The Rock says...
New member
- Jul 19, 2013
- 97
Inevitably life under FFP will make us leaner and meaner and have to live within the rules, making shrewd transfer dealings even more of a necessity.
That will take away most Championship clubs option of buying their way into the Prem, unless they have parachute payments.
The promoted Clubs may appear to be minted on paper but will still have to be prudent because they will now have spiralling wage bills spurred on by players agents demanding Prem level rewards. Plus prospective signings will know there is more money to be had. However that Prem money is finite and will rapidly diminish especially if outgoings cannot be offset by gate income and by selling their best players etc. The cost of servicing the operating costs of any stadium and Prem level training complex are significant so there are other drains on the funds. Often they are 'asset poor' and don't own their stadium or cannot unlock funding because there are other constraints.
I would suggest that many lesser Prem clubs are not self sufficient and only exist courtesy of the TV money and / or billionaire owners, and not because they are viable businesses. In effect they have an artificial existence bought on someone's else's money, a sort of financial life support machine and if that someone unexpectedly pulls the plug then it will all be over. There must be some interesting business plans out there with sums that do not add up.
OK it may be harder for us to get to the Prem under FFP but may do us a big favour it the short/medium term by making it happen without breaking the bank. We have a CEO who is focused on reining in debts and bringing us closer to financial equilibrium. It won't be easy but must help knowing we have a state of the art stadium, very decent crowds, a blue chip sponsor and an owner who has delivered on all of his promises, is in it for the long haul and won't disappear overnight.
Good post.