Football club finances / FFP

[Zidane98]

Think these investors will make their money back using the City group for other projects and the exposure the City group will get in China must mean something to the investment group. They're not just going to throw millions at something that's about to go balls up. It's arguably one of the richest clubs in the richest football league in the world, there's many a dollar to be made

They may well do. The question I ask is if there's so much money to be made out of CFG why sell any of it at all?

It seems to be more about Sheikh Mansour finding other investors to share the financial burden with him.

 

[jd2010]

They may well do. The question I ask is if there's so much money to be made out of CFG why sell any of it at all?

It seems to be more about Sheikh Mansour finding other investors to share the financial burden with him.

Who do you think knows more about China, the Sheik or a Chinese investment company (who is paying overs to help)?

 

[Bojan KantKick]

WC goes BANG.

Maybe the slaves have had enough and the family business isnt as profitable nowadays.

 

[Jatz]

Oh rubbish. That guy earns an obscene amount of money per second. Apparently it took him about 6 hours to earn back the Sterling transfer fee. There'll be a reason he's decided to move some of it on but I very much doubt it's because he has 'money problems'.

 

[Cruyff14]

Oh rubbish. That guy earns an obscene amount of money per second. Apparently it took him about 6 hours to earn back the Sterling transfer fee. There'll be a reason he's decided to move some of it on but I very much doubt it's because he has 'money problems'.

WC clutching at straws again so he can have a dig at City.

 

[Jatz]

WC clutching at straws again so he can have a dig at City.

I don't think his whole post is wrong, he made some good points.

The Sheik selling because he can't afford it is just fanciful thinking though.

 

[Magma]

man on forum knows more about business than the guy who actually does the business

good to see you found the thread again after last times embarrassment wc. worried we were going to lose the desperate attempts to be right but ultimately proven wrong posts.

 

[Zidane98]

Oh rubbish. That guy earns an obscene amount of money per second. Apparently it took him about 6 hours to earn back the Sterling transfer fee. There'll be a reason he's decided to move some of it on but I very much doubt it's because he has 'money problems'.

Where did I say he has "money problems"?

 

[Zidane98]

man on forum knows more about business than the guy who actually does the business

good to see you found the thread again after last times embarrassment wc. worried we were going to lose the desperate attempts to be right but ultimately proven wrong posts.

Says the person who thinks that Man City is worth 3 billion.

Interesting world Man City fans live in.

 

[Magma]

i dont think we are. pure baseless extrapolation says we are

 

[Zidane98]

purchased for 300 mil, estimated to be worth 3 billion now.

doesn't know what he's doing cos he's not a good ol english boy.

Plenty of baseless extrapolation here that's for sure.

 

[pantskyle]

Plenty of baseless extrapolation here that's for sure.

I think you missed my question before within all this talk.

Do you genuinely believe it will take City 20 or 30 years to recoup the losses of the last 7 years?

 

[Magma]

Plenty of baseless extrapolation here that's for sure.

youve certainly shown youre the best at it

 

[Zidane98]

I think you missed my question before within all this talk.

Do you genuinely believe it will take City 20 or 30 years to recoup the losses of the last 7 years?

It's not a matter of what I believe. The facts are that £535m of losses have been incurred by the club in the last 7 years (not including the original £210m purchase price & £200m infrastructure investment ). In that 7 year period a profit for a 12 month period of accounting has seen a profit turned once of £10m.



I'll let you calculate yourself how long it will take until all those losses are recouped.

 

[Zidane98]

youve certainly shown youre the best at it

Nothing beats valuing City at 3 billion for baseless extrapolation.

 

[pantskyle]

It's not a matter of what I believe. The facts are that £535m of losses have been incurred by the club in the last 7 years (not including the original £210m purchase price & £200m infrastructure investment ). In that 7 year period a profit for a 12 month period of accounting has seen a profit turned once of £10m.



I'll let you calculate yourself how long it will take until all those losses are recouped.

Stop dodging the question, your "facts" imply profits won't rise. So * the "facts" and they aren't meaningful to the next "decades" which you claimed it would take to recoup the losses, I'm asking for your opinion.

