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Somebody please explain FFP



drew

Drew
NSC Patron
Oct 3, 2006
23,608
Burgess Hill
Well yes, I have seen that. Not sure it has been confirmed yet though. I don't see what it has got to do with the Premier League though as the rule infringements occurred when the clubs were in the Football League. But as per usual, the PL is behaving like a closed shop. The FL have got to grow some balls and fast!

The PL are involved because the fines apply to promoted clubs who are then members of the Premier League and no longer members of the Football League. The FL therefore need the co-operation of the PL to impose fines.
 




portslade seagull

Well-known member
Jul 19, 2003
17,947
portslade
I suspect that we may one of only a handful of clubs that are taking this seriously. If implemented correctly and as per the current regulations, we will get quite a windfall from the promoted teams and have the pick of the championship players that other clubs have to offload. Will believe it when I see it though.

This will never happen, it will go to court before any clubs pass any money over to the league
 






Bakero

Languidly clinical
Oct 9, 2010
14,883
Almería
I was talking to Forest fan about this a couple of days ago. He reckons they've found loopholes to legitimise their spending and aren't in danger of sanctions.
 




mwrpoole

Well-known member
Sep 10, 2010
1,519
Sevenoaks
I was talking to Forest fan about this a couple of days ago. He reckons they've found loopholes to legitimise their spending and aren't in danger of sanctions.

Was this the new sponsorship deals from the owners, similar to Man City's new sponsorship deal with their owners.

It's the obvious way round it. The FL say they will investigate any deals which appear to be 'dodgy' but what realistically can they do about it.
 


Bakero

Languidly clinical
Oct 9, 2010
14,883
Almería
Was this the new sponsorship deals from the owners, similar to Man City's new sponsorship deal with their owners.

It's the obvious way round it. The FL say they will investigate any deals which appear to be 'dodgy' but what realistically can they do about it.

Sponsorship deals etc were mentioned. The details are hazy as I had this conversation on NYE.
 


Dorset Seagull

Once Dolphin, Now Seagull
So if we end up being the only club that meet the FFP criteria does that mean that we will be unable to sell any players because all the other clubs will not be able to purchase them? Also presumably all the unhappy players at all the other clubs will be pretty pissed off as there will only be 1 club in the transfer buying market ( ie Us ) so they will have to stay put? Plus our negotiating power in transfer dealings will be staggering as all the other teams will be trying to offload unhappy high earners to us and only us.

Have I got that right because it has massive implications for players on longer contracts and if this scenario were to happen, and seems possible as we appear to be the only club taking it seriously, it opens up all sorts of other issues.
 




SeagullSongs

And it's all gone quiet..
Oct 10, 2011
6,937
Southampton
So if we end up being the only club that meet the FFP criteria does that mean that we will be unable to sell any players because all the other clubs will not be able to purchase them? Also presumably all the unhappy players at all the other clubs will be pretty pissed off as there will only be 1 club in the transfer buying market ( ie Us ) so they will have to stay put? Plus our negotiating power in transfer dealings will be staggering as all the other teams will be trying to offload unhappy high earners to us and only us.

Have I got that right because it has massive implications for players on longer contracts and if this scenario were to happen, and seems possible as we appear to be the only club taking it seriously, it opens up all sorts of other issues.

To Championship clubs, yes.

Does the embargo affect loans?
 


portslade seagull

Well-known member
Jul 19, 2003
17,947
portslade
All the times there are loop holes FFP is a complete waste of time as sooner or later all clubs will be bypassing it
 


Acker79

Well-known member
NSC Patron
Nov 15, 2008
31,921
Brighton
Apparently we are only looking to bring Conway back so presuming the budget is around five million going by the previous two seasons, how much are we paying the loan signings? because if its most of the budget then it seem a whole lot of money wasted IMO.

Firstly, loans do cost money, there are portions of wages of course, but some loans also require fees. Some clubs insert clauses that mean you pay more if you don't play them.

Secondly, the budget is ambiguous. We see "Ulloa signs for £2m, on a four year deal", and think "ooh, the club spent £2m in that transfer window". Whereas under FFP, that fee is spread out over the course of the contract, so we only "spent" half a million on him last season, and have spent half a million on him this season and in each of the next two.

