The Financial Situation (75 Viewers)

Paid-off-Ref

Senior Member
Dec 16, 2004
4,102
Did you guys read the fine print?

*Revenue projections assume the sale of Pogba for 100M E.
They estimate 340 million in operating revenue. The sale of Pogba would be revenue from player registration rights, which is not included in operating revenue. I assume that they take Pogba's sale into consideration because reinvesting the amount in other players would increase our amortisation dramatically. We don't need to amortise Pogba's contract since he signed for free, but should we reinvest the 100 million in other players on 4 year contracts our amortisation expense would increase by 25 million a year (100/4).

So they estimate us returning a profit in a few years despite this increase, which is a good thing.

Update:

Does anyone know if you subtract the gain in sale from players from they purchase price of reinvestments and therefore lower the amortisation base?
 

MikeM

Footballing Hipster celebrating 4th place with Tuz
Sep 21, 2008
12,849
They estimate 340 million in operating revenue. The sale of Pogba would be revenue from player registration rights, which is not included in operating revenue. I assume that they take Pogba's sale into consideration because reinvesting the amount in other players would increase our amortisation dramatically. We don't need to amortise Pogba's contract since he signed for free, but should we reinvest the 100 million in other players on 4 year contracts our amortisation expense would increase by 25 million a year (100/4).

So they estimate us returning a profit in a few years despite this increase, which is a good thing.
I was trolling but thanks for the clarification. I actually learned something. :tup:
 

Zacheryah

Senior Member
Aug 29, 2010
42,251
At last, Zach must be proud. @Zacheryah
You are damn right about that !

- - - Updated - - -

What's funny about it? They are running their club better than most.
Despite my dislike for arsenal, they are THE model to follow.


They have been building up their bank steadely, selling good players yes, over the years, whilst mostly keeping a high place in the EPL (mostly) and for a while, racked up the high CL finishes.


They waited a bit too long with it for my taste, but now they started investing in key positions with well tought out spendings, that are working.

They are financially in an excellent position to do so.


Juve should follow that. Dont take the big risks, but go break even and then keep a good level team and improve over finances, before doing the big riskfull purchases.
 

Vialli_92

Senior Member
Mar 7, 2013
6,500
Also Arsenal haven't won fuck all is because Wenger has proven to be tactically inept for the last 7-8 years? Their model is definitely the model to follow no doubt about that.
 

Scottish

Zebrastreifenpferd
Mar 13, 2011
10,265
Because they are a club/company with their finances under control and that stay competitive in a strong league as well as Champions League. The last few percentages that is required to win CL and PL has been on Arsenals side primarily 'cause there are three big spenders in English football.

How is that not a model to follow in modern football?

But let's call Chelsea and City role models instead?

It's limited how many clubs that can win a trophy each year, which makes Arsenal a great example to follow when it comes to a business model, heck even to some degree Wenger's lust for young players.

The idea of Arsenal being a laughing stock across this board is really pathetic, realising they have done better than Juve in CL the last 10 years.
Good post. The part in bold is the crux of it for me - they are a good business model but as Jay put so well they seem happy to keep ticking over at the level they're already at without any real ambition to take a step up. As Zach has pointed out they are now starting to make more expensive signings but they really don't seem to be making a step up with those - more keeping them at the same level they have been since they were winning league titles and FA cups ten years ago.

In your first paragraph, Maddy, you used the phrase 'stay competitive'. For me there is a crucial difference between staying competitive and challenging. keeping yourself in good financial health while coming third/fourth every year isn't really worth it in my book.
 

Prototype

Junior Member
Oct 22, 2009
364
Arsenal model is worthy, but Wenger tactics abillity are just awfull, it cost them dearly many times in big games, Wenger wanted to win on his on way, he didn't want to adapt. Thats one of the reasons why they didn't win nothing for such a long time
 

AFL_ITALIA

MAGISTERIAL
Jun 17, 2011
31,795
I would almost rather the club disband than become like Arsenal. Selling their best players every year, the loser mentality, the ridiculous level of delusion, never winning a damn thing and being proud of it... God no.
 

Valerio.

