The money

[eddiemunster]

Regardless of who goes up to the Premiership (Norwich, Sheffield United, and Villa or Derby), what payouts would any of the aforementioned clubs get (parachute payments), if they did a Fulham or Cardiff and came straight back down?

[Dave P]

The number banded about is close on £200m which is a worse case scenario of finishing 20th next season.

[themossman]

You’d think this figure would be more easily obtainable since there are so many case studies with transparent accounts.

I guess it’s distorted by the fact that promoted teams either stay up (in which case the compounded benefits are much harder to calculate) or piss money away on expensive players who soak up the extra fund. I can’t think of an example of a team that deliberately keeps the purse strings tight, banks the extra money and goes straight down, which would be a very depressing victory for finance over football.

[Lastfootstamper]

Burnley?

[AV82EC]

You’d think this figure would be more easily obtainable since there are so many case studies with transparent accounts.

I guess it’s distorted by the fact that promoted teams either stay up (in which case the compounded benefits are much harder to calculate) or piss money away on expensive players who soak up the extra fund. I can’t think of an example of a team that deliberately keeps the purse strings tight, banks the extra money and goes straight down, which would be a very depressing victory for finance over football.

Burnley. Went up, stayed for a season, didn’t spend much, went down, invested in their club infrastructure, youth devpt and a strict wages policy, did the same with their parachute payments, got promoted again, straight back down again, stayed with the same formula, didn’t spunk the money, came straight back up and have stayed up since. Have also been reasonably stable with managerial appointments.

[themossman]

Apart from Burnley , obviously 😬

Yeah, that’s a good example of successful use of PL revenue.

[danno]

From Sky:

According to Deloitte, the winners will benefit from future additional revenue of approximately £170m across the next three seasons.
This is a combination of:

Extra revenue they will earn from playing in the Premier League in 2019/20 - at least an extra £95m, mostly from central distributions

Parachute payments in 2020/21 and 2021/22 should they be relegated after one season - totalling an estimated £75m across two seasons

If the play-off final winners can stay in the Premier League for a year, that £170 actually becomes a minimum of £300m, consisting of £200m from two years in the top flight, plus around £100m from three years of parachute payments.

Clubs who stay in the Premier League for more than one year receive an extra year of parachute payments.

Source: https://www.skysports.com/football/news/11688/11720687/championship-play-off-final-worth-170m-to-aston-villa-or-derby

[eddiemunster]

Cheers Danno.

[Hookeysmith]

From Sky:

According to Deloitte, the winners will benefit from future additional revenue of approximately £170m across the next three seasons.
This is a combination of:

Extra revenue they will earn from playing in the Premier League in 2019/20 - at least an extra £95m, mostly from central distributions

Parachute payments in 2020/21 and 2021/22 should they be relegated after one season - totalling an estimated £75m across two seasons

If the play-off final winners can stay in the Premier League for a year, that £170 actually becomes a minimum of £300m, consisting of £200m from two years in the top flight, plus around £100m from three years of parachute payments.

Clubs who stay in the Premier League for more than one year receive an extra year of parachute payments.

Source: https://www.skysports.com/football/news/11688/11720687/championship-play-off-final-worth-170m-to-aston-villa-or-derby

No wonder no chairmen baulked at giving Scudamore a hefty payout

And to think a founder member such as Bolton is at the point of extinction makes me puke

[ktvillan]

The money in the PL is quite ridiculous, but a lot of it probably goes on higher player wages.  I think a key strategy should be to try to include relegation clauses in any player contracts so you are not left with a ridiculous wage bill if the worst happens.

[PeterWithesShin]

Pretty sure that most clubs do as standard. Sure I read a while ago that even Arsenal have relegation clauses.

[Lastfootstamper]

They probably do include relegation clauses, but how does that sit within the contract? Jimmy Hill's fight against the constraints to which players could be subjected included winning the right to a free transfer if a club offered you reduced terms. It's all well and good including such clauses, but I can't see how if you enforced them, all your best players wouldn't just bugger off to whoever wanted them and was prepared to pay their wages, albeit probably after banging in a transfer request, and you'd just be left with mostly still overpaid shite. As we were.

[PeterWithesShin]

Well we enforced them when we went down, as do other clubs. Same as some players have release clauses if their club is relegated, like Gueye did.

[SaddVillan]

Burnley is an extremely well run club financially.

In the 1990s when the Lottery was announced their board had the foresight  to realise that the money available  to clubs for ground development from the Football Pools Fund would reduce as the pools declined.

At the time Turf Moor was outdated and in need of a major rebuild.

So they submitted  a number of applications and used the money obtained to build stands on 2 sides of Turf Moor.

They've maintained this prudent policy ever since.
 

[Lastfootstamper]

Well we enforced them when we went down, as do other clubs. Same as some players have release clauses if their club is relegated, like Gueye did.

And which world-beaters were still physically at Villa by the end of the January after we went down, spearheading our instantaneous return?