Everton £21 million in debt

[Braggfan]

I’m just throwing this out there to see what other people make of this, but I was reading an article on the BBC website that refers to Everton being £21million in debt. Is it just me or does anyone else find it baffling that a club that has been in the top flight for donkey’s years, is raking in tv money hand over fist, is still £21million in debt.
The link is about their new stadium, but it refers to their debt;
http://www.bbc.co.uk/news/uk-england-merseyside-34908063

Also just a quick google brings up this link which shows in 2014/15 season Everton made £77million.
http://www.telegraph.co.uk/sport/fo...oney-how-much-each-club-earns-in-2014-15.html

What on earth are they spending their money if they’re still in debt? I’m honestly perplexed that a club can be generating this sort of income and still be in debt. I’d be really worried if I was an Everton fan.

 

[Alex Alex Dawson oo! oo!]

You're surprised, really?
Do you know how much BHAFC (ie the football club/FL member, not the entity that owns the Amex and training Ground) is currently in debt?

 

[Gwylan]

Manchester United are more than £400m in debt - it's scarcely a problem for PL clubs as they can service it

 

[Braggfan]

You're surprised, really?
Do you know how much BHAFC (ie the football club/FL member, not the entity that owns the Amex and training Ground) is currently in debt?

I'm suprised that Everton are in debt. Brighton don't get anywhere near that tv revenue, and have just built an expensive new stadium and state of the art training complex so understandly have a large. Butt Everton have an old ground, are relatively tight with their transfers and have a strict wage structure. They're making £70million a year in tv rights alone , it just seems odd to me that they are in debt, because what are they spending their money on?

Man Utd, Chelsea, Man City I could see being in debt, because they spend a lot on transfers and wages,.

 

[LlcoolJ]

It may come as a surprise but they will be spending most of it on wages. Like every other club.

 

[Blue Valkyrie]

21 million isn't much in terms of the TV money they get, but they would perhaps be prudent to scale back their budget a bit in January, and maybe cash in on a player or 2 if they have any good U21s coming through.

 

[Braggfan]

It may come as a surprise but they will be spending most of it on wages. Like every other club.

I just googled and found out that they spend £69 million on wages. So I guess that will be it.

 

[Driver8]

I'm more surprised they expect the taxpayer to help them pay for their new ground.

 

[perseus]

http://swissramble.blogspot.co.uk/2015/11/everton-behind-blue-eyes.html

 

[Bevendean Hillbilly]

I'm surprised that it's as low as £21mill. Everton have been saying for years that they are stuck in a spiral of debt with a ground that is too small, with a crowd that enjoys a relatively low cost ST, low marketing revenue compared with the likes of Liverpool & their popular appeal and a PL wage bill.

Liverpool is a relatively small city with a poor economy. It isn't really capable of supporting 2 massive teams on a profitable basis.

 

[Blue Valkyrie]

http://swissramble.blogspot.co.uk/2015/11/everton-behind-blue-eyes.html

Crystal Palace top the 'Reliance on TV Revenue' league.

Modern football, eh ?

 

[nicko31]

I'm surprised that it's as low as £21mill. Everton have been saying for years that they are stuck in a spiral of debt with a ground that is too small, with a crowd that enjoys a relatively low cost ST, low marketing revenue compared with the likes of Liverpool & their popular appeal and a PL wage bill.

Liverpool is a relatively small city with a poor economy. It isn't really capable of supporting 2 massive teams on a profitable basis.

Liverpool is redeveloping Anfield, they should have just build one new stadium for both clubs both are as run down as the city itself..

 

[GT49er]

Liverpool is redeveloping Anfield, they should have just build one new stadium for both clubs both are as run down as the city itself..

Agreed. If ever there was a case for a ground-share, Liverpool and Everton was it.

....and Liverpool isn't exactly a 'small' city - relatively or otherwise - and its economy has come a long way in the thirty years since Deggsy Hatton, Thatcher and co.

 

[Bevendean Hillbilly]

http://swissramble.blogspot.co.uk/2015/11/everton-behind-blue-eyes.html

Wow. Thanks mate. What a well written financial summary that is.

