Its wrong the smaller clubs get so much. they add nothing to the league.
what does juve make compared to the other teams in the league
what does juve make compared to the other teams in the league
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The Financial Situation (191 Viewers)
- Thread starter ReBeL
- Start date
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Well if they think the current distribution system is unfair and are going to fix it. Then they should def give considerably more rewards to the Scudetto winner, cuz right now it's nothing short of ridiculous.
Also appoint more money to CL spots and EL, so that the competition in mid table gets more attractive.
Also appoint more money to CL spots and EL, so that the competition in mid table gets more attractive.
Excellent but it was expected mostly because of money related to CL progress ( tickets+bonuses). That will drop in the last quarter mainly because our costs in every quarter are basically the same while revenues are influenced by seasonal events and there are less events in the final quarter.
This management is doing an amazing job till now. Agnelli and Marotta
This management is doing an amazing job till now. Agnelli and Marotta
I am doubt that we spend much money on transfer market in this summer even though we have worked well lately. As mentioned a press release from Juventus.com, we lost around 30 mln in last year, and expected to loss in this year despite improved income, so it will be around 40 mln loss in last 2 years which is very close to UEFA Financial Fair Play limits, which is allowed around the same amount as Juventus lost in last 2 years. So we need to result net earning in next year which to comply UEFA FFP and refrain ourself to spend much on the trasfer market. So we may either sell one of star player at high price to finance our transfer target or stay quietly in summer market. I think....
Well recording a profit doesn't necessarily mean that we'll have money to spend as that movement is recorded in Cash flow statement. Earning 13M doesn't mean we'll have 13M of cash to spend. In accounting there is factor of time as some revenues will be collected in 2, 3, 4 years but are part of this years profit. In the past couple of years more money exited than entered the club's account. Working Capital is an important factor. Current assets 80M - 214M of current liabilities. It's a negative one as you can see. We'll have some money but less what people are expecting. We'll mostly finance our purchases with an increase of net debt. Based on the past movements I would say 30-40M will be invested in addition to purchases of Isla, Asamoah and Peluso. With those players around 55-60M.
I guess we can borrow more money from banks to buy players we like.If I am not mistaken Financial Fair Play is all about net earnings Profit/loss so going into bigger debt is not automatically violation of FFP rules but eventually interest payed on that debt will cause a problem and if we increase our revenues enough simultaneously with increase of debt maybe interest burden wil not influence club to break FFP rules i.e. to go into significant loss for 2 or three years.
Debt won't influence FFP as long as interests are under control. We pay 4.7M so it's not much. It's the only way we can finance our purchases currently. Every year part of that debt was repaid and a new one was created. It increased in recent years due to a heavy investments in a squad. You can argue how it will impact other positions but that's too much for this thread.
I'm not an economist, but now we are in a leading position in italy, we should not take to big steps. Work up that turnover, do things from there
We got 40 mil ? fine, get Higuain and try to see wheter we can fit in a Zlatan or strengten any position with a good economic deal.
Look at bayeren, generating tons of cash, no dept, thats the way. Not barcelona who got a tremendous amount of dept. they are fine now, but if they get into a lesser decade, they could end up in trouble with all that dept.
La Liga has enough teams that choked on dept creating in fruitfull circumstances
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I mean, do we need dept ?
We can sign out quality asset with the budged at hands.
Serie a ? we domminated it this year, and keep ahead with the purchase of Higuain and LLorente alone.
Europe ? we got into QF with this team. With quality forwards, we can certainly push further. What will more cash do ? We should look first at what our current purchases will do.
We got 40 mil ? fine, get Higuain and try to see wheter we can fit in a Zlatan or strengten any position with a good economic deal.
Look at bayeren, generating tons of cash, no dept, thats the way. Not barcelona who got a tremendous amount of dept. they are fine now, but if they get into a lesser decade, they could end up in trouble with all that dept.
La Liga has enough teams that choked on dept creating in fruitfull circumstances
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I mean, do we need dept ?
We can sign out quality asset with the budged at hands.
Serie a ? we domminated it this year, and keep ahead with the purchase of Higuain and LLorente alone.
Europe ? we got into QF with this team. With quality forwards, we can certainly push further. What will more cash do ? We should look first at what our current purchases will do.
