FFP Rules Died Today

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Peter in Blackpool
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FFP Rules Died Today

Post by Peter in Blackpool » Mon Jul 13, 2020 3:25 pm

So apparently owners can now buy a second company and get them to pay millions over the odds for sponsoring their club....and it seems that UEFA can do SFA about it.

Any rule that is not enforceable may as well be scrapped.

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Re: FFP Rules Died Today

Post by YorkshireSquare » Mon Jul 13, 2020 3:33 pm

Peter in Blackpool wrote:
Mon Jul 13, 2020 3:25 pm
So apparently owners can now buy a second company and get them to pay millions over the odds for sponsoring their club....and it seems that UEFA can do SFA about it.

Any rule that is not enforceable may as well be scrapped.

Always been the way hasn't it? Owners sponsporing the team's shirts, naming the stadium?

I genuinely don't have an issue with owners piling money into clubs if they can afford it. What I do have an issue with is owners leveraging debt against the club, doing a runner and then them going into admin. That is the bigger threat to clubs, particularly in the Championships where the revenues are generally not sustainable.
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weasel
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Re: FFP Rules Died Today

Post by weasel » Mon Jul 13, 2020 4:04 pm

YorkshireSquare wrote:
Mon Jul 13, 2020 3:33 pm
Always been the way hasn't it? Owners sponsporing the team's shirts, naming the stadium?

I genuinely don't have an issue with owners piling money into clubs if they can afford it. What I do have an issue with is owners leveraging debt against the club, doing a runner and then them going into admin. That is the bigger threat to clubs, particularly in the Championships where the revenues are generally not sustainable.
100% agree with you. I don't have a problem with owners splashing their cash as long as if it goes tits up the debt lies with them not the club. There is a miniscule chance that Man City's owner will ever get into financial trouble and as such why shouldn't they be able to pump money into the club? FFP is supposed to 'protect' clubs yet what happens when a club breaks the rules - they are fined or kicked out of the Champions League. So how do either of those punishments help a club from getting into financial trouble as both sees the club lose millions of pounds.

The problem is with these owners who buy a club and then effectively use it to make money for themselves. Splitting the club into several companies so that one company has all the debt risk, players wages etc, and another company has all the assets such as the stadium. They pump a bit of money into the club but have it as a loan to themselves or their mates and charge extortionate interest rates. They also pay themselves a handsome salary. These parasites suck the money out of the club because putting the club into debt (by loaning them the money to buy players etc) actually earns them money (because of the huge interest on the loan). They don't have the interests of the club at heart but simply fleece the club and also hope they make it to the premiership so they can make a huge profit. They are taking money from the club and jeopardising the club's financially - unlike the Man City owners.

They should regulate the clubs properly and scrutinise what income they have, if it is a ridiculous loan for example then not allow it and actually make clubs run themselves properly.
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Peter in Blackpool
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Re: FFP Rules Died Today

Post by Peter in Blackpool » Mon Jul 13, 2020 4:39 pm

FFP is to stop owners pumping money into a club to win honours.

Remember Jack Walker at Blackburn, he bought them the title.

Its not about how good the club is, nor even about how profitable the club is....the title goes to the chairman who pumps the most money into their club, or at least their club gets an unfair advantage.

If FFP had been around in Ridsdale's time it would have protected us from almost ceasing to exist.

I dont have a problem with owners using their club to make a profit for themselves, after all it is supposed to be a business, my problem is megarich sheiks et al trying to buy a pl title at the expense of clubs who do not have a sugar daddy

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Re: FFP Rules Died Today

Post by weasel » Mon Jul 13, 2020 5:13 pm

Peter in Blackpool wrote:
Mon Jul 13, 2020 4:39 pm
FFP is to stop owners pumping money into a club to win honours.

Remember Jack Walker at Blackburn, he bought them the title.

Its not about how good the club is, nor even about how profitable the club is....the title goes to the chairman who pumps the most money into their club, or at least their club gets an unfair advantage.

If FFP had been around in Ridsdale's time it would have protected us from almost ceasing to exist.

I dont have a problem with owners using their club to make a profit for themselves, after all it is supposed to be a business, my problem is megarich sheiks et al trying to buy a pl title at the expense of clubs who do not have a sugar daddy
Huge difference between owners making a profit and bleeding a healthy club dry and watching it go into administration as they walk off into the sunset with millions.

And why should City be penalised if they sponsor themselves and pay more than someone else would? Who decides what is the amount that someone can sponsor a club? When you look at all the amazing stuff that the owners have done for the City of Manchester with all the redevelopment of land near the stadium, building sporting facilities etc then there is no way that they are endangering the club in any way. They haven't just come in and splashed money on big names they have spent fortunes on improving all aspects of the club. They are running it as a business and I doubt it will be long before they run it at a profit.

FPP is simply a way that the football elite clubs are trying to protect themselves from other clubs muscling in on their positions. The Man Utds, Barcelonas, Real Madrids etc don't want teams stopping them from being the global superpowers. The clubs who chucked loads in and got themselves to the front before FPP rules came in want to stay there.
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Re: FFP Rules Died Today

Post by YorkshireSquare » Mon Jul 13, 2020 6:03 pm

Peter in Blackpool wrote:
Mon Jul 13, 2020 4:39 pm
If FFP had been around in Ridsdale's time it would have protected us from almost ceasing to exist.

Really? Our debts weren't huge, there are clubs operating in the Premmier League now with far higher debts not breaching FFP.
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Re: FFP Rules Died Today

Post by gessa » Mon Jul 13, 2020 6:36 pm

YorkshireSquare wrote:
Mon Jul 13, 2020 6:03 pm
Really? Our debts weren't huge, there are clubs operating in the Premmier League now with far higher debts not breaching FFP.

Chelsea were in as much, if not more debt than us but Bates was a much much better poker player than Ridsdale.
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Re: FFP Rules Died Today

Post by YorkshireSquare » Mon Jul 13, 2020 7:13 pm

gessa wrote:
Mon Jul 13, 2020 6:36 pm
Chelsea were in as much, if not more debt than us but Bates was a much much better poker player than Ridsdale.

I think our debt peaked at £119m, Spurs currently have debts of £637m.
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Re: FFP Rules Died Today

Post by gessa » Mon Jul 13, 2020 7:18 pm

YorkshireSquare wrote:
Mon Jul 13, 2020 7:13 pm
I think our debt peaked at £119m, Spurs currently have debts of £637m.

Wow! Outrageous that it's allowed to go that far.
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Re: FFP Rules Died Today

Post by billysboots » Tue Jul 14, 2020 8:49 am

Suppose it depends on your ability to service the dept, Ridsdale couldn’t pay ours.
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