Senior Member
Jul 5, 2014
5,762
But how does this account for the huge variable of progression/failing in Europe?
Easy to manage in Europe you need pace,skills and intensity.
We lack in all of the aspects i listed. No players with pace nor dribbling Tevez might be the only one but that's it.
Due to our league we aren't used to high intensity games. We're used to team that park the bus or just sprint for 20-30mins and then drop and we get ahead with quality.
That's why our progression in Champions is so poor.
The only team which is similiar to us and did good was Atletico due to Simeone passing most of his life in Italy and player and coach before moving there.
They play the worst catenaccio ever but got quality players to counterattack when they can.
While we don't. Vidal ain't a dribbler with pace. He is a finisher if he get the ball inside the penalty area. Marchisio neither. Pirlo is like dead. Pogba a bit. While Pereyra is the kind of player that does good but he lack in finishing.

The saddest part is that we don't have the money to make a change. If we followed Conte advice and bought Sanchez+Cuadrado things could be different. But our pocket can't allow us to spend that much and that's pretty much about it.
 

AFL_ITALIA

MAGISTERIAL
Jun 17, 2011
31,795
Easy to manage in Europe you need pace,skills and intensity.
We lack in all of the aspects i listed. No players with pace nor dribbling Tevez might be the only one but that's it.
Due to our league we aren't used to high intensity games. We're used to team that park the bus or just sprint for 20-30mins and then drop and we get ahead with quality.
That's why our progression in Champions is so poor.
The only team which is similiar to us and did good was Atletico due to Simeone passing most of his life in Italy and player and coach before moving there.
They play the worst catenaccio ever but got quality players to counterattack when they can.
While we don't. Vidal ain't a dribbler with pace. He is a finisher if he get the ball inside the penalty area. Marchisio neither. Pirlo is like dead. Pogba a bit. While Pereyra is the kind of player that does good but he lack in finishing.

The saddest part is that we don't have the money to make a change. If we followed Conte advice and bought Sanchez+Cuadrado things could be different. But our pocket can't allow us to spend that much and that's pretty much about it.
I meant strictly in terms of our turnover in that graph :p
 

Valerio.

Senior Member
Jul 5, 2014
5,762
I meant strictly in terms of our turnover in that graph :p
oh that .... well we have money but we handle them in the wrong way.
We keep paying in installments and so our cash every summer is short cause we have to pay 28238238 players bought years prior.
We keep wasting lot of money on average players and keep wasting them on Serie A players. But the biggest problem is that we waste them on Serie A average players which is a league below the others league players.
The huge debt we have to repay isn't small either 200m or so. I dunno exactly how much % we have to pay every year and to who but i know we have to.
To that you gotta add that we're still paying the stadium.
So we're a average/mid-high team with the resources of a low badget team.
This year we might be in red for a few milions depending how further we progress in the champions league and if we win this campionato. Then our turnover might break even.
Ah i forgot to the stadium bills,debts yearly % we're investing a lot in infrastucture (Continassa) we're trying to break even keep our top spot and qualify for best 16° in Europe with a really low budget.
That every year we waste on 3-4 players. Players so average that don't bring us anything in the commercial area.

Situations isn't bad but neither good. We don't have a Gallian that knows everyone and can go to Real and ask Kaka and Diego Lopez for free and so on. Marotta uses his good eye only for the italian market and young kids.
 

Scottish

Zebrastreifenpferd
Mar 13, 2011
10,265
Easy to manage in Europe you need pace,skills and intensity.
We lack in all of the aspects i listed. No players with pace nor dribbling Tevez might be the only one but that's it.
Due to our league we aren't used to high intensity games. We're used to team that park the bus or just sprint for 20-30mins and then drop and we get ahead with quality.
That's why our progression in Champions is so poor.
The only team which is similiar to us and did good was Atletico due to Simeone passing most of his life in Italy and player and coach before moving there.
They play the worst catenaccio ever but got quality players to counterattack when they can.
While we don't. Vidal ain't a dribbler with pace. He is a finisher if he get the ball inside the penalty area. Marchisio neither. Pirlo is like dead. Pogba a bit. While Pereyra is the kind of player that does good but he lack in finishing.

The saddest part is that we don't have the money to make a change. If we followed Conte advice and bought Sanchez+Cuadrado things could be different. But our pocket can't allow us to spend that much and that's pretty much about it.
Niggah he's talking about how that financial projection can be made when there is a considerable variable of how much cash the club will get each year based on Champions League performance.

EDIT: Whoops, slow off the mark.
 

Users Who Are Viewing This Thread (Users: 0, Guests: 63)