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FA Cup draw...



timbha

Well-known member
Jul 5, 2003
9,834
Sussex
But wouldn't it be prudent not to budget for a home cup tie, or at least not one attracting a crowd of above 10k?
 


PILTDOWN MAN

Well-known member
NSC Patreon
Sep 15, 2004
18,607
Hurst Green
Profit/Loss can be defined in a number of ways. Your method looks at the match day revenue and cost in isolation. Nothing wrong with that. Another method involves including day to day club running costs to which match days are supposed to help finance. This is the way most businesses look at their profit/loss. For instance a team in a business will usually have to include in their costs an amount for desk space, HR etc. Under this definition I would imagine the MK Dons game operated at a significant loss.

Being there's no guarantee of a home cup game then surely only direct costs would give you a correct indicator of profit. In turn that profit would counter some every day costs. I would imagine we made a small match day operating profit allowing Mr Bloom only a shortfall of 499000 this week
 


Notters

Well-known member
Oct 20, 2003
24,865
Guiseley
Would be interested to see how you arrive at that and what you consider is a 'heavy loss'. Say the crowd was approx 25% kids, gate receipts would have been approx £115k plus £67.5k. Most of the ground was closed so running costs would have been reduced drastically, no travel subsidy to pay. Add in something for programmes and concessions. So struggling to see where this 'heavy loss' comes from?

Prices were £12 for adults, £8 pensionsers, £4? for kids. Say £10 average. 11,000 in attendance, minus 2,800 1901 (already paid) = £82,000 gate receipt. Minus VAT = £68,333.

55% of gate receipts go to the Dongs / the FA.

Huge operating costs (stewards, other staff, floodlights, etc.) partially offset by catering.
 


Neville's Breakfast

Well-known member
May 1, 2016
13,423
Oxton, Birkenhead
But wouldn't it be prudent not to budget for a home cup tie, or at least not one attracting a crowd of above 10k?

Being there's no guarantee of a home cup game then surely only direct costs would give you a correct indicator of profit. In turn that profit would counter some every day costs. I would imagine we made a small match day operating profit allowing Mr Bloom only a shortfall of 499000 this week

In a loss making organization like the Albion the act of not budgeting for a home FA Cup tie would be akin to saying that savings have to be made elsewhere. Of course if we don't get a home tie then the revenue will be lower than expected and those savings will have to be made. As there is a reasonable probability of revenue from the Cup though it may go in the budget at the start of the year just like any other business with estimated revenue streams. I have been asked before for my estimated revenue and costs and was required to make all sorts of assumptions.
This isn't really my area of expertise and I'm only speculating about how the Albion do their budgeting. Really I was just trying to find a reason that Saturday could be read as a loss maker.
 


chaileyjem

#BarberIn
NSC Patreon
Jun 27, 2012
13,773
Prices were £12 for adults, £8 pensionsers, £4? for kids. Say £10 average. 11,000 in attendance, minus 2,800 1901 (already paid) = £82,000 gate receipt. Minus VAT = £68,333.

55% of gate receipts go to the Dongs / the FA.

Huge operating costs (stewards, other staff, floodlights, etc.) partially offset by catering.

(Made the point about the substantial 67K prize money but then noticed somebody already had earlier in the thread)
 




Gazwag

5 millionth post poster
Mar 4, 2004
30,093
Bexhill-on-Sea
What a dilemma, not been to Lincoln so would be a new ground, but a game we should win which will mean Barnsley away will change, which is a good day out and an easy train trip but a non starter on a Tuesday night. Ipswich away is pretty boring but an easy trip on the train.

Of course Barnsley should beat Blackpool and could beat Blackburn so we may as well both be in the 5th round, maybe playing each other, its amazing how many times football put teams together in cups within a short period of playing in the league.

At least it will be a 3pm KO on the 28th.
 


BensGrandad

New member
Jul 13, 2003
72,015
Haywards Heath
The bonus is that if it is against Ipswich it will give CH the chance to see how good the fringe players are in relation to The Championship unless of course they play a weakened team also, doing the same.
 








drew

Drew
Oct 3, 2006
23,008
Burgess Hill
Prices were £12 for adults, £8 pensionsers, £4? for kids. Say £10 average. 11,000 in attendance, minus 2,800 1901 (already paid) = £82,000 gate receipt. Minus VAT = £68,333.

55% of gate receipts go to the Dongs / the FA.

Huge operating costs (stewards, other staff, floodlights, etc.) partially offset by catering.

The 55% is after allowed expenses so probably very little distributed to MK and the FA.

I'm sure match day costs are high but they would have been considerably less on Saturday due to the fact there was no park and ride stewards required, none for the closed parts of the stadium and the fact that MK didn't bring too many, not a lot in the away section.

On that basis I would suggest that we didn't make a massive loss although that obviously depends on what you classify as massive!
 


Nixonator

Well-known member
Feb 8, 2016
6,733
Shoreham Beach
Prices were £12 for adults, £8 pensionsers, £4? for kids. Say £10 average. 11,000 in attendance, minus 2,800 1901 (already paid) = £82,000 gate receipt. Minus VAT = £68,333.

55% of gate receipts go to the Dongs / the FA.

Huge operating costs (stewards, other staff, floodlights, etc.) partially offset by catering.

MK would not see 55% of that 70k (as explained above).

Then there's the 67k prize money also mentioned above.

We most definitely would not have made a loss against operating expenses. Probably about 80k up.
 








hans kraay fan club

The voice of reason.
Helpful Moderator
Mar 16, 2005
61,094
Chandlers Ford
If Ipswich win the replay, which is quite likely, and if we then draw at Ipswich - also reasonable likely - then we will be playing at home to Ipswich on successive Tuesdays (07.02.17 Cup replay / 14.02.17 League).

Exciting stuff.
 





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