Not yet financially sustainable

[philmeboots]

So income is less than expenditure and depreciation. Seems a “given” with Andrew Parkinson, who no doubt comes at a significant cost, not yet having his salary paid for by a thriving conference facility. No doubt there are also other marketing costs being swallowed for the future grandstand opening with income not budgeted for some time.

Then there’s the addition cost for upgrading the horseshoe for improved comfort while the grandstand is closed. Also a reduced ground capacity and no doubt low gates due to our challenging start to the season.

Good that reality is shared with the supporters and with SH suggesting that he was expecting this in the short term I don’t think that there is cause for concern but certainly cause for financial awareness, not a gung ho attitude just at the moment. Having said that it sounds encouraging that Derek has had his budget chat and may be better placed to start chatting to his players even though no doubt I can’t see anyone getting too involved in signing their contract this early.

 

[Shankster]

The ignorance and insanity of the modern supporter is embarrassing

Throw some seats and quiches into the mix, a new changing room and a bar and the riches are untold....the owners will obviously pay for it out of the kindness of their hearts

Pathetic. Long term it makes the club moderately more self-sustainable BUT ultimately the current owners aren’t anywhere near wealthy enough to take a club forward and they want new owners thus making the asset more saleable

 

[Pettgreen]

Well let's do some fag packet maths then. £22 average ticket price? Actually it'll be lower with all the kids going so let's say £17.
Take into account the discounted season tickets. 4500 sold? Discount of 30%? So we have £15 per person per game with everything stripped out.
Average gate of 10k x £15 = £150k x 28 = £4.2 million This is just the league. Shows how important a cup run is.
Look at sponsorship and other revenue streams. this will bring in around £2 million
So per year the club has to run on £6.2 million.
All wages have to be covered. Our top player Carey is rumoured to be on £4k a week? Small potatoes in LG1 but big for us. £4k a week equates to £208k a year. Let's say the 1st team squad wages are an average of £2k per week. 20 players in the 1st team squad? That comes to a touch over £2mill. Other wages across the board for reserve and youngsters, manager, CEO, Will probably come to £1mill. Policing costs, ground upkeep, away travelling (and boy that comes to a lot) the list goes on.

Seriously get your head out of the clouds Oddball with this gates and expenditure/finances.

Now there would be a marked difference if the average gates went up to 17k. But we are not there yet are we.

 

[Shankster]

Electricity is free ala gas and water, only the players are paid, all the other staff work for free because they are ‘green through and through’

 

[philmeboots]

Other one off costs, not covered in my earlier post, would be Argyle’s temporary offices. The cost of temporary changing rooms for a season - £40k plus. The use of the Life Centre for hospitality. Now where has that £32k profit gone?

 

[oddball]

Well let's do some fag packet maths then. £22 average ticket price? Actually it'll be lower with all the kids going so let's say £17.
Take into account the discounted season tickets. 4500 sold? Discount of 30%? So we have £15 per person per game with everything stripped out.
Average gate of 10k x £15 = £150k x 28 = £4.2 million This is just the league. Shows how important a cup run is.
Look at sponsorship and other revenue streams. this will bring in around £2 million
So per year the club has to run on £6.2 million.
All wages have to be covered. Our top player Carey is rumoured to be on £4k a week? Small potatoes in LG1 but big for us. £4k a week equates to £208k a year. Let's say the 1st team squad wages are an average of £2k per week. 20 players in the 1st team squad? That comes to a touch over £2mill. Other wages across the board for reserve and youngsters, manager, CEO, Will probably come to £1mill. Policing costs, ground upkeep, away travelling (and boy that comes to a lot) the list goes on.

Seriously get your head out of the clouds Oddball with this gates and expenditure/finances.

Now there would be a marked difference if the average gates went up to 17k. But we are not there yet are we.

but your fag packet maths is way out...6500 season tickets were sold for this season ...and gates are averaging 10K along with the best in the league despite our poor form...then you have club shop sales, hospitality,sponsorship EFL income, cup income, TV income etc etc...there is no reason why this club should be unsustainable....Carey maybe well paid but DA has one of the lowest budgets in this league...his words not mine and something that he refers to on several occasions...no rhyme or reason as to why the club is losing money....

 

[Shankster]

Wasted

 

[xmastree]

Well let's do some fag packet maths then. £22 average ticket price? Actually it'll be lower with all the kids going so let's say £17.
Take into account the discounted season tickets. 4500 sold? Discount of 30%? So we have £15 per person per game with everything stripped out.
Average gate of 10k x £15 = £150k x 28 = £4.2 million This is just the league. Shows how important a cup run is.
Look at sponsorship and other revenue streams. this will bring in around £2 million
So per year the club has to run on £6.2 million.
All wages have to be covered. Our top player Carey is rumoured to be on £4k a week? Small potatoes in LG1 but big for us. £4k a week equates to £208k a year. Let's say the 1st team squad wages are an average of £2k per week. 20 players in the 1st team squad? That comes to a touch over £2mill. Other wages across the board for reserve and youngsters, manager, CEO, Will probably come to £1mill. Policing costs, ground upkeep, away travelling (and boy that comes to a lot) the list goes on.

Seriously get your head out of the clouds Oddball with this gates and expenditure/finances.

I would reckon the net amount received per person is even lower. You haven't even considered VAT for example.

Now there would be a marked difference if the average gates went up to 17k. But we are not there yet are we.