Given that interpretation of "budget" it would appear our budget for the last two seasons (which was slightly increased this season) isn't actually near £5m, and so having spent most of it on Ward, Chicksen, Upson, Agustien, Conway, Lita, Andrews, with new contracts for Lopez and El Abd, (was maksimenko in the last window or the one before?) and taking the budget as significantly less than £5m, covering wages, signing on fees, loan fees, agents fees, transfer fees, there being not much left isn't that surprising.
 






drew

Drew
NSC Patron
Oct 3, 2006
23,608
Burgess Hill
So if we end up being the only club that meet the FFP criteria does that mean that we will be unable to sell any players because all the other clubs will not be able to purchase them? Also presumably all the unhappy players at all the other clubs will be pretty pissed off as there will only be 1 club in the transfer buying market ( ie Us ) so they will have to stay put? Plus our negotiating power in transfer dealings will be staggering as all the other teams will be trying to offload unhappy high earners to us and only us.

Have I got that right because it has massive implications for players on longer contracts and if this scenario were to happen, and seems possible as we appear to be the only club taking it seriously, it opens up all sorts of other issues.

We can sign out of contract players and overseas players.
 


Seagull on the wing

New member
Sep 22, 2010
7,458
Hailsham
There is, as I understand it, no windfall for clubs that adhere to the rules. I believe the Premier League and/or their sponsors, baulked at the idea of money that should go to Premier teams being paid to league teams. That was the original idea by the FL but was never ratified by the Premier League. Money likely to go to charity.
But they don't baulk at parachute payments...which to my mind is a reward for failure...
 






Machiavelli

Well-known member
Oct 11, 2013
17,770
Fiveways
We will stick to a capped loss of 8 million pounds.

How come? This is the amount we've lost over the past two seasons. Barber keeps on saying that he's made savings of £2m in operating costs since then. Also factor in that gate receipts have gone up by a few thousand (with all those extra pies and pints sold), we have better sponsorship deals, and we're in all likelihood flogging more sh!t.
 


Machiavelli

Well-known member
Oct 11, 2013
17,770
Fiveways
Firstly, loans do cost money, there are portions of wages of course, but some loans also require fees. Some clubs insert clauses that mean you pay more if you don't play them.

Secondly, the budget is ambiguous. We see "Ulloa signs for £2m, on a four year deal", and think "ooh, the club spent £2m in that transfer window". Whereas under FFP, that fee is spread out over the course of the contract, so we only "spent" half a million on him last season, and have spent half a million on him this season and in each of the next two.

Given that interpretation of "budget" it would appear our budget for the last two seasons (which was slightly increased this season) isn't actually near £5m, and so having spent most of it on Ward, Chicksen, Upson, Agustien, Conway, Lita, Andrews, with new contracts for Lopez and El Abd, (was maksimenko in the last window or the one before?) and taking the budget as significantly less than £5m, covering wages, signing on fees, loan fees, agents fees, transfer fees, there being not much left isn't that surprising.

Bloom said in his xmas missive that he had planned to reduce the playing budget by 6%, but Barber's good work, etc, meant that it was staying the same as last year. This leads on to the question of whether all of this has been spent (you mention all the players coming in, but you could equally construct one of all those that left in the summer -- I'll leave you to do this, you're far more proficient at such things than I). The club had to react to the injury situation and brought in Conway and Lita. At the start of the season, the club would probably have reserved a portion of the budget for this transfer window, alongside contingencies. It's just whether the latter has already eaten into the former. The Argus did report the other day that it would be difficult to sign Conway. The question on this is whether it's the case, or if it's just a negotiating strategy.
 


sparkie

Well-known member
Jul 17, 2003
13,267
Hove
This - and BHAFC are not immune from using such loopholes - e.g. rent free use of stadium and interest free loans.

Those are not FFP loopholes. There is no rule nor justification for compulsory rent on stadium use, nor should the league set interest rates on loans.

Sometimes you sound like an undercover palace fan ( joke ) :lolol:
 
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KZNSeagull

Well-known member
Nov 26, 2007
21,092
Wolsingham, County Durham
We cannot stick to a capped loss of 8m long term - 8m this season, 6m next and 5m thereafter.

FFP is being met with a lot of cynicism. I hope that the FL stick to their guns and implement it properly, as agreed by the FL clubs.

It is also work in progress, so clubs that think that they have found loopholes should not be allowed to get away with it and the rules will adapt. We will have to wait a year to see whether it is a non-starter or not, but something has got to be done, whether it is FFP in it's current form or something else. It is a real test of the FL's resolve and they have to see it through.
 




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