Parachute payments

[......and Smith must score. 1,336]

Archant''s lead story on the site says we received just shy of £41m in parachute payments for the season just ended and quote Steve Stone as saying we will receive our second and final payment of around £30m over the next campaign.We know the Board at NCFC are obsessed about balancing the books but surely we don''t have to sell before we can buy ?

[lincoln canary (& Golden Coppel) 0]

£30 million doesn''t go far these days.

I guess most of the £41 million from last season was blown on the high wage bill and transfer fees for players like Pritchard, Oliveria, Canos and Wlidshut. Our transfer policy and the fact we kept our top earners was pretty reckless in financial terms. We took a risk, and it didn''t pay off.

Clearly this final parachute payment needs to be manged carefully. No such risks will be taken.

[KeiranShikari_2 0]

I remember McNally saying that dropping to the Championship effectively halves the club''s income. With all the revolations about our players earning billions of pounds it''s surely not too hard to believe that we are in a position where we have to get players off the wage bill in order to sign new players, especially in the second season.As much as some other sets of fans like to complain about them Parachute payments really aren''t about strengthening relegated teams. We get them to stop clubs falling into a financial black hole.

[Essex_Canary 6]

Our total income for next season is likely to be around £50m of which £30m will come from TV money. Our wage bill is going to be around £35-40m so there is no spare cash. To pay transfer fees for anyone we need to sell, indeed we need to sell to probably break even anyway.

[Bethnal Yellow and Green 1,557]

The club said that moving on Olsson and Brady meant that they ''didn''t have to sell'' this summer.

However, as reported the parachute payments are a couple of million less than in previous years, so that might have changed their thinking.

It is pretty clear that Webber wants to get high earners off the books so he has room in the transfer market. While the club probably doesn''t need the fees themselves to be able to buy players, they certainly need the wages off the books to be able to make any moves in the transfer market. Hence why people like Naismith would be available without a fee.

[Indy 3,286]

We had a shortfall of 8 million last year, I''m pretty sure we''ll be in a little debt once the accounts are out for last financial year, we actually made profit from transfers of around 7 million if all figures reported are to be believed.

I''m pretty sure our income from tickets, merchandise and other income is around 27 million, so added to the 30 million it should be 57 million, very rough estimates, I''m sure our resident accountant Purple will come along with better accurate figures.

I''m assuming our wage bill will be down by upto a third with the seven players gone, but Klose, Oliviera, Naismith, Wes, Naismith and Howson will be taking roughly 10 million a year between them in wages. That''s a huge sum and as discussed on other threads, we have to build for a potentially longer stay here in the championship than some would like.

I''m not sure we can afford younger players with better ability than some of these high earning internationals, but we are a championship club with a budget based on income. Sell to balance books and to buy.