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Sparks Speaks

Discussion in 'City Talk' started by HUDDERSSBANTAM, Oct 27, 2023.

  1. Jordan

    P.L.24/25 Entrant

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  2. Jordan

    P.L.24/25 Entrant

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    I'd say the budgets thing is the better talking point of the article. So Sparks says that our budget this season is about £2.7-2.8 million and the EFL report says that a club has a £4 million playing budget without naming but everyone knows which club that will be.

    For comparison, last season Rotherham & Blackpool had budgets of just under £6m for the Championship. It has been reported (but won't be confirmed until the books come out towards the end of the season) that Plymouth have a £6m budget in the champ this season. I think £4m would end up being a competitive budget in L1.
     
  3. borderlescott

    borderlescott Squad Player

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    Definitely think the gap between L2 and L1 would be bridgeable for us. The problems would definitely come in the money pit of a Championship, mixing with players on 40k a week, funded by parachute payments from PL
     
    #4 borderlescott, Oct 27, 2023
    Last edited: Oct 27, 2023
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  4. Loyalbantam

    P.L.24/25 Entrant Supporter

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    Yes but we wouldn’t need to compete with the relegated PL clubs with parachute payments, we’d just need to be better than 3 other teams at the bottom.
     
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  5. Gardscoigne

    Gardscoigne Squad Player

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    There are that many teams with parachute payments these days that there’d probably be someone in that bottom three still getting one!
     
    Inspector likes this.
  6. Ashton Bantam

    Ashton Bantam Fringe Player

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    Matching Plymouth and Rotherham (and other bottom end teams) with £6m budgets in the Championship would be more than doable for City.

    TV money at that level alone was £6m per club a few years back.

    We just really, really, need to get out of this league first.
     
  7. Jordan

    P.L.24/25 Entrant

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    To be fair, parachute payments aren't the game changer people think they are. It basically balances books a bit better.

    Because you need to spend so much to have a chance in the prem these days, and those players they bring in don't all leave in the summer but are on very good championship wages when they go down. The parachute means these clubs don't just spiral into debt within 18 months as they still have a very high output but suddenly lose a chunk of attendance, a lot of advertisements and partnership money as well as the TV money. At the minute, the bottom of the PL gets £100m a season for TV rights, top of the champ gets £3m per season.

    Sunderland still had parachute payments in L1 and were massively in debt because of their outputs still on the books.
     
  8. Dennis

    Staff Member Moderator Supporter

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    I don't know what to make of what Sparks has to say on how much our playing budget is. At £2.8m, it doesn't appear to be a top 7 budget when he acknowledges that there are clubs (he uses it in the plural) with budgets of £4mill and even if that is 2 or 3 clubs, that's a huge relative drop to our budget.

    He has also stated on several occasions how well the commercial team are doing with bringing more income into the club. He said only recently that our turnover will be circa £8.3mill this year. That means that under SCMP, our playing budget could be £4.5mill if we chose so. It appears somebody has made an enormous decision to spend less than two-thirds of what we were entitled to under SCMP on our playing budget. That's surprising to me given our supposed desire to get out of this division. Our USP in this division isn't that we have a sugar daddy nor the most successful manager. It's that we have the largest crowds in the division and should therefore be able to leverage more income from ticket sales, merchandising, advertising, sponsorship, etc than most other clubs. It doesn't appear that we are taking full advantage of our USP, our great crowds and using that to have a bigger playing budget. It's puzzling.
     
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  9. Kevin1954

    P.L. 23/24 Top 20 Euro24 PL Entrant P.L.24/25 Entrant Supporter

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    In other words success is rewarded, and parachute payments also means failure is rewarded. It’s not beyond the wit of any lawyer to write into contract clauses, “ you are here on Prem wages until you get relegated”, “ You get relegated your salary drops to CC levels” . In a lot of instances the payment of the parachute, just aids the perpetual yo yoing of clubs. My local side Norwich is probably funded by it.

    It creates a massive imbalance when in reality it could be resolved overnight .

    ImHO of course.
     
    Onside, Jordan, Peaks Bantam and 2 others like this.
  10. Kevin1954

    P.L. 23/24 Top 20 Euro24 PL Entrant P.L.24/25 Entrant Supporter

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    Turn over also covers outgoings on other costs, not just playing salaries, stadium upkeep etc so not really an exact guide, however it’s enough of a number to ask questions.
     
  11. trevor

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    It looks like we spend far more on non playing costs than the Players which is not a recipe for success. Everything we do should be with the intent of providing the manager with the highest budget we can,
     
  12. HUDDERSSBANTAM

    HUDDERSSBANTAM Squad Player

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    The figures are just wrong or we're keeping a warchest for next season when Stockport & Wrexham have been promoted.
    There's no way our turnover should be £8m and our playing budget £2.8m.
    Most clubs are delighted with 55% on playing budget. This equates to only 35%.
     
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  13. trevor

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    @Dennis@Dennis rarely gets his figures wrong
     
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  14. HUDDERSSBANTAM

    HUDDERSSBANTAM Squad Player

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    I'm not saying @Dennis@Dennis is wrong. Either the article has misquoted Sparks, Sparks is mistaken in his comments or we're keeping some money back for next season.
     
  15. Gardscoigne

    Gardscoigne Squad Player

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    It’s a massive game changer for that reason. They sign players on far bigger wages in the Prem and then the parachute payments allow them to keep them in the championship.
    Of course bigger wages don’t guarantee better players but the general trend would say that was the case.
     
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  16. NorthernMonkey

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    That's a very worrying post Dennis although it does back up my belief that far from propping us up Stefan Rupp is slowly, mostly by neglect, strangling the life of of the club.

    #Ruppout
     
  17. NorthernMonkey

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    Aye, it can't possibly be that all of the money generated doesn't get recycled into club funds. I'm just not buying it.

    #Ruppout
     
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  18. HUDDERSSBANTAM

    HUDDERSSBANTAM Squad Player

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    The club has always denied that. I believe the club were so adamant about it, some individuals were threatened with legal action. You might want to be careful regarding what you say on this matter.
     
  19. Ulysses S Grant

    P.L. 23/24 2nd Place P.L.24/25 Entrant

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    Turnover means nothing if your cost of sales is higher. Perhaps 35% is the level that keeps us profitable?
     
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