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Financial implications of survival / New TV money


danceoftheshamen
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OK so we are safe!.. :hooray:

 

Of course this is fantastic news but what does it mean financially for this club now? Just how much will we get from the new tv money incoming? & also with FFP having been passed through (although apparently now in the courts?) even though we have this new found wealth..just how much can we spend? Indeed how much will Randy allow Lambo to spend? Then there is the fact that some of the big contracts which have massively tied up wages will be ending so surely it's all great news isn't it?!

 

More questions than answers really though & with most of us being caught up in working out the worse case scenario's if we got relegated i don't think we have allowed ourselves much time to speculate on what happens now we have survived!..

Edited by danceoftheshamen
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Interesting questions. The new prize money doesnt kick in till the end of next season isnt it? the prize money allocation?

Edited by KSV
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OK so we are safe!.. :hooray:

 

Of course this is fantastic news but what does it mean financially for this club now? Just how much will we get from the new tv money incoming? & also with FFP having been passed through (although apparently now in the courts?) even though we have this new found wealth..just how much can we spend? Indeed how much will Randy allow Lambo to spend? Then there is the fact that some of the big contracts which have massively tied up wages will be ending so surely it's all great news isn't it?!

 

More questions than answers really & with most of us being caught up in working out the worse case scenario's if we got relegated i don't think we have allowed ourselves much time to speculate on what happens now we have survived!

 

It is great news compared to the alternative.

 

Don't forget though its a relative windfall - (all clubs get it) - so it doesn't give us any more financial muscle.

You could also argue argue that a proportion of it will be used to reduce the clubs debt - which seems more of our owners focus, than investing in players, staduims etc.

 

FFP - only applies to clubs competing in europe. Its easy to get around if you want to - legally I would be 90% sure it would fail a 'restraint on trade' test. - If clubs want to invest huge some in players thjey will - those that don't will use it as an excuse not to.

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Interesting questions. The new prize money doesnt kick in till the end of next season isnt it? the prize money allocation?

 

I don't think so no but most clubs "spend in advance" anyway don't they? so it still should impact our spending prowess surely?..that is if we're allowed to spend it with FFP :lol:

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How much extra money would we get for finishing a few positions above from where we are now? 

 

(Spurs v Sunderland, Villa v Wigan)

I'd say every two places would be equivalent to a Paul Lambert lower league signing.

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How much extra money would we get for finishing a few positions above from where we are now? 

 

(Spurs v Sunderland, Villa v Wigan)

 

Apparently according to BOF it's £750.000 per place.. so about 3.75m ish if we finished 11th

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So with Dunne likely leaving, Bent, Petrov's contract ending & no doubt some others off... that coupled with the ability to spend (albeit in advance technically against the new influx of money) should give us quite a lot more spending power than we had previously. Although as some have mentioned this will be irrelevant to a point as every other Prem club also gets the same influx of money... The big thing here though is we will now have a "hole" in the wage bill which according to the club is what has been holding us back over the last few years... So we should at least now be able to at least be competitive in the transfer market again shouldn't we?

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At least it means we should be more competitive buying from abroad. This extra money will only contribute to increase the prices for players that are bought and sold between Prem clubs. 

 

The sensible thing to do is to buy a couple of lower league players with potential. And a few quality signings from abroad. Save some money, as player wages will increase as a result as well. But not immediately.

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No one really knows what the owner is thinking. He might spend or he might pay down out debts (to himself)

 

I think there will be a scenario where the money gets split between both these options. It will be interesting to see if we have made a loss this year again, I think we will have considering we have had quite a few high earners on the books still. Maybe Lerner will use some of the money to cover this loss and the balance on transfers.

 

At least we won't have to put any of the money into paying off a useless manager this summer which will be a nice change for Lerner!

Edited by DelboyVilla
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At least it means we should be more competitive buying from abroad. This extra money will only contribute to increase the prices for players that are bought and sold between Prem clubs.

The sensible thing to do is to buy a couple of lower league players with potential. And a few quality signings from abroad. Save some money, as player wages will increase as a result as well. But not immediately.

Yes, scouting abroad is going to be more important than ever. That's where prem teams will have an advantage with the extra funds.

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