How on earth can we be losing £8 million a year?

[Aspinal's Body Double]

I'm finding this very hard to beieve. We have average home League attendance of 25.5k and 22k ST holders (both highest in FL i think). Our ticket prices put us about midway in the Championship scale. Gus says our playing budget puts us no higher than 12th in Championship (think he may have said as low as 18th recently). Our net spending on transfers last season was about £2.8 million on reported figures (harder to know this year but appears much less). We have no debt that I know of (and therefore no debt interest payments). TB loaned the club about £80 million to build the stadium, which is an interest free loan not due for repayment until 2023.

So, how on earth can we be making an "operating" loss of £8 million a year?

 

[TSB]

Oh good, another thread about this

 

[timbha]

it's the cost of all those stewards

 

[Bladders]

The pies are way too cheap

 

[Titus]

Because from Monday to Friday nothing happens at the stadium.

 

[Muzzy]

We need to eat and drink more instead of watching the back 5 passing a ball around for 90 mins!

 

[Tom Hark Preston Park]

It's the initial add-on building works shirley? Like an entire new layer of stand put in over the Summer, the filling in of the corners etc. When that lot's all bedded in, the profits must start rolling in, if they're ever going to. 25,000 punters spending money hand over fist at the Amex coupled with a canny wage structure has to result in a profitable enterprise. There's a million quid of revenue in rounds 3 & 4 of the FA Cup alone. It's all good.
Keep the faith and buy more beer!

 

[Bladders]

It's the initial add-on building works shirley? Like an entire new layer of stand put in over the Summer, the filling in of the corners etc. When that lot's all bedded in, the profits must start rolling in, if they're ever going to. 25,000 punters spending money hand over fist at the Amex coupled with a canny wage structure has to result in a profitable enterprise. There's a million quid of revenue in rounds 3 & 4 of the FA Cup alone. It's all good.
Keep the faith and buy more beer!

I would buy more beer if they didnt keep running out of the stuff.

 

[el_ciddy]

Insurance premiums from all the players claims our Egyptian prince has "marked".

 

[Gazwag]

Haven't read the other thread yet, but, for a football club, does operating profit include player sales/purchases, I suspect it does and if so then, easily.

 

[Aspinal's Body Double]

It's the initial add-on building works shirley? Like an entire new layer of stand put in over the Summer, the filling in of the corners etc.

I'm hoping this might be the explanation (and the training academy). If, so it shouldn't be included as an operating cost should it, but as capital expenditure (as it is in the FFP rules)?

 

[Hyperion]

Haven't read the other thread yet, but, for a football club, does operating profit include player sales/purchases, I suspect it does and if so then, easily.

Mr Barber seemed to suggest it was pure operating loss when I spoke to him yesterday

 

[Hyperion]

I'm hoping this might be the explanation (and the training academy). If, so it shouldn't be included as an operating cost should it, but as capital expenditure (as it is in the FFP rules)?

100% that the Academy is not part of this loss.

 

[Aspinal's Body Double]

Haven't read the other thread yet, but, for a football club, does operating profit include player sales/purchases, I suspect it does and if so then, easily.

Yes, I think it does but as I say in my OP we haven't spent anywhere near that on net transfers to my knowledge.

 

[Conkers]

I heard that every time someone makes a new thread about this, the club loses an extra £100k.
That's why we're in the shitter, pardon my French.

 

[Aspinal's Body Double]

Mr Barber seemed to suggest it was pure operating loss when I spoke to him yesterday

But we only lost £1.5 million in our first year in the Championship playing at Withdean. Are we really worse off now?

 

[timbha]

But we only lost £1.5 million in our first year in the Championship playing at Withdean. Are we really worse off now?

no comparison. We'll only make a profit with Premier League TV money.

 

[Aspinal's Body Double]

Because from Monday to Friday nothing happens at the stadium.

£8 million? Hard to see unless people are sitting there burning £50 notes from Monday to Friday.

 

[Hyperion]

But we only lost £1.5 million in our first year in the Championship playing at Withdean. Are we really worse off now?

Withdean was an athletics track with a pitch in the middle. The Amex is an enormous operation in comparison

 

[Phat Baz 68]

£8 million compared to most clubs is like a drop in the ocean really.
Look at Man Utd debts Liverpools etc .
Then closer to home like the slags from Croydon probably 3 times as much as ours !!!
As you get higher up the debts will rise considerably !!!!!
I wouldnt worry too much