It tells me two things:

1: I am talking out of my arse
2: Palace are reliant on TV rights for 82% of their revenue! And are at the very bottom of the pile alongside Swansea for match day revenue and marketing (kit sales) which confirms, for me,their noddiness.

 

[KZNSeagull]

I just googled and found out that they spend £69 million on wages. So I guess that will be it.

Under the new TV rights deal, there is a restriction on how much of that money can be spent on wages (something like 55%). So there is a large chunk of money that they can pay their debt off with right there, if they want to of course.

 

[Mackenzie]

Sell John Stones, debt cleared.

 

[NooBHA]

Listen.........I care not one jot about Everton's financial plight. If a poor man gets into debt, he pawns or sells his assets to ''Cash Convertors'' or similar high street mercenaries. Everton could have done the same with a sale of John Stones to Chelsea when they had the offer. So they are where they are through their own choosing and I for one will not be losing any sleep over a club who sits on the level of assets they have

 

[Alex Alex Dawson oo! oo!]

I'm suprised that Everton are in debt. Brighton don't get anywhere near that tv revenue, and have just built an expensive new stadium and state of the art training complex so understandly have a large. Butt Everton have an old ground, are relatively tight with their transfers and have a strict wage structure. They're making £70million a year in tv rights alone , it just seems odd to me that they are in debt, because what are they spending their money on?

Man Utd, Chelsea, Man City I could see being in debt, because they spend a lot on transfers and wages,.

BHAFC Ltd's accumulated debt of £60.7M (as at June 2014) has nothing to do with the building costs of the Amex stadium or training ground. The football club makes a loss just about every year, and 2013/14 was no different, due to expenditure (£32.5M) exceeding income (£24M); this is largely due to the wage bill/staff costs (£20.3M).

In 2013/14 Everton FC posted a pre-tax profit of £28M; their turnover was £121M (up £35M) and wage bill £69M (up £6M). They also paid down £17M of debt to the £28M figure you've quoted.

Everton FC didn't 'make' £77M in 2014/15, that clearly implies profit; this is money that the Telegraph calculates they will have received as income from the PL distribution as merit payments, from TV deals etc.

 

[Pretty pink fairy]

I’m just throwing this out there to see what other people make of this, but I was reading an article on the BBC website that refers to Everton being £21million in debt. Is it just me or does anyone else find it baffling that a club that has been in the top flight for donkey’s years, is raking in tv money hand over fist, is still £21million in debt.
The link is about their new stadium, but it refers to their debt;
http://www.bbc.co.uk/news/uk-england-merseyside-34908063

Also just a quick google brings up this link which shows in 2014/15 season Everton made £77million.
http://www.telegraph.co.uk/sport/fo...oney-how-much-each-club-earns-in-2014-15.html

What on earth are they spending their money if they’re still in debt? I’m honestly perplexed that a club can be generating this sort of income and still be in debt. I’d be really worried if I was an Everton fan.

players wages
regards
DR

 

[NooBHA]

BHAFC Ltd's accumulated debt of £60.7M (as at June 2014) has nothing to do with the building costs of the Amex stadium or training ground. The football club makes a loss just about every year, and 2013/14 was no different, due to expenditure (£32.5M) exceeding income (£24M); this is largely due to the wage bill/staff costs (£20.3M).

In 2013/14 Everton FC posted a pre-tax profit of £28M; their turnover was £121M (up £35M) and wage bill £69M (up £6M). They also paid down £17M of debt to the £28M figure you've quoted.

Everton FC didn't 'make' £77M in 2014/15, that clearly implies profit; this is money that the Telegraph calculates they will have received as income from the PL distribution as merit payments, from TV deals etc.

In years gone by they had a few big deal sales and that includes compensation payments for Moyes to Man Utd. Last year they decided not to sell one of their assets and that was their choosing. They are obviously a selling club like almost every other club. Even the Big boys with the exception of a few rely on doing well in the transfer market. When this fails they fail financially