The bending of PSR rules

Raino85 said:
Its pretty much the same as what they paid for Deivid Washington & Angelo who you could argue are of similar talent. Infact Kellyman is probably seen as having more chance of doing something at Chelsea due to him not having to settle into the country/have experience in a PL environment
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Would argue that none of them really stand a chance of doing anything at Chelsea. They're a basket case of a club addicted to signing players for the sake of it and will lose more money than they'll make with this strategy. But ye it is a similar value to others
 
Sorry if it's already been explained. But how are these deals benefiting us? To me it looks like we are swapping one over priced player for another. How does that help us with PSR we've spent money and we're just recouping what we've sold? Or am I missing something.
 
GoldenToffee said:
Absolutely nothing the Premier League can do about it. They have no rule that states the league determines the value of a player. They couldn't justify Caicedo being priced at £120m or agree that Branthwaite is worth a mere £33m. They've got themselves in a right pickle here, Villa and Chelsea are playing them, and Villa are also doing it with us. Good.
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In no world is he 12 times better than Iroegbunam despite me never seeing him play.
In no world is Caicedo 8 times better than someone like say.....Tyler Morton, who there is talk of the RS getting £15m for.

The inflated fees come from the high transfers, they are the ones that don't represent any value.
 
Blue peter said:
Isn’t this all because that Alice the MU fan moaned that we were circumventing the rules as opposed to having to complying with them by selling JB on the cheap to them. Nothing to see here….what a whinger.
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People talked about that tweet because it was funny and also underpinned everyone’s thoughts that PSR is a glorified siphon for players to join the Red Cartel on cheaper transfers.

Also I don’t believe for a second that the league at any point wanted to stop administration as a result of PSR. They wanted to give us a bigger deduction than past punishments for actual bankruptcies. They do not give a flying feck if we go under it not. In fact part of me thinks they’d actively prefer it if it meant United got Branthwaite and Onana for nothing.
 

pfim said:
Incoming player fees are expensed over the life of the contract.

Revenues for outgoing fees are booked the day of the transfer.

So if we sell Dobbin for 9 million, we realize a 9 million profit that day.

If we sign PSR Tim to a 5 year contract, 9 million fee, the expense is 1.8 million for the next 5 years.

9 million - 1.8 million = 7.2 million profit for year 1.

That's how it works.

In this instance, though, the profit is close to 9 million for the 23-24 accounts, because we realize the value of the Dobbin sale and we would only book one month of expense (if that) for PSR Tim since the fiscal year ends 06/30/24
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sbbefc said:
Sorry if it's already been explained. But how are these deals benefiting us? To me it looks like we are swapping one over priced player for another. How does that help us with PSR we've spent money and we're just recouping what we've sold? Or am I missing something.
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Only 4 pages before your enquiry?

Simplest explanation I have seen.
 
pfim said:
Incoming player fees are expensed over the life of the contract.

Revenues for outgoing fees are booked the day of the transfer.

So if we sell Dobbin for 9 million, we realize a 9 million profit that day.

If we sign PSR Tim to a 5 year contract, 9 million fee, the expense is 1.8 million for the next 5 years.

9 million - 1.8 million = 7.2 million profit for year 1.

That's how it works.

In this instance, though, the profit is close to 9 million for the 23-24 accounts, because we realize the value of the Dobbin sale and we would only book one month of expense (if that) for PSR Tim since the fiscal year ends 06/30/24
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Picking hairs here, but isn't it a 3 year contract? So £3m for the next 3 years?
Its hardly earth shattering amounts in the grand scheme of things
 
Raino85 said:
In no world is he 12 times better than Iroegbunam despite me never seeing him play.
In no world is Caicedo 8 times better than someone like say.....Tyler Morton, who there is talk of the RS getting £15m for.

The inflated fees come from the high transfers, they are the ones that don't represent any value.
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I'm not sure that's the way transfer fees (or the price of anything) works. Just because someone costs twice as much doesn't mean people think he is twice as good.
 
Raino85 said:
Picking hairs here, but isn't it a 3 year contract? So £3m for the next 3 years?
Its hardly earth shattering amounts in the grand scheme of things
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Yes, he was just using it an example, but yeah so 3m for the next 3 years, but then we get 9 immediately on the books.

6m improvement in PSR - and if I remember correctly, the reports were that we were very close to being under the limit. Whether that's enough or we just need a bit more. If we do need a bit more, assume DCL will go before 1st July.
 

Kevsleftpeg said:
I'm not sure that's the way transfer fees (or the price of anything) works. Just because someone costs twice as much doesn't mean people think he is twice as good.
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But that's my point.

The prices for the top players are the inflated astronomical fees, not £20m for an England youth international
 
Raino85 said:
Picking hairs here, but isn't it a 3 year contract? So £3m for the next 3 years?
Its hardly earth shattering amounts in the grand scheme of things
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I didn't know what it was when I posted that. Regardless, the amortization charge will be minimal for 06/30/2024.
 

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