VFL club finances

[Bunk Moreland]

Interested in exactly how this works. Carlton has bailed on "Northern Blues", and as a result they've folded. We've heard Box Hill may suffer the same fate.

Now running a VFL club isn't that cheap (relatively). The standalone VFL salary cap this year was $380k. The max salary cap for a local league is $200k.

The way I assumed it works with AFL alignments is that there's an agreement between the AFL club and VFL club - which might include the right to appoint the coach and name the club etc - but the AFL club basically pays the VFL club an annual amount to be the affiliate. On top of that they supply a number of players each week.

This works for the VFL club as without the cash and the "free" players, they may struggle to operate financially.

And it works for the AFL club as it's still cheaper than fielding their own VFL side, where they have to employ VFL-listed players and can't take advantage of any of the VFL club's matchday resources.

Am I right so far?

So what is happening now with these affiliates ending?

Does it mean Carlton has terminated the agreement, and without the cash "Northern Blues" (Preston) are insolvent, which is why they've folded?

And why would this happen to other clubs, as has been rumoured? What happens in 2021? It's going to be such a tough time financially, surely AFL clubs would seek VFL affiliates rather than having their own VFL side?

Eg, Carlton next year - financially, surely they'll want an affiliate? Could Preston therefore come back?

For those unaware - 2020 affiliates are Carlton/Northern Blues, Hawthorn/Box Hill, Melbourne/Casey and St Kilda/Sandringham. The other six AFL clubs field their own VFL teams. Coburg, Frankston, Werribee, Williamstown and Port Melbourne are unaffiliated VFL clubs.

 

[Kwality]

The 2nd tier in Melbourne has been a mess for years, never been one set of rules for the AFL clubs with alignments changed regularly.

Just another issue for the reviews under way.

 

[Pedantic]

I guess Carlton are assuming that list sizes will be cut and therefore won't need to field a reserves. Otherwise I guess they'll field their own reserves team.

I know Melbourne have re-committed to Casey in the past few days. And I think Hawthorn have to Box Hill? In both of these relationships the AFL club essentially calls 100% of the shots, it is little different to running a reserves side. I wouldn't be surprised if the St Kilda/Sandy relationship breaks down at some point because it's not the case there.

But Kwality is right, the VFL has been a mess since the AFL co-opted the VFA and hopefully this will provide some impetus to fix it.

 

[CrowdedHouse]

Pedantic is right about Box Hill. Altough they pulled out the Hawthorn players to isolate them (pre AFL shutdown), they put out a message a few days ago saying they'd help run all the admin and stuff for Box Hawks.

In any event, Hawthorn always controlled the Box Hill board 5-4, and Box Hill have been a Hawthorn sub-branch.

I imagine the same deal out at Casey with the Dees.

 

[Kwality]

Carlton were aware of their position, how long until reality sinks in for other clubs:

See below:

NoCookies | The Australian

www.theaustralian.com.au

quote

Only the league’s power clubs have enough cash reserves to survive a season without footy, with Richmond, Collingwood, Hawthorn and West Coast having significant war chests.
Clubs will have to start repaying the millions they borrow at an interest rate of 3.3 per cent after October, with some including St Kilda already carrying more than $10m of debt.

 

[Walshawk]

If they reduce list sizes, AFL clubs will need the second tier more than ever. If you only have 5 - 8 players missing an AFL game search week, it is not worth running your own reserves.
The Bullants will be back.
I predict the following in 2021.
No AFL reserves teams. Spare players play as follows
Hawthorn - Box Hill
Melbourne - Casey
St Kilda - Sandy
Geelong - Werribee
Bulldogs - Willi
Carlton - Northern Bullants
Essendon - Coburg
Collingwood - Frankston
North - Tasmania

 

[Bunk Moreland]

If they reduce list sizes, AFL clubs will need the second tier more than ever. If you only have 5 - 8 players missing an AFL game search week, it is not worth running your own reserves.
The Bullants will be back.
I predict the following in 2021.
No AFL reserves teams. Spare players play as follows
Hawthorn - Box Hill
Melbourne - Casey
St Kilda - Sandy
Geelong - Werribee
Bulldogs - Willi
Carlton - Northern Bullants
Essendon - Coburg
Collingwood - Frankston
North - Tasmania

Port - Richmond?

 

[Kwality]

What is the budget of the VFL, what are the grants to the clubs?

 

[Pessimistic]

I don’t get it. The top up players come from aligned vfl or state league teams but they are training in lower standard facilities (which is ideal according to Peter Jackson)

clubs won’t share training facilities with each other but would with their vfl and vflw and tac affiliates - and equivalents outside victoria

 

[footyfan1978]

Interested in exactly how this works. Carlton has bailed on "Northern Blues", and as a result they've folded. We've heard Box Hill may suffer the same fate.

Now running a VFL club isn't that cheap (relatively). The standalone VFL salary cap this year was $380k. The max salary cap for a local league is $200k.

The way I assumed it works with AFL alignments is that there's an agreement between the AFL club and VFL club - which might include the right to appoint the coach and name the club etc - but the AFL club basically pays the VFL club an annual amount to be the affiliate. On top of that they supply a number of players each week.

I fairly sure it was not an alignment as such. It was called a merger a few years back. When it went from Northern Bullants to Northern Blues it was some type of merger although I never really got how to the very end. Preston Bullants was our original alignment. They dropped the Preston to call it Northern Bullants. At that point it was still an alignment but when it became Northern Blues it was called a merger. Technically not sure of the difference but guess somehow it was considered Carlton VFL merged with Northern Bullants to becomes Northern Blues. Was truly ****ed up as meant both Preston and Carlrton reserves sides were gone,

As for second tier footy next year I do not think anyone has a real clue what is going to happen yet. Until football is up and running this year and do not think they are deep into how they going to do it going forward.