RFC 2020/21 accounts

YorkshireRoyal99
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Re: RFC 2020/21 accounts

by YorkshireRoyal99 » 02 Mar 2022 10:11

Snowflake Royal In many ways, it's probably harder to build a competitive squad for the Championship next season than it is for L1.

Moore and Puscas have less incentive to leave and if we're stuck with them, plus Joao, Meite and Ejaria, that's roughly ~£6m of our £16m budget. Leaving us with £10m to split amongst about about 20 players, which is an average was of under £10k a week. Yes, Moore and Puscas staying is a bit of a worst case and we could probably sell at least one, if not more, of the other three to free up wages and bring in some money, but we have to replace them too. Which means we'd have maybe 2 to 5 decent Championship proven players.

On the other hand, if we go down, Moore and Puscas are likely to be much more cooperative in leaving. And we don't have to replace Joao / Meite / Ejaria, when selling them, with players anywhere near the same quality or cost. Yes, our wage budget probably goes down by ~£6m, but that £10m left suddenly stretches a lot further in getting L1 level talent.

Promotion would almost certainly be off the cards for a while, but it's not like our prospects have much more than Championship relegation fight in them for the short term if we do survive. Personally, I've had my fill of that.


Yeah that's true, there would be pro's and cons to both really. We can only hope that Pisa do gain promotion so that gets rid of Puscas and maybe Stoke will take Liam Moore off our hands.

The positive about going to League One would be of financial benefit but it would probably help our academy players as well. Players like Dorsett, Abbey and Azeez could play a bigger part in our squad on smaller wages and it would give us a good chance to develop some of our better players. We've seen that with many players we have released over the years, many are capable of flourishing in League One. Stacey, Dickie, Fosu and now even Sam Smith have all done well at that level.

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Snowflake Royal
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Re: RFC 2020/21 accounts

by Snowflake Royal » 02 Mar 2022 10:18

Aye. Good point.

Bristow, Ashcroft, Camara, CBC, Andresson, Southwood, Osorio.

There's plenty who could benefit from more opportunities at a lower level which could lead to some flourishing.

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Re: RFC 2020/21 accounts

by YorkshireRoyal99 » 02 Mar 2022 11:03

They are very unlikely to be on anything above £5k either in terms of wages for the most part, probably looking at the £2-3k mark. Obviously clauses may be there for a wage hike but, by and large, the wages would be low and probably even just a standard League One wage at best. Plenty of them would benefit from playing a division lower.

It would definitely benefit our academy prospects' first team chances and their potential is there to be Championship players. Surround them with experienced and quality players and we could build a really exciting side for the future.

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PATRIQT
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Re: RFC 2020/21 accounts

by PATRIQT » 14 Mar 2022 00:19

How do these restrictions work? It's been a couple of seasons now. Does it end this summer?

Being limited to giving Carroll £1000 a week is worrying if this continues into another season with so many players OOC in the summer. Recruitment would look very bleak with such a small squad left.

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Re: RFC 2020/21 accounts

by Elm Park Kid » 14 Mar 2022 10:21

PATRIQT How do these restrictions work? It's been a couple of seasons now. Does it end this summer?

Being limited to giving Carroll £1000 a week is worrying if this continues into another season with so many players OOC in the summer. Recruitment would look very bleak with such a small squad left.


My assumption is that whilst we are losing more than the P&S rules state (an average of 13m a season) then we would have to agree to restrictions that basically reduces our losses to the lowest they can be for the club to operate. We lost £36m last season - I guess we're still going to be losing close to £20m this season (i'm assuming).

If we can come up with a business plan that says something like we'll lose £15m next season, £13m the following and then £11m after that they might, might allow us to then just manage our own contracts/transfers as long as we still to the overall limits.

This is some guesswork on my part. What is absolutely certain is that we will not be going back to 'normal' and hiring player on £25k a week any time soon.


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Re: RFC 2020/21 accounts

by Snowflake Royal » 15 Mar 2022 17:37

Elm Park Kid
PATRIQT How do these restrictions work? It's been a couple of seasons now. Does it end this summer?

Being limited to giving Carroll £1000 a week is worrying if this continues into another season with so many players OOC in the summer. Recruitment would look very bleak with such a small squad left.


My assumption is that whilst we are losing more than the P&S rules state (an average of 13m a season) then we would have to agree to restrictions that basically reduces our losses to the lowest they can be for the club to operate. We lost £36m last season - I guess we're still going to be losing close to £20m this season (i'm assuming).