 

[Army green]

So according to the “fag packet maths” fans through the gate equates to roughly 4.2m, which looks like the biggest factor in brining in revenue? Yet some on here think attendance dosent play a part anymore? So which is it? We’re not Man City where having a empty stadium wouldn’t really matter, we are Plymouth Argyle that floats between the bottom two leagues, attendance is the absolute life blood of a club like ours. Hallett and the board have their work cut out if they want the football club to run in a fully sustainable way but We’re in good hands with Hallett in my opinion. Looking at Bolton right now just highlights that even more for me.

 

[Pettgreen]

Well let's do some fag packet maths then. £22 average ticket price? Actually it'll be lower with all the kids going so let's say £17.
Take into account the discounted season tickets. 4500 sold? Discount of 30%? So we have £15 per person per game with everything stripped out.
Average gate of 10k x £15 = £150k x 28 = £4.2 million This is just the league. Shows how important a cup run is.
Look at sponsorship and other revenue streams. this will bring in around £2 million
So per year the club has to run on £6.2 million.
All wages have to be covered. Our top player Carey is rumoured to be on £4k a week? Small potatoes in LG1 but big for us. £4k a week equates to £208k a year. Let's say the 1st team squad wages are an average of £2k per week. 20 players in the 1st team squad? That comes to a touch over £2mill. Other wages across the board for reserve and youngsters, manager, CEO, Will probably come to £1mill. Policing costs, ground upkeep, away travelling (and boy that comes to a lot) the list goes on.

Seriously get your head out of the clouds Oddball with this gates and expenditure/finances.

Now there would be a marked difference if the average gates went up to 17k. But we are not there yet are we.

but your fag packet maths is way out...6500 season tickets were sold for this season ...and gates are averaging 10K along with the best in the league despite our poor form...then you have club shop sales, hospitality,sponsorship EFL income, cup income, TV income etc etc...there is no reason why this club should be unsustainable....Carey maybe well paid but DA has one of the lowest budgets in this league...his words not mine and something that he refers to on several occasions...no rhyme or reason as to why the club is losing money....

You're just trolling now. 6500 tickets sold. Well that's even less then innit. :doh:

 

[Pettgreen]

The clubs turnover is circa £6.5 - £7.5million
Considering the costs involved for running the club, I think it's doing remarkably well to be competing in LG1 AND turning a small profit.

 

[philmeboots]

Well let's do some fag packet maths then. £22 average ticket price? Actually it'll be lower with all the kids going so let's say £17.
Take into account the discounted season tickets. 4500 sold? Discount of 30%? So we have £15 per person per game with everything stripped out.
Average gate of 10k x £15 = £150k x 28 = £4.2 million This is just the league. Shows how important a cup run is.
Look at sponsorship and other revenue streams. this will bring in around £2 million
So per year the club has to run on £6.2 million.
All wages have to be covered. Our top player Carey is rumoured to be on £4k a week? Small potatoes in LG1 but big for us. £4k a week equates to £208k a year. Let's say the 1st team squad wages are an average of £2k per week. 20 players in the 1st team squad? That comes to a touch over £2mill. Other wages across the board for reserve and youngsters, manager, CEO, Will probably come to £1mill. Policing costs, ground upkeep, away travelling (and boy that comes to a lot) the list goes on.

Seriously get your head out of the clouds Oddball with this gates and expenditure/finances.

Now there would be a marked difference if the average gates went up to 17k. But we are not there yet are we.

but your fag packet maths is way out...6500 season tickets were sold for this season ...and gates are averaging 10K along with the best in the league despite our poor form...then you have club shop sales, hospitality,sponsorship EFL income, cup income, TV income etc etc...there is no reason why this club should be unsustainable....Carey maybe well paid but DA has one of the lowest budgets in this league...his words not mine and something that he refers to on several occasions...no rhyme or reason as to why the club is losing money....

When Blackpool and Scunthorpe lost over £2,000,000 and £3,000,000 respectively in the last couple of seasons, no doubt there was not an earthly reason why they didn’t make a profit either. Your calculations are made totally on assumptions. I am sure that neither James Brent nor Simon Hallett would be described as spendthrifts , hence their desire to run a “tight ship”, so what exactly do you think are the unnecessary expenses responsible for a lack of sustainability?

 

[Ross]

Blackburn - who were promoted last season - lost £17m spending 187% of their turnover on player wages.

Wolves lost £1m getting promoted.

Derby are reportedly losing £2m a month and haven't turned a profit in 9 years.

These are scary numbers for 3 sides with stronger attendances than ourselves.

 

[justanotherfan]

Blackburn - who were promoted last season - lost £17m spending 187% of their turnover on player wages.

Wolves lost £1m getting promoted.

Derby are reportedly losing £2m a month and haven't turned a profit in 9 years.

These are scary numbers for 3 sides with stronger attendances than ourselves.

The club’s most recently published accounts to June 2017 show that Morris has lent the holding company who own Derby, Sevco 5112, £95 million in loans, a figure which will have increased significantly in the interim as they are losing between £1 million and £2 million each month. Believed to have reached 161 million now.

 

[Keepitgreen]

Blackburn - who were promoted last season - lost £17m spending 187% of their turnover on player wages.

Wolves lost £1m getting promoted.

Derby are reportedly losing £2m a month and haven't turned a profit in 9 years.

These are scary numbers for 3 sides with stronger attendances than ourselves.

The club’s most recently published accounts to June 2017 show that Morris has lent the holding company who own Derby, Sevco 5112, £95 million in loans, a figure which will have increased significantly in the interim as they are losing between £1 million and £2 million each month. Believed to have reached 161 million now.

I didn't hear the whole story but on the radio today they were saying that Derby MUST to get promoted this season or they're in the sh*e.