[Albion] Are we a better run club than Palace?

[Birdie Boy]

Good grief anyone who can’t see an improvement is a proper bell, Another day and no VAR we best West Ham, Burnley, Southampton with 12 points. We dominated Newcastle and an inch away from 3 points against a rival team to stay up. The results will start to come when the squad is fully fit again.

This.

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[Uh_huh_him]

Predicted to be a £30 mill loss.
The Wan Bissaka money came after the prediction, so hopefully that will be included in last seasons figures.

I think it has been reported that Palace have outstanding debts to other clubs for transfer fees.which are due this financial year.
The Wan Bissaka money is ear-marked for this, I suspect.

 

[Uh_huh_him]

As it happens I do think we are, overall, a better-run club than you and long-term we are on a better footing than you, but I don't think we're in a position where can gloat about our superiority as if it were set in stone.

Agree with this.

However I would say Tony Bloom's response to a financial loss and increased risk of relegation, was to ship out expensive players, reducing player costs, whilst looking to the manager to make use of the development squad (that he has invested heavily in.)

Parish's response to the same situation has always been to increase costs, leading him to a position where he was forced to sell his best young prospect to reduce the losses.The operating cost keeps increasing and the squad is getting older.

Yes, for us, sustainability is dependent on staying consistently in the top 23 clubs in the country and that will use up much of the increased income.
But Palace are unlikely to achieve that even if they manage to stay in the top 17.

Our superiority isn't set in stone, but Palace need to make some radical changes in approach to prevent the gap from widening.
IMO like.

 

[Bold Seagull]

Parish's response to the same situation has always been to increase costs, leading him to a position where he was forced to sell his best young prospect to reduce the losses.The operating cost keeps increasing and the squad is getting older.

When you say 'forced', are we seriously not taking £45m +add ons for a young full back coming through our academy? I'm not sure that is being forced, that is surely great business?

I'm pretty sure that is the one area where TB can see losses being mitigated, and perhaps why he felt the production line had stopped at Hughton's door. We haven't had a big money swoop yet, but now it appears we have talent coming through, I don't think forced is the right word if we had eye watering offers for one of our graduates, I think it's probably part of the business plan to have one or two hopefully going for big money.

If they do sell WZ, then that is potentially £100m+ they have made from 2 players they have developed. We could make £15-20m losses for 5 years if every half decade you discovered a couple of diamonds you could sell on.

 

[Uh_huh_him]

When you say 'forced', are we seriously not taking £45m +add ons for a young full back coming through our academy? I'm not sure that is being forced, that is surely great business?

I'm pretty sure that is the one area where TB can see losses being mitigated, and perhaps why he felt the production line had stopped at Hughton's door. We haven't had a big money swoop yet, but now it appears we have talent coming through, I don't think forced is the right word if we had eye watering offers for one of our graduates, I think it's probably part of the business plan to have one or two hopefully going for big money.

If they do sell WZ, then that is potentially £100m+ they have made from 2 players they have developed. We could make £15-20m losses for 5 years if every half decade you discovered a couple of diamonds you could sell on.

Yeah agreed it's absolutely great business. But only if it's being reinvested into the club, if it's for paying off Benteke, not so much.

 

[Bold Seagull]

Yeah agreed it's absolutely great business. But only if it's being reinvested into the club, if it's for paying off Benteke, not so much.

Agree, if you're mitigating managable running costs on a business model which sees you on a comparatively low salary / low transfer outgoing policy vs your income, then it is bonus income set against your costs. What you can't do is a run a model on which those unsecured transfer fees are an essential part of your accounting.

So while I agree [MENTION=177]Brovion[/MENTION] is right to be concerned and not just think it's all fine and dandy to have these losses, and what is the long term impact of operating in this way, there also has to be a view in commercial terms the academy is a factory producing products either saving us having to make £10m/£20m/£30m purchases in the future, or enabling us to sell to see a return.

On reflection of my own dismay at Hughton's sacking, the bigger picture for TB does look like a motivation to get the factory conveyor belt moving.

 

[Uh_huh_him]

Agree, if you're mitigating managable running costs on a business model which sees you on a comparatively low salary / low transfer outgoing policy vs your income, then it is bonus income set against your costs. What you can't do is a run a model on which those unsecured transfer fees are an essential part of your accounting.

So while I agree [MENTION=177]Brovion[/MENTION] is right to be concerned and not just think it's all fine and dandy to have these losses, and what is the long term impact of operating in this way, there also has to be a view in commercial terms the academy is a factory producing products either saving us having to make £10m/£20m/£30m purchases in the future, or enabling us to sell to see a return.

On reflection of my own dismay at Hughton's sacking, the bigger picture for TB does look like a motivation to get the factory conveyor belt moving.

This was exactly the same conclusion I came to after a few weeks of wondering what the hell was TB thinking?!
He saw youth teams performing well at all levels, playing a style of football, that wasn't going to make them useful to the first team.

He made the right call.
It might not work out of course, but it was going nowhere under Chris.

 

[TSB]

Financially: yes
Football side of things: no

 

[Uh_huh_him]

Financially: yes
Football side of things: no

What do you think Palace are doing right and we are doing wrong?