 

[Magma]

Nothing beats valuing City at 3 billion for baseless extrapolation.

i'd say believing everything will stay the same for the next 20-30 years, let alone the next 5-10 and completing ignoring a massive meteoric rise that no one predicted wins that battle personally.

you clearly are refusing to see the bigger picture (again) and it's just really amusing at this point.

 

[Zidane98]

Stop dodging the question, your "facts" imply profits won't rise. So **** the "facts" and they aren't meaningful to the next "decades" which you claimed it would take to recoup the losses, I'm asking for your opinion.

I was hoping for a fachts meme in response

As for City unless Sheikh Mansour sells more of the club off I don't see the losses of the last 7 years & the £200m infrastructure investment for another 10-15 years in the best case scenario being recouped & close to 30 years in the worst case scenario.

Football clubs in general are not going to bring huge profits ever in relation to turnover & operating costs.

 

[Zidane98]

i'd say believing everything will stay the same for the next 20-30 years, let alone the next 5-10 and completing ignoring a massive meteoric rise that no one predicted wins that battle personally.

you clearly are refusing to see the bigger picture (again) and it's just really amusing at this point.

Hahaha. The club is 5th on the forbes valuation list. There's not going to be any more "meteroic" rises anymore.

You clearly think it's a matter of time before you're number 1 in the world it seems.

 

[Magma]

i dont think that. but i'll continue to pay a bit more attention to the people who are a bit more clued in than 'i cant see city making a profit any time soon'

but please, continue.

 

[pantskyle]

I was hoping for a fachts meme in response

As for City unless Sheikh Mansour sells more of the club off I don't see the losses of the last 7 years & the £200m infrastructure investment for another 10-15 years in the best case scenario being recouped & close to 30 years in the worst case scenario.

Football clubs in general are not going to bring huge profits ever in relation to turnover & operating costs.

I was having a serious discussion about it. I don't always troll.

 

[moomba]

It's actually £535m of losses plus £200m spent on infrastructure.

Money spent on infrastructure is part of the profit and loss account. It is amortised over the reasonable life of the asset I believe.

So you are counting £200m twice I think.

You do have a point that the purchase is 13% of CFG, not MCFC. However CFG is just the clubs - Manchester, Melbourne, New York, Yokohama and MCWFC plus CFG Services and CFG Marketing (might be one more subsidiary). I expect all to be profitable in the short to medium term.

Manchester City already is and it wouldn't surprise me to see £100m + annual profits in the very near future.

 

[Zidane98]

Money spent on infrastructure is part of the profit and loss account. It is amortised over the reasonable life of the asset I believe.

So you are counting £200m twice I think.

You do have a point that the purchase is 13% of CFG, not MCFC. However CFG is just the clubs - Manchester, Melbourne, New York, Yokohama and MCWFC plus CFG Services and CFG Marketing (might be one more subsidiary). I expect all to be profitable in the short to medium term.

Manchester City already is and it wouldn't surprise me to see £100m + annual profits in the very near future.

The £535m loss is on your books and does not include the stadium development.

As for CFG they made a loss of 63m pounds in the last accounting period.

Good luck getting anywhere near £100m annual profit. If Arsenal & United can get nowhere near that figure there's very little chance City will get anywhere near that mark.

 

[Zidane98]

How much of your profit is derived from selling image rights to yourselves through City Marketing Group?

While it appears on paper as a profit it isn't really with money being transferred to another part of the CFG group.

 

[moomba]

The £535m loss is on your books and does not include the stadium development.

Will have a look at the accounts later. Pretty sure it does.

As for CFG they made a loss of 63m pounds in the last accounting period.

I expect all of the subsidiaries to eventually become profitable just like Manchester City has.

Good luck getting anywhere near £100m annual profit. If Arsenal & United can get nowhere near that figure there's very little chance City will get anywhere near that mark.

We'll see. You didn't think we'd ever turn a profit from memory so I'm going to stick with my prediction.