This is the first "normal" financial year for the club so understandably our income has increased dramatically compared to earlier seasons. Our stadium is built and we were in the CL where we entered the quarter finals. Now comes the tricky part in our growth mission to catch up with Europe. Agnelli talked about that we need a stable 350 million yearly income to stay competitive. This year's income should end at around 280 million.
So the question is, how do we boost our income next year? Raising ticket prices will only bring in a few million, nothing dramatic. We entered into a lousy sponsorship agreement with Jeep a year ago so we have to live with that for two more seasons. TV rights have been settled for the next few seasons as well so there is no growth potential there. Any ideas? Or do you think we'll be stuck with our current turnover until we renew our sponsorships/television deals?
So the question is, how do we boost our income next year? Raising ticket prices will only bring in a few million, nothing dramatic. We entered into a lousy sponsorship agreement with Jeep a year ago so we have to live with that for two more seasons. TV rights have been settled for the next few seasons as well so there is no growth potential there. Any ideas? Or do you think we'll be stuck with our current turnover until we renew our sponsorships/television deals?
That's the thing. We can't. It's almost impossible to grow ( buy good players ) without loans. There is time discrepancy between accounting for some revenue and receiving the actual money. We buy players in installments and we sell them the same way. But the revenues and the costs are accounted immediately. You must loan funds to finance your growth. I haven't seen Bayern's report but I doubt they are entirely debt free. It would mean they finance their business mostly through their own capital without liabilities something hard to believe.
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We can reach 300M in 2 years but as you said more than that will be the problem. The surrounding in which we exist will limit us. In order for us to grow other clubs must grow as well. What Juventus can do for themselves? We mostly generate our commercials domestically. I'm not just talking about shirt sponsor but we have other minor sponsors and their commercials are displayed on panels around the pitch. From Italian companies or subsidiaries of foreign companies located in Italy. We should go directly to the source. I can see Samsung agreement as the one which could open for us a lot of new ways. We are also regaining our appeal as Agnelli is doing a terrific job in that department.
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We can reach 300M in 2 years but as you said more than that will be the problem. The surrounding in which we exist will limit us. In order for us to grow other clubs must grow as well. What Juventus can do for themselves? We mostly generate our commercials domestically. I'm not just talking about shirt sponsor but we have other minor sponsors and their commercials are displayed on panels around the pitch. From Italian companies or subsidiaries of foreign companies located in Italy. We should go directly to the source. I can see Samsung agreement as the one which could open for us a lot of new ways. We are also regaining our appeal as Agnelli is doing a terrific job in that department.
Thats Agnelli's work. those 280 mil isnt just cause we are in the cl. Improving our image worldwide, increases marchandising and corporate income.
Currently thats the main source of improvement we can make
i have no idea how they do this. If its temporary dept that gets filled by the end of the year i'm fine.
for example, loan 40 mil and pay it back in 10 installments of 4mil+rent to the bank
Currently thats the main source of improvement we can make
i have no idea how they do this. If its temporary dept that gets filled by the end of the year i'm fine.
for example, loan 40 mil and pay it back in 10 installments of 4mil+rent to the bank
It can be non current and current. Current will be paid at the end of the year while non current will be paid through quite number of years. Around third of our debt 50M/150M is to Instituto per il Credito Sportivo and it was used for stadium development. Don't worry. We aren't in problems. As long as we generate enough liquid assets we should be fine.
That's about it. Some of that debt has 10 years of payment program.
That's about it. Some of that debt has 10 years of payment program.
Then i guess i'm a big fan of using current dept.
I misunderstood you. I tought you were saying "just get 100mil dept and buy 3 class players", much like spanish teams did around 2000.
Well, imo(and i'm not an economist), we should rely on calculating income, use current dept that we can be assured of (basically, current turnover till groupstage).
Try to get a positive balance, try to get to a point where we can have enough money that we can spend 30-40 mil without using current dept
I misunderstood you. I tought you were saying "just get 100mil dept and buy 3 class players", much like spanish teams did around 2000.
Well, imo(and i'm not an economist), we should rely on calculating income, use current dept that we can be assured of (basically, current turnover till groupstage).
Try to get a positive balance, try to get to a point where we can have enough money that we can spend 30-40 mil without using current dept