If we can come up with a business plan that says something like we'll lose £15m next season, £13m the following and then £11m after that they might, might allow us to then just manage our own contracts/transfers as long as we still to the overall limits.

This is some guesswork on my part. What is absolutely certain is that we will not be going back to 'normal' and hiring player on £25k a week any time soon.

Iirc business plan allowed us to spend £21m on wages this season. Believe last season it was over £30m.

Next season in the Champ it's £16m wage budget

But I may have mixed up wages and losses.

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tidus_mi2
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Re: RFC 2020/21 accounts

by tidus_mi2 » 15 Mar 2022 19:02

Snowflake Royal
Elm Park Kid
PATRIQT How do these restrictions work? It's been a couple of seasons now. Does it end this summer?

Being limited to giving Carroll £1000 a week is worrying if this continues into another season with so many players OOC in the summer. Recruitment would look very bleak with such a small squad left.


My assumption is that whilst we are losing more than the P&S rules state (an average of 13m a season) then we would have to agree to restrictions that basically reduces our losses to the lowest they can be for the club to operate. We lost £36m last season - I guess we're still going to be losing close to £20m this season (i'm assuming).

If we can come up with a business plan that says something like we'll lose £15m next season, £13m the following and then £11m after that they might, might allow us to then just manage our own contracts/transfers as long as we still to the overall limits.

This is some guesswork on my part. What is absolutely certain is that we will not be going back to 'normal' and hiring player on £25k a week any time soon.

Iirc business plan allowed us to spend £21m on wages this season. Believe last season it was over £30m.

Next season in the Champ it's £16m wage budget

But I may have mixed up wages and losses.

It's wages.

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Re: RFC 2020/21 accounts

by Elm Park Kid » 16 Mar 2022 09:45

Snowflake Royal
Elm Park Kid
PATRIQT How do these restrictions work? It's been a couple of seasons now. Does it end this summer?

Being limited to giving Carroll £1000 a week is worrying if this continues into another season with so many players OOC in the summer. Recruitment would look very bleak with such a small squad left.


My assumption is that whilst we are losing more than the P&S rules state (an average of 13m a season) then we would have to agree to restrictions that basically reduces our losses to the lowest they can be for the club to operate. We lost £36m last season - I guess we're still going to be losing close to £20m this season (i'm assuming).

If we can come up with a business plan that says something like we'll lose £15m next season, £13m the following and then £11m after that they might, might allow us to then just manage our own contracts/transfers as long as we still to the overall limits.

This is some guesswork on my part. What is absolutely certain is that we will not be going back to 'normal' and hiring player on £25k a week any time soon.

Iirc business plan allowed us to spend £21m on wages this season. Believe last season it was over £30m.

Next season in the Champ it's £16m wage budget

But I may have mixed up wages and losses.


That would likely put us either at the very bottom of next year's total wage budget table or close to it.

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Re: RFC 2020/21 accounts

by Hound » 16 Mar 2022 10:05

Elm Park Kid
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Elm Park Kid
My assumption is that whilst we are losing more than the P&S rules state (an average of 13m a season) then we would have to agree to restrictions that basically reduces our losses to the lowest they can be for the club to operate. We lost £36m last season - I guess we're still going to be losing close to £20m this season (i'm assuming).

If we can come up with a business plan that says something like we'll lose £15m next season, £13m the following and then £11m after that they might, might allow us to then just manage our own contracts/transfers as long as we still to the overall limits.

This is some guesswork on my part. What is absolutely certain is that we will not be going back to 'normal' and hiring player on £25k a week any time soon.

Iirc business plan allowed us to spend £21m on wages this season. Believe last season it was over £30m.

Next season in the Champ it's £16m wage budget

But I may have mixed up wages and losses.


That would likely put us either at the very bottom of next year's total wage budget table or close to it.


Yes was surprised but it would put us right at the bottom. It’s imperative we get rid of Moore - absolutely crucial, probably Puscas as well

It’ll certainly be a big challenge to achieve coming under 16m but we’ve shown this year it’s doable with some loans etc


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Re: RFC 2020/21 accounts

by Elm Park Kid » 16 Mar 2022 11:56

Hound
Elm Park Kid
Snowflake Royal Iirc business plan allowed us to spend £21m on wages this season. Believe last season it was over £30m.

Next season in the Champ it's £16m wage budget

But I may have mixed up wages and losses.


That would likely put us either at the very bottom of next year's total wage budget table or close to it.


