Sponsorships reduced to about a quarter of what they are now, players without relegation clauses could bankrupt the club. Huge income losses even with parachute payments. A stadium to pay for, with very little money we would probably go into liquidation. Even if we survived that, 40% lay offs at the club of staff.
Do a google search for a piece done last season on the athletic. I can’t link it as it says its paywall and it isnt. titled what-relegation-would-mean-for-everton/
read this, then next time you think we would be better off getting relegated for a season or so, hit yourself with a heavy object.
relegation often leads to a reduction of between seven and ten-fold to the value of a shirt-front sponsor. The Athletic has been told of an example of another relegated Premier League side who saw the value of their shirt-front sponsorship deal decrease from £5 million per season to £850,000 a year in the Championship.
One Premier League club’s chief executive said his team’s brush with relegation prompted a contingency plan for associated redundancies. It was startling, with an estimate he would have had to make between 30-40% of their full time staff redundant. When they stayed up on the final day of the season, he breathed a sigh of relief that those painful conversations would be avoided.
“The financial penalty or loss as a result of relegation probably totals around £80 million in terms of lost revenue,” Wilson says. “They will go from £120 million or £130 million in prize money to parachute payments in the first year around £45 million. It’s £30 million in year two and £15 million in year three.
“You’re probably looking to sell most of your top earners,” suggests Dr Wilson. “There’s also what relegation does to the value of players — the ones in demand. The working theory is (their price falls) about 50 per cent. You’re under more pressure to sell.
