Shrimpsvoices

Big piece in today's times about clubs in danger Macclesfield Oldham and ourselves well worth a read

The Times highlighted Oldham, Macclesfield and ourselves as ‘being in danger’. They said the following:

Morecambe. The League Two club have had intermittent cash-flow problems for a number of years, with their players being paid late on several occasions, but having paid off their overdraft last year they appear to be in a more stable financial position at present. With average home crowds of little over 2,000 last season and one win from their opening five games of the new campaign they appear destined to continue struggling.

https://www.thetimes.co.uk/edition/spor ... -tv7l68tl6

The Football Finance Directors Report was released this week and it makes for quite uncomfortable reading:

- 70% of clubs are now relying on owners to fund their losses (EPL 33%; FLC 80%; FL1 71%; FL2 100%)
- The top two tiers consist of predominantly media businesses
- Player cost inflation (wages, transfer fees & agent fees) is causing EFL clubs to live hand to mouth at the expense of stability and sustainable growth
- 41% of clubs spend more than 65% of their revenue on wages
- Obtaining more shareholder investment/debt to fund future strategies is a priority for 73% of L2 clubs

Club Finance Directors have put forward some suggestions, but with the EPL and EFL listen?

- Improved distribution of income
- Salary caps
- Greater restriction on non-equity backed losses (ie. commitemnt from owners as irredeemable equity rather than debt)
- A two-tier EPL
- Increased alignment of Financial Fair Play with the way it is reported in the financial statements
- More rigorous auditing

Club Directors could also focus on looking after club supporters. Not to over simplify, but play exciting positve attacking football, get the ball in the onion bag, look after your supporters and let them feel they want to come back and be part of it. We don't have the finance, but we could still do better on and off the field with what we have. Fine margins, taking opportunities and all that. Over investment should not be part of the process.

Posh wrote:The Times highlighted Oldham, Macclesfield and ourselves as ‘being in danger’. They said the following:

Morecambe. The League Two club have had intermittent cash-flow problems for a number of years, with their players being paid late on several occasions, but having paid off their overdraft last year they appear to be in a more stable financial position at present. With average home crowds of little over 2,000 last season and one win from their opening five games of the new campaign they appear destined to continue struggling.

https://www.thetimes.co.uk/edition/spor ... -tv7l68tl6

It's this what people get stressed about(myself), "Home Form" but quite often get misunderstood and accused of being negative, it's a major issue with Crowd figures and going bust.


However one question what as never really been answered or understood is the "1.8 Million in Staff wages and the part that Playing Staff are on less than half of that?

Fair point, one I never get a decent reply to!