Yes was surprised but it would put us right at the bottom. It’s imperative we get rid of Moore - absolutely crucial, probably Puscas as well

It’ll certainly be a big challenge to achieve coming under 16m but we’ve shown this year it’s doable with some loans etc


Unfortunately, Chelsea have been our main sugar daddies in terms of loans right?

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Re: RFC 2020/21 accounts

by Snowflake Royal » 16 Mar 2022 12:12

Hound
Elm Park Kid
Snowflake Royal Iirc business plan allowed us to spend £21m on wages this season. Believe last season it was over £30m.

Next season in the Champ it's £16m wage budget

But I may have mixed up wages and losses.


That would likely put us either at the very bottom of next year's total wage budget table or close to it.


Yes was surprised but it would put us right at the bottom. It’s imperative we get rid of Moore - absolutely crucial, probably Puscas as well

It’ll certainly be a big challenge to achieve coming under 16m but we’ve shown this year it’s doable with some loans etc

And yet, it should really be £10m - £12m.

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Re: RFC 2020/21 accounts

by Hound » 16 Mar 2022 13:46

Elm Park Kid
Hound
Elm Park Kid
That would likely put us either at the very bottom of next year's total wage budget table or close to it.


Yes was surprised but it would put us right at the bottom. It’s imperative we get rid of Moore - absolutely crucial, probably Puscas as well

It’ll certainly be a big challenge to achieve coming under 16m but we’ve shown this year it’s doable with some loans etc


Unfortunately, Chelsea have been our main sugar daddies in terms of loans right?


We’ll need to find some new dodgy corrupt friends

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Re: RFC 2020/21 accounts

by tidus_mi2 » 16 Mar 2022 15:08

Keeping an eye out for Pisa's results, Puscas off the books if they go up.


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Re: RFC 2020/21 accounts

by Snowflake Royal » 18 Mar 2022 12:33

Hound
Elm Park Kid
Hound
Yes was surprised but it would put us right at the bottom. It’s imperative we get rid of Moore - absolutely crucial, probably Puscas as well

It’ll certainly be a big challenge to achieve coming under 16m but we’ve shown this year it’s doable with some loans etc


Unfortunately, Chelsea have been our main sugar daddies in terms of loans right?


We’ll need to find some new dodgy corrupt friends

Shame there are so few options in football. :P

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Re: RFC 2020/21 accounts

by RG30 » 31 Mar 2022 16:56

Accounts broken down further on the STAR website https://star-reading.org/news/2021-accounts-in-detail

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Re: RFC 2020/21 accounts

by YorkshireRoyal99 » 31 Mar 2022 17:13

Our wage bill to income ratio currently sits at 234% from the latest set of accounts posted, with the wage bill standing at £32.2m a year, that's staggering. Even a £16m wage bill would still be over 100% wage bill-income ratio, but obviously our income is likely to increase now with matchday and more revenue streams opening up post-pandemic and with fans allowed back in stadiums. Hopefully this seasons £21.1m limit (if we are on forecast for this) is somewhere near to, if not below, the 100% mark. That would indicate good progress.

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Re: RFC 2020/21 accounts

by Green » 31 Mar 2022 19:26

YorkshireRoyal99 Our wage bill to income ratio currently sits at 234% from the latest set of accounts posted, with the wage bill standing at £32.2m a year, that's staggering. Even a £16m wage bill would still be over 100% wage bill-income ratio, but obviously our income is likely to increase now with matchday and more revenue streams opening up post-pandemic and with fans allowed back in stadiums. Hopefully this seasons £21.1m limit (if we are on forecast for this) is somewhere near to, if not below, the 100% mark. That would indicate good progress.

Some pretty strong RTGs there. It's an absolute shitshow isn't it? The very future of the club hangs in the balance if this continues any further - and I'm not seeing any signs it won't.

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Re: RFC 2020/21 accounts

by Zip » 31 Mar 2022 20:00

Green
YorkshireRoyal99 Our wage bill to income ratio currently sits at 234% from the latest set of accounts posted, with the wage bill standing at £32.2m a year, that's staggering. Even a £16m wage bill would still be over 100% wage bill-income ratio, but obviously our income is likely to increase now with matchday and more revenue streams opening up post-pandemic and with fans allowed back in stadiums. Hopefully this seasons £21.1m limit (if we are on forecast for this) is somewhere near to, if not below, the 100% mark. That would indicate good progress.

