what i dont understand about FFP

[Milesawayranger]

is that if our owners put the money in and not class it as a loan , why is that not seen as income?? Surely if they put it in as sponsorship they can float the club/company as much as they bloody like??
This is why i cannot understand the excuses that we have no money to spend. They have gone from one extreme to another. Blow millions to shaking buckets! Fair enough if they have had enough of trying to take us forward, move on , I am sure there are others out there........ Can anyone explain cos i dont really class myself as thick!

[1QPRDK]

No? What's FFB?

[Tarbie]

Exactly what Man City have done to be fair. They just dressed it up as sponsorship from Etihad (a company owned by the same family).

[Shepherds Mush]

is that if our owners put the money in and not class it as a loan , why is that not seen as income?? Surely if they put it in as sponsorship they can float the club/company as much as they bloody like??
This is why i cannot understand the excuses that we have no money to spend. They have gone from one extreme to another. Blow millions to shaking buckets! Fair enough if they have had enough of trying to take us forward, move on , I am sure there are others out there........ Can anyone explain cos i dont really class myself as thick!

Simply money put in by owners is classed as capital not income.

[Stanley]

Simply money put in by owners is classed as capital not income.

FFP explained in 11 words.

Succinctly impressive Mush!

[Milesawayranger]

Apologies , FFP , (and i said i wasn't thick!!)
thanks C club.
so if the owners wanted to take us forward they couldn't even Sponsor it in some way to dress things up?
I think the point i am trying to make is that if someone wanted to really take us forward with big money , they actually couldn't?

[Shepherds Mush]

FFP explained in 11 words.

Succinctly impressive Mush!

[klonk]

Apologies , FFP , (and i said i wasn't thick!!)
thanks C club.
so if the owners wanted to take us forward they couldn't even Sponsor it in some way to dress things up?
I think the point i am trying to make is that if someone wanted to really take us forward with big money , they actually couldn't?

the owners can sponsor us (which could then be classed as 'operating income' and offset against 'operating costs', but this needs to be judged as to whether it is sponsorship at 'fair value'. accounts need to show a true and fair position (in case someone makes an investment decision based on their contents)

i think man city had a long argument with uefa on this one. the bottom line is, if every other championship club is attracting third party sponsorship of, say, £2m a year and, say, air asia are sponsoring us for £20m, then it looks fishy.

a club like newcastle or leeds could potentially justify higher than normal sponsorship, due to higher profile, a larger fan base, more regular appearances on national and international tv, the higher possibility of promotion etc etc, but, even then, more than triple the division average would still look dodgy.

so no... if the rules are applied, under current ffp rules it would be very difficult for someone to invest big money and without incurring either an embargo or a fine somewhere along the line.

[Milesawayranger]

Thanks Klonk
makes sense now why they cant splash the cash. although i have to say its by far financial fair play! Under those rules the big will get bigger and the rest will fail. Surely if someone wants to sponsor (or basically Gift) his own company money to build on and not require it back then they should be allowed to do so.
This would also stop any large investor coming in and bank role a recovery.... can only ever see us struggle from here on in.

[Shepherds Mush]

All you need to do is wisely milk the cash cow that is the PL.

Burnley have been absolutely superb at this and clubs like Huddersfield and Brighton should look at them as a great example of pushing a small club forward.

They should also look at us as to how NOT to do it.

[Pinkie]

I cant believe all i posted was good news we`ll probably get rid now for less or the same that we paid for him & it got took down (deleted) lol, gordon bennett you do get some chumps around ! think stanley was only joking about deleting any negativity so theres always one who takes things for serious lol, get a grip!

[Pinkie]

FFS ive read the wrong thread lololol, thinking my post had been deleted lol, i need to goto specsavers

i apologise for my post above, wont delete it as found it funny at myself

[cross it Dave]

FFP explained in 11 words.

Succinctly impressive Mush!

Stanley, Am I going bonkers or is that 12 words, sorry to be the counting police.��

[Stanley]

Stanley, Am I going bonkers or is that 12 words, sorry to be the counting police.��

I didn't count the "simply" Dave.

"Money put in by owners is classed as capital not income" is 11

[davieqpr]

The FFP rules under which Football League are trying to fine us are not the same as now. Aston Villa with 63 players on their wage bill would fail the old test
but now basicaly have 3 years to adjust. So by changing them,and the Premiership refusing to collect any fines, they have admitted they were flawed.