Generic clubs in financial crisis Thread

[Stranded]

Looks like the EFL will throw the book at Wednesday and make them start next season on -15. Also sounds like they have serious problems; lack of reliable water supply and sanitation, stadium falling down....this will be a decade turnaround job at least.

The 15 point penalty reflects really badly on football governance in this country. Chelsea avoided a points deduction on the basis that they were under a different owner when they knowingly broke the rules, but Wednesday are being kicked when they're down after being left on their knees by Chansiri.

I know the EFL and PL are different bodies, but it makes it look like the difference between getting away with it and having the book thrown at you is whether you can afford good lawyers. Which is probably true.

Whilst I agree with the general point, the rule was brought in so that clubs cannot just be bought on the cheap and wipe out all their debts paying a couple of pence in the pound. It leaves perspective new owners with a simple choice, put enough in up front to cover a 25p in the pound settlement to creditors or pay less and accept a penalty.

It is a rule that was voted on and overwhelmingly accepted by the members of the EFL, so Wednesday are being punished by the very rule they agreed to because the perspective new owner isn't prepared to pay in what is needed to meet the creditor rules.

To me this aspect is pretty fair - it is the PL that probably needs to be harder on certain financial rule breaking.

I personally think debts to outgoing owners shouldn't be included in the rule. This is all of Chansiri's making and he deserves to get nothing out of the sale.

Agree the rule is there with good reason for external creditors.

I do agree there but I would imagine it would be a very tricky legal situation to exclude one external creditor just because he used to own the club. His simple argument would be, if I hadn't pumped my own money into the club they would have ceased to trade many years ago.

[Winston Biscuit]

Aston Villa sells its 3500 capacity fanzone to Aston Villa's sister company NSWE Holdings, which is owned by Aston Villa's owners, for a more than expected £55M

What a stroke of luck they found a buyer willing to pay that much!

[Sutekh]

Aston Villa sells its 3500 capacity fanzone to Aston Villa's sister company NSWE Holdings, which is owned by Aston Villa's owners, for a more than expected £55M

What a stroke of luck they found a buyer willing to pay that much!

Hope the attempt fails miserably when the PL look at the accounts. This sort of cr@p really should be stopped.

But if it cintinues to be a thing then perhaps Rob should sell the RFC fanzone to himself, got to be worth a lot more given its proximity to London.

[BRO_BOT]

Aston Villa sells its 3500 capacity fanzone to Aston Villa's sister company NSWE Holdings, which is owned by Aston Villa's owners, for a more than expected £55M

What a stroke of luck they found a buyer willing to pay that much!

I've heard that Graham is considering selling 'Classifieds' to himself to ease the tax burden

[katweslowski]

Aston Villa sells its 3500 capacity fanzone to Aston Villa's sister company NSWE Holdings, which is owned by Aston Villa's owners, for a more than expected £55M

What a stroke of luck they found a buyer willing to pay that much!

It's a total joke and if the PL and FA or whoever looks at this has any credibility at all (lol), then it should be prevented, and a clear message put out that this sort of stupid nonsense (corruption) won't be tolerated.

...

I fear for Leicester. They've plummeted now to League One, appear to have a huge amount of high wages, have loans coming out of their ears, and at present, a group of players who don't look bothered or capable. I don't think they'll find League One a walk in the park, and think there could be financial issues, performance problems come next season and who knows what else.

[Winston Biscuit]

I fear for Leicester. They've plummeted now to League One, appear to have a huge amount of high wages, have loans coming out of their ears, and at present, a group of players who don't look bothered or capable. I don't think they'll find League One a walk in the park, and think there could be financial issues, performance problems come next season and who knows what else.

A question I posed elsewhere a week or so ago was whether player contracts with wage reductions on relegation are written in a way that a further reduction happens if there is another relegation, and funnily enough I then saw Kieron Maguire (the football finance man) bring this up in a podcast this week and he said no, these Leicester ones don't. So they have a few players on PL contracts, which had a reduction built in upon relegation to the Championship, and have spent the last season earning around £40,000 per week, and they won't get reduced any further now they are heading down to League 1.

Leicester also took out loans against future parachute payments and then wasted the money, so even the PL parachute payments they have coming are effectively gone.

could be in a huge mess

[Winston Biscuit]

West Brom deducted 2 points for breaking PSR

[AthleticoSpizz]

West Brom deducted 2 points for breaking PSR

yeah Windermere called that one 3 hours ago, and quite rightly said oxf*rd won’t he happy with that

[From Despair To Where?]

It was a marginal breach and they co-operated fully. It was never going to be a full 6pt deduction, which, IMO, is how it should be applied.

It's all a bit weird because 10 years ago, West Brom were often cited as an example of how a football club should be run.

[Winston Biscuit]

It was a marginal breach and they co-operated fully. It was never going to be a full 6pt deduction, which, IMO, is how it should be applied.

The points deduction are different depending on how much you go over, so West Brom's could only have been a max 3 points at worst, but their number getting better each year of the rolling 3 years meant 1 point is taken off

[From Despair To Where?]

I actually think the EFL tend to get their points deductions about right.

[Winston Biscuit]

Talksports football finance man suggesting if Chelsea qualify for the Europa Conference League then the owners may decide to admit breaching UEFA financial rules, take a years European football ban and a fine, and then basically have the slate wiped clean

[AthleticoSpizz]

^ make it count then, give them 3 to 5 years

[From Despair To Where?]

Thoughts are with Valencia. Ron Gourlay's 3 for 3 as CEO so far.

[Sutekh]

Talksports football finance man suggesting if Chelsea qualify for the Europa Conference League then the owners may decide to admit breaching UEFA financial rules, take a years European football ban and a fine, and then basically have the slate wiped clean

Do fa cup winners or runners up get to qualify for that Europa Cup thing?

[Winston Biscuit]

Talksports football finance man suggesting if Chelsea qualify for the Europa Conference League then the owners may decide to admit breaching UEFA financial rules, take a years European football ban and a fine, and then basically have the slate wiped clean

Do fa cup winners or runners up get to qualify for that Europa Cup thing?

yes, Europa League. So the likes of Bournemouth, Brighton, Fulham & Everton will be hoping for a Chelsea FA Cup win as it can then bump European qualification down an extra spot in the PL, depending on where Chelsea finish.

[Sutekh]

Talksports football finance man suggesting if Chelsea qualify for the Europa Conference League then the owners may decide to admit breaching UEFA financial rules, take a years European football ban and a fine, and then basically have the slate wiped clean

Do fa cup winners or runners up get to qualify for that Europa Cup thing?

yes, Europa League. So the likes of Bournemouth, Brighton, Fulham & Everton will be hoping for a Chelsea FA Cup win as it can then bump European qualification down an extra spot in the PL, depending on where Chelsea finish.

If Chelsea accepted a ban to miss the Europa it rather shows up the status of the “other” European competitions in the minds of clubs.

[Winston Biscuit]

Do fa cup winners or runners up get to qualify for that Europa Cup thing?

yes, Europa League. So the likes of Bournemouth, Brighton, Fulham & Everton will be hoping for a Chelsea FA Cup win as it can then bump European qualification down an extra spot in the PL, depending on where Chelsea finish.

If Chelsea accepted a ban to miss the Europa it rather shows up the status of the “other” European competitions in the minds of clubs.

the suggestion was they would only do it if the Europa Conference League is what they qualify for.