@Neiler when does our rolling FFP thing finally look clearer?
I cant deal with another manager getting sacked for only having £1.7 million to spend I just cant.
A few years to run yet mate.
Our position heading into next year is this will be the years assessed:
18/19 - 111 mill loss
19/20 - 139 mill loss
20/21 -120 mill loss *adujusted £47 million.
21/22 - 70/80 mill loss *projected.
* 19/20 & 20/21 are averages - due to Covid and Covid losses can be adjusted so aren't as bad as meets the eye. Due to Covid the rules permit the deduction of crystallised losses – ie costs incurred or revenue lost as a direct result of Covid restrictions. For Everton, as published in the audited accounts, this resulted in Covid related losses of £82.1m for the two year period, so you work out the average - £82 million, so the average is £129 mill - 82 million and we are arguing our 19/20 & 20/21 our loss is £47 million - this is why Burnley and Leeds were annoyed.
The year that moves out of the cycle is 17/18 where we made a 13 mill loss - it was one of our better loss making year, so arguabley our current situation is worse than last year.
For this year 21/22 - i think we are going to argue we had another 50 mill Covid loss, while if we sold Kean before July for about 25 million - we would likely not make a loss - if all came to pass. Presently we are still in the same financial year as last summers transfer window, so we have no funds. Its why i say i doubt we will see anyone until July unless there is a big out like - Richarilsion. Its very likely much of what we get for Kean and Richarilsion will cover our losses rather then being net profit for transfers.
July is the start of the new financial year, so we have scope to do a bit, but we will be player trading, i think on transfers. A concern next year we are down 40 million on income in commercial deals and prize money - so there is one big transfer fee, or new players wage for a year. In the new financial year, we can take a few risks as we have this summer and the winter window to sell players if we need to - that will give us a bit of scope then we have at the movement. The Rishcharilson sale is likely a necessity rather than a choice and I'm not sure all of his fee will be used to invest in the squad to be honest.
To answer your question mate, if we could break even in this financial year it would be huge, but we are probably budgeting hard until we get the 111 mill in 18/19 of the cycle, presuming from this financial year and next we are going to break even. Some things will help, a big sale will reduce losses, players leaving, will reduce wages and ammortiation, while Bramley Moore when we move should be enabling. We will be wheeling and dealing, though with a strict budget for a couple of years to my mind, probably enabled through a few big sales.
Just my take though, lads will have their own.