Some pretty strong RTGs there. It's an absolute shitshow isn't it? The very future of the club hangs in the balance if this continues any further - and I'm not seeing any signs it won't.


Progress is being made and lessons are finally being learnt. The wages figure for the 21/22 season will be significantly lower and by 22/23 should finally be at a sensible level.
It should never have reached this stage and we are now incredibly reliant on our owners staying interested. If we go down I would fear for the future of the club. If we stay up then next season will be another slog just staying in this division

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Re: RFC 2020/21 accounts

by YorkshireRoyal99 » 31 Mar 2022 20:52

Zip
Green
YorkshireRoyal99 Our wage bill to income ratio currently sits at 234% from the latest set of accounts posted, with the wage bill standing at £32.2m a year, that's staggering. Even a £16m wage bill would still be over 100% wage bill-income ratio, but obviously our income is likely to increase now with matchday and more revenue streams opening up post-pandemic and with fans allowed back in stadiums. Hopefully this seasons £21.1m limit (if we are on forecast for this) is somewhere near to, if not below, the 100% mark. That would indicate good progress.

Some pretty strong RTGs there. It's an absolute shitshow isn't it? The very future of the club hangs in the balance if this continues any further - and I'm not seeing any signs it won't.


Progress is being made and lessons are finally being learnt. The wages figure for the 21/22 season will be significantly lower and by 22/23 should finally be at a sensible level.
It should never have reached this stage and we are now incredibly reliant on our owners staying interested. If we go down I would fear for the future of the club. If we stay up then next season will be another slog just staying in this division


I'm sure we are not the only Championship club who are heavily reliant on our owners to fund the club itself, most clubs in this division have a wages to income (or turnover) of over 100%. I think it was referenced a few seasons ago that the Championship was a "financial bubble waiting to burst" and perhaps we are seeing that now with ourselves, Derby, Sheffield Wednesday, Birmingham as well as potentially new faces like Stoke, Bristol City and Middlesbrough.

However, this is only something that has been caused by the PL and EFL themselves. How are ourselves, who show an income of somewhere between £13-16m, ever meant to compete with clubs who receive about £35-40m in parachute payments because they were relegated from the top division. Especially when you look at Fulham's most recent accounts as well, it just goes to show that this money is being pumped straight back into the club's to go up and would explain years of financial ruin for ourselves, QPR and Birmingham ever since our respective relegations and the 2/3 year periods beyond that as none of us have been back since.

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Re: RFC 2020/21 accounts

by tidus_mi2 » 31 Mar 2022 21:48

YorkshireRoyal99
Zip
Green Some pretty strong RTGs there. It's an absolute shitshow isn't it? The very future of the club hangs in the balance if this continues any further - and I'm not seeing any signs it won't.


Progress is being made and lessons are finally being learnt. The wages figure for the 21/22 season will be significantly lower and by 22/23 should finally be at a sensible level.
It should never have reached this stage and we are now incredibly reliant on our owners staying interested. If we go down I would fear for the future of the club. If we stay up then next season will be another slog just staying in this division


I'm sure we are not the only Championship club who are heavily reliant on our owners to fund the club itself, most clubs in this division have a wages to income (or turnover) of over 100%. I think it was referenced a few seasons ago that the Championship was a "financial bubble waiting to burst" and perhaps we are seeing that now with ourselves, Derby, Sheffield Wednesday, Birmingham as well as potentially new faces like Stoke, Bristol City and Middlesbrough.

However, this is only something that has been caused by the PL and EFL themselves. How are ourselves, who show an income of somewhere between £13-16m, ever meant to compete with clubs who receive about £35-40m in parachute payments because they were relegated from the top division. Especially when you look at Fulham's most recent accounts as well, it just goes to show that this money is being pumped straight back into the club's to go up and would explain years of financial ruin for ourselves, QPR and Birmingham ever since our respective relegations and the 2/3 year periods beyond that as none of us have been back since.

It's the ultimate bastardisation of the FFP rules, teams have successfully become at minimum a yo-yo side, the likes of Fulham, Norwich, Crystal Palace, Wolves, Watford, West Brom and maybe some others I'm forgetting, either bounce back and forth or stay a long time in the Prem and if they eventually go down, usually go back up pretty quickly.

Then of course there's the teams who tried and failed at this to great cost, ourselves, Derby, Birmingham, Sheff Wed, QPR (eventually) probably the likes of Huddersfield and Stoke to potentially add to that next season.

The fact this financial mess hasn't been addressed is a testament to how much the Premier League doesn't care.

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