FFP

B

boro_98

Member
Does anyone have any insight into our position with FFP? will we need to sell more than we buy this year or are we balanced with the recent departures of Tav and Spence?
 
boro_98 said:
Does anyone have any insight into our position with FFP? will we need to sell more than we buy this year or are we balanced with the recent departures of Tav and Spence?
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We were well within FFP last seaon, I think more than 10m within. Since then we've sold Spence and Tav.

On top of that we still had Britt, Fletcher etc. on our FFP calculations. and next season they finally disappear.

So we should be in a good position for investing.

The big question is how much Gibson is prepared to spend, more than FFP.
 
I'm certain there is not a FFP exposure, or anywhere near it.
Clubs can lose £39m across a rolling 3 seasons, provided the owner injects equity (or loans committed to convert to equity) of £24m.

In the 3 years to 2022, MFC lost £50.6m before tax, so it looks bad and it is real money that has been lost.
BUT when you deduct the FFP allowances for depreciation of fixed assets; womens, community and academy spends AND the Fixed Asset Revaluations AND Covid Allowances, then Middlesbrough's FFP figure will be safe even without any equity injection.
This season there is a massive swell through the profit from the sale above book value of Spence and Tavernier.
The wage bill is still huge, but amortisation is now much lower as the expensive dross has finally dropped off the calculations.
The club will still have real financial pressure (the nature of life outside the PL), but they are FFP sweet.

So Gibson will have the scope to invest from an FFP perspective.
It is up to him and nobody else whether he chooses to.
 
indeedido said:
womens
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we cant claim anything for the womens football - they only became 'official' within the mens football club last week.

poor lasses have been living off jumble sales, coffee mornings and blind cards - now that they are affiliated to Middlesbrough Football Club, they can wear the badge on their shirt 1685382520931.png

and the bean counters can deduct an investment spend on them off the FFP bill - by the way, FFP has nothing to do with 'fairness', its designed and approved by the so called 'top clubs', because it protects them - even Citeh for all of their recent success are struggling to break the glass ceilings, designed to keep the rich and powerful in place and everyone else to be at a disadvantage.

that should get you the ton !
 
Maccarone said:
Any idea Indeedido in monetary value how much,approximately?
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Just taking the figures from the Published Accounts across the 3 seasons to June 2022.

Covid affects the calculation.
2022 + (2021+2020)/2 +2019

Profit Before Tax -£50.6m
Revaluation of Fixed Assets (unrealised) £2.7m
Depreciation of Fixed Assets £9.1m
Covid Allowance £7.5m

An estimate of Community Spend 3 years £3m
An estimate of Academy Spend 3 years £15m for a Cat A
Profit & Sustainability estimate therefore -£13.3m
FFP 3 year allowance pre investment -£15m.
Balance without investment +£1.7m

Bear in mind Group Undertakings have massively increased to cover real losses in any case.
Gibson has us FFP sweet.

I won't estimate our 2023 turnover, wage bill or other costs, but can't help but think they are all improved v 2022. Then there is the £20m plus injection of profit from sales of players above book value.
I am confident that Gibson could choose to invest in the squad for promotion from an FFP perspective. It is up to him.
 
The_Big_Woodowski said:
Kieran Maguire on the price of football suggested we don’t have very much wiggle room and are sailing very close to wind last season on his calcs
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That’ll be the same guy that has said we are gonna fail it for about 3 years. We were comfortably within it last season
 
Johnny Vincents Motorbike said:
FFP has nothing to do with 'fairness', its designed and approved by the so called 'top clubs', because it protects them - even Citeh for all of their recent success are struggling to break the glass ceilings
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Ffp in the prem league is entirely different to ffp in the championship. The problem is when prem clubs drop down and have parachute payments that triple their income for 2-3 years
 
The_Big_Woodowski said:
Not sure I heard him say that but happy to be corrected
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I think he repeated other peoples speculation that we might fail FFP, I'm not sure he has ever said we will fail it.

I think his calcs must be very wrong. We must have increased revenue as crowds were up and we made 2 significant signings. We also decreased our FFP costs as we lost another year of the Garry Monk nonsense from the calcs. This is the last year that Britt assombalonga will appear on our FFP calc. He alone is 3.75m/year transfer and about 2m wages. So just losing him will give us an extra 5.75 wiggle room next season. You can add another 2.75 for Fletcher. So theres 8.5m extra wiggle before we kick a ball.
 
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