Transfer Rumour Wilfried Gnonto

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MikeH72 said:
Well on the books it will show as £50m incoming, so if we’re talking strictly about PSR then that would mean we could spend £50m on a replacement and be even.
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No. Absolutely not.

I am not going to rehash all the accounting nerd stuff again but what matters for PSR is profit vs book value after sales costs (agents fee, professional fees, PL levy, player pay-off if needed, sell-on fee to Lille etc.) and the wages saved.

Similarly what counts for PSR when we buy a player is the fee and on-costs amortised (spread) over contract length (max 5 years) and the wages.

It is definitely not £50m in = £50m out.
 
toffee66 said:
No. Absolutely not.

I am not going to rehash all the accounting nerd stuff again but what matters for PSR is profit vs book value after sales costs (agents fee, professional fees, PL levy, player pay-off if needed, sell-on fee to Lille etc.) and the wages saved.

Similarly what counts for PSR when we buy a player is the fee and on-costs amortised (spread) over contract length (max 5 years) and the wages.

It is definitely not £50m in = £50m out.
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so we can only spend a bit?

we should be able to spend what we make
 

BainesontoastNEW said:
Are Leeds still under pressure to sell, by the way? I'm not up-to-date on their financial situation. They've just sold Archie Gray for a wedge.
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Think they will be, can’t remember the precise number but they owe an absolute fortune in future transfer instalments, and that’s going to be a problem on Championship income with parachute payments decreasing.
 
toffee66 said:
No. Absolutely not.

I am not going to rehash all the accounting nerd stuff again but what matters for PSR is profit vs book value after sales costs (agents fee, professional fees, PL levy, player pay-off if needed, sell-on fee to Lille etc.) and the wages saved.

Similarly what counts for PSR when we buy a player is the fee and on-costs amortised (spread) over contract length (max 5 years) and the wages.

It is definitely not £50m in = £50m out
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It won’t be 50mil in. Onana won’t be worth 50mil on the books because we paid 33mil for him.
 
Relegated with Leeds, then sulked when they wouldn't sell him, than had a very moderate season. None of this says he'll be a great signing for a struggling Premier League team that plays ostensibly defensive football.
 

COYBL25 said:
It`s like books of the Leeds that got to the Champions League semi and then got relegated and stayed down for 17 yrs.

You`d have think they`d have learnt their lesson, but apparently not.
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Not very good options for them

Sell all their decent players and risk being relegated to League One.

Or keep them and fall foul of the FFP rules.

Very difficult decisions for them.
 
matty1878 said:
so we can only spend a bit?

we should be able to spend what we make
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Matty, I don’t want to drag us down an accounting rabbit hole but say we make £30m selling Onana (PSR profit and wages saved) we could potentially turn that into eg 2 players covering the first year slice of their fee and wages with some to spare (remember we also have to cover the operating losses we continue to make). If we do reinvest we then have to keep selling players next year/growing revenue to cover the future costs we incur on those deals . Cash Flow is king over the medium term but in the short-term selling Onana gives us options. How we choose to use them remains to be seen.
 

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