train well and a rumoured bad egg. I’d pass on him based on what I’ve read
I’ve had this thought too on possible buying clubs. The Premier League teams are skint, Januarys transfer window was telling!
Liam Rosenior says Hull City's January business was carefully managed, planned and executed and firmly within the strict Financial Fair Play (FFP) rules imposed by the EFL. Some observers outside of East Yorkshire have raised questions about their perception of how the Tigers have operated during January, with Rosenior firing back at those claims earlier this week, and he says the club continue to live within their means. The Tigers boss says any finance spend Acun Ilicali sanctions will never, ever be at the risk of the football club, and that the overall budget he's working with is certainly not one of the highest in the league. City signed seven players in January with a mix of loan and permanent arrivals while 12 left the club, again, a combination of temporary and permanent, in a bid to balance the books. "Honestly, I'm so thankful to Acun (Ilicali) and Tan (Kesler) for the backing they give me, but I also know that it will never be at the expense of the long-term sustainability of this football club," Rosenior told Hull Live. "Acun loves this club, I love this club. We would never ever gamble the club's future for short-term success. Where we are in terms of us, and this is something that's really, really important, our budget is nowhere near what most Championship clubs are. "That's the reality because of spending that's happened before at this club, we are now accelerating in terms of the revenue because we've got more fans coming in. We've got more season tickets, we've got more merchandise being sold and we're trying to accelerate the process on the pitch. "But we're not doing that beyond our means. Everybody's speaking about our incomings at different clubs, nobody's speaking about the outgoings, whether it's Oscar(Estupinan), whether it's Allahyar, whether it was (Dogukan) Sinik, whether it's Ruben Vinagre, there were so many players that - Tan did an amazing job will win them in terms of managing the finances in the right way in balancing the books." Sounds alright to me.
West Ham who are rumoured favourites have money to spend. They spent over £120m this season and still had money left after the Rice and Scamacca sales. They're going to sell Paqueta to City for £80m this summer so will spend heavily again. We've sold well under Acun so far. £15m for KLP, £2m for Sayyadmanesh, £1.5m Tetth. All probably above market value and you'd have to back him to do it again
Prem sides being skint also means on the flip side, that they have more incentive to trade out for less money rather than stockpile talent. Either way, the market is going to be the same for all clubs, relatively speaking.
We had quite a lot of headroom from the last 2 years that we likely cashed in this year, no doubt. Of course last year's 21m losses were offset by the KLP fee, so we can carry that unused investment over to this year. We've probably only used a third of our permitted losses in the last 2 years of the current reporting period. Also consider the natural trimming of the wage bill with contract expiries and anticipated asset disposals this summer . We are really quite lean in terms of future contractural liability from this summer onwards. I think there's potentially more wiggle room in the summer than first glance suggests.
