New financial rules

[Fosse69]

The fact wolves get 13 million pounds in parachute payments and are in the same league as us flaws my argument yea.. And how well backed were Swansea and Cardiff?

Anyway I think you have missed the point..

But there were lots of clubs without parachute payments who finished above Wolves last season. What was Yeovil`s budget last season? Great managers do cane the bookies occasionally, surprises and shocks keep it alive. Do you remember Man U and Chelsea in Div 2?

[bookworm]

very well said fosse, factual and to the point, parachute payments are an abortion but no one could forsee wolves doing a double drop, yeovils was the smallest budget by far and i hope they upset a few of the so called bigger clubs.

[ChedzzPVFC]

i hope the budget is increased and we sign decent players #pvfc

[Aussie Rules]

I know :) ...Slowly I think money is taking away why football became the best sport in the world...

 

Sadly this can be applied to most sports these days.

[Lawrence]

So am I right to believe that a club can only invest 60 % of its turn over back on the pitch for fear of getting into debt & risking going into administration ?.

 

Here's a scenario that I truly hope comes true.

 

Say I win tonight's £100 million rollover.

 

I decide to put £20 m into the vale,does that mean IMMEDIATELY that I have increased the clubs turn over & can invest 60 % of that on the pitch ??

 

Is it really that simple ?

I'm sure an accountant would disappointingly assure me that its not !

 

Which is a shame cus I feel lucky :))

[Valiant in Brum]

The thing is I think ways around this are also adding sponsorship's to this as it is income. Which may be why we are getting ready to announce a stadium sponsorship as rumored. Either way these rules are understandable to an extent. But at the same time football should be fairer to compete.

 

It should not be about average attendance etc, the pyramid system is meant to be about teams coming from anywhere to compete, the likes of the old Wimbledon coming from non league to playing in the top flight and winning the FA cup. Money has ruined football in ways. But these financial rules this season may make it better for us compete. Some players being released by clubs may come and play for less at other clubs as they may not have much choice.

[geosname]

Im ashamed to say I lost interest in this after initial enthusiasm..... but basically [if I remember the gist] you cant spend it if you havent got it and even if you have it you cant spend all of it and what you have you have to earn.

Im sure, like all financial rules, there will be ways around them.

[fairportnick]

So am I right to believe that a club can only invest 60 % of its turn over back on the pitch for fear of getting into debt & risking going into administration ?.

 

Here's a scenario that I truly hope comes true.

 

Say I win tonight's £100 million rollover.

 

I decide to put £20 m into the vale,does that mean IMMEDIATELY that I have increased the clubs turn over & can invest 60 % of that on the pitch ??

 

Is it really that simple ?

I'm sure an accountant would disappointingly assure me that its not !

 

Which is a shame cus I feel lucky :))

 

The funds would have to be income for the club ie NOT a loan or a purchase of shares.

Income could be sponsorship , advertising , use of facilities, or even donation.

VAT at 20 % might also determine how you classify it. Corporation tax of 20 % + would also be payable, after expenses.

The above is based on general principles not specific football rules. But you could be donating 40 % to the Eton boys.