According the lottery article, in theory you could be a billionaire but only able to spend an extra £4m
But, couldn't "your" company pay £Xm for the shirt sponsorship, ie. "Company X" pay £10M a year for the advertising, which goes straight into the playing/squad funds ?
According the lottery article, in theory you could be a billionaire but only able to spend an extra £4m
But, couldn't "your" company pay £Xm for the shirt sponsorship, ie. "Company X" pay £10M a year for the advertising, which goes straight into the playing/squad funds ?
I'm not sure about the Football League fair play rules but the UEFA have said for their fair play rules they will specifically clamp down on marketing revenues which are significantly above market rate designed to frustrate the rules. Quite how you establish the going rate for naming a stadium God only knows.
To be honest I think the FL FFP rules sound good in principle. The vast majority of the time these "billionaire" owners aren't investing their own money but leveraging a ridiculous amount of debt in an industry which has Wild West levels of regulation. Even if it was their own money, do we really want these 92 centuries old institutions which, in many cases, are part of the fabric and history of their local communities and collectively form what England is probably most famous for in the contemporary world to become the playthings of rich oligarchs/sheiks ?
According the lottery article, in theory you could be a billionaire but only able to spend an extra £4m
But, couldn't "your" company pay £Xm for the shirt sponsorship, ie. "Company X" pay £10M a year for the advertising, which goes straight into the playing/squad funds ?
Thats why I said in theory, it will be very interesting to see what happens on that front and in general
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According the lottery article, in theory you could be a billionaire but only able to spend an extra £4m
But, couldn't "your" company pay £Xm for the shirt sponsorship, ie. "Company X" pay £10M a year for the advertising, which goes straight into the playing/squad funds ?
I'm not sure about the Football League fair play rules but the UEFA have said for their fair play rules they will specifically clamp down on marketing revenues which are significantly above market rate designed to frustrate the rules. Quite how you establish the going rate for naming a stadium God only knows.
To be honest I think the FL FFP rules sound good in principle. The vast majority of the time these "billionaire" owners aren't investing their own money but leveraging a ridiculous amount of debt in an industry which has Wild West levels of regulation. Even if it was their own money, do we really want these 92 centuries old institutions which, in many cases, are part of the fabric and history of their local communities and collectively form what England is probably most famous for in the contemporary world to become the playthings of rich oligarchs/sheiks ?
Yes the new rules will put an absolute limit on the amount of new debt going into a club each season. Any other losses will have to be met with new equity. This means that when a club is sold on the owners will not be able to leave it with mountains of debt which will never be serviced, let alone paid off.
Reduction of losses should ensure that clubs are run on long term principles and not quick fixes which only lead to higher payouts for players and agents plus of course high turnover in managers. No coincidence that the best results at CAFC have been when the management has been allowed to get on with their job within agreed budget constraints.
Comments
castrust.org/footy-biz/ffp/
Comments and questions please!
Phil Harlow@Phil_Harlow21h
Excellent analysis of how FFP will affect the Championship. MT "@CAStrust: The practical implications of FFP http://bit.ly/1725JZ6 #cafc"
To be honest I think the FL FFP rules sound good in principle. The vast majority of the time these "billionaire" owners aren't investing their own money but leveraging a ridiculous amount of debt in an industry which has Wild West levels of regulation. Even if it was their own money, do we really want these 92 centuries old institutions which, in many cases, are part of the fabric and history of their local communities and collectively form what England is probably most famous for in the contemporary world to become the playthings of rich oligarchs/sheiks ?
Reduction of losses should ensure that clubs are run on long term principles and not quick fixes which only lead to higher payouts for players and agents plus of course high turnover in managers. No coincidence that the best results at CAFC have been when the management has been allowed to get on with their job within agreed budget constraints.