Bankrupt Team

[Wildman]

Anyone know the consequences of GM taking the teams under? I am just confused with some signings such as Simon Gagne with $5.5M for 4 years when a team has $4M in the bank.

Should we have some rule in place where a team should have minimum bank roll before bidding for these outrageous contracts?

Maybe have a cap at $30M to $40M for teams below $10M in bank account?

We monitor trades so why not player signings.

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[Ohio Jones]

We have a process in place once the season starts, but in the off-season players draw no salary, so they're basically free. During the season, if (when) a team's bank account drops below $5 million, they are put on a watch list and required to explain/justify all transactions and player movement in financial terms.

For now, there's a couple of months of off-season still to go (or more, pending labour negotiations), so teams in a precarious position still have time to move some salary around to try and get in a better financial position prior to the start of the year.

 

[Canuck09]

I don't think we can impose a separate cap on teams with low finances. Forcing them to operate at $30-40M ($14M below the current NHL cap floor) when we're also forcing them to sign players at NHL value (or more sometimes) leaves them zero chance to ice an even remotely competitive team. I agree there needs to be some serious consequences to those that bankrupt their team, but not in enforcing this type of cap.

 

[PasiK]

and make team worse ... Make playoffs easier for rich teams anyway will have tv revenue cash before season begins as well .. Basically teams can easily get 40mil from home games and if tv revenue or what it is called is more than previous years then we dont have to worry financials that much

 

[Dempsey]

Bottom line here is to not offer rediculous amounts of money to free agents, and make sure you keep and retain all high draft picks to keep a steady flow on entry-level contracted players.

Hang on to those high draft picks, don't risk losing them at any cost

 

[Canuck09]

and make team worse ... Make playoffs easier for rich teams anyway will have tv revenue cash before season begins as well .. Basically teams can easily get 40mil from home games and if tv revenue or what it is called is more than previous years then we dont have to worry financials that much

I believe it's been confirmed there will be no TV revenue already.

 

[PasiK]

so we can only get cash from home games .. 40mil. Leaving extra revenues out is not helping

 

[Fooladelfia]

so we can only get cash from home games .. 40mil. Leaving extra revenues out is not helping

Even trading all this players at deadline you will be loosing money......now your best option it's to make the po .......and your last chance.

 

[Dryden]

my opinion is every man in here has some sense of intelligence and if you choose to spend what little amount of money you have foolishly then you deserve to lose your team.

If you can't be fiscally responsible its your problem just like any real life team. So you either have to become a seller at the deadline to straighten it out or pay the price and let some new blood into the league.

It shouldn't be the agents responsibility but the GM's.

 

[Wildman]

and make team worse ... Make playoffs easier for rich teams anyway will have tv revenue cash before season begins as well .. Basically teams can easily get 40mil from home games and if tv revenue or what it is called is more than previous years then we dont have to worry financials that much

Here is what I don't get Pasi. You had a solid 2nd line winger in Voracak whom you could have signed for $2M plus which is his NHL salary. Instead you trade him to Montreal for 2 unproven prospect and go on signing Doan and others at over the market price.

I am sure your reason for signing all these players was to make the playoffs. Than why would you trade Voracak ? Don't you think Viracak would have been a better option for you as he would have saved you money and perhaps brought you much better package at the deadline than Doan and others.

As you can see Voracak was very valuable as evidence by what Montreal paid in salary and prospects.

I just hope things work out for you and Washington because I for one would not like you two to be forced to resign.

 

[PasiK]

dont you worry about me .. I will be ok, i know that i overpaid for doan, my 1st bid was not enough which was 7.2mil so i increased a bit and get him. Traded voracek for nelson and colbourne and doan is not bad as those two prospects will play in nhl. I can also lower my salaries 15mil easily which means my overall salaries are in 45mil level so i am ok and continue my work according to my plan.

 

[MatthewFlames]

i just hope things work out for you, washington and calgary because i for one would not like you three to be forced to resign.

fixed!

 

[Brent Burns Beard]

fixed!

b i t e y o u r t o n g u e !

 

[MatthewFlames]

b i t e y o u r t o n g u e !

You're just lucky I didn't lump u in with the rest of us peasants at the bottom of the food chain

 

[Vagrant]

I just want to remind everyone that the juice hasn't started flowing on these contracts yet. I have spent about $8 million in salaries this offseason and still have a few bad contracts that I can eat. I have been aggressive in trying to secure some assets via free agency that I like and that can potentially be moved in the future in part with cash trades.

I will have no issue with being dealt the consequences of not managing my team properly should my balance dip into the negatives for any extended period of time. There should be, at the very least, a few prospects on the lower end of the spectrum procured either through UFDA or simply as they exist in my system that some benevolent GM would accept in exchange for a cash trade. There are a few ....creative.... ways to solve the issue of not being blessed with liquid assets.

My team has been so bad for so long, mostly my fault, that the opportunity to build finances up from a deep run or by... you know... winning or being eligible for individual bonuses has been slim to none. I haven't been proactive enough in sponsorship matters and other opportunities, but I think we can salvage something.

As an aside, I will look at any offers involving cash that make sense for my team. Consider that an open invitation!

 

[PasiK]

Even trading all this players at deadline you will be loosing money......now your best option it's to make the po .......and your last chance.

my last chance well i can still start season with all my signees in farm and make profit whole season ... That is my last chance.

 

[Dr.Sens(e)]

I have no problem with teams being aggressive in the off-season to give their team a boost. They should at least have some cash buffer, but as noted, if managed properly, one of two scenarios will take place:
(1) the team will get notably better, attendance will go up, and the salary structure will be sustainable until the end of the season (positive cash), where the team will cash in to make up for what losses they had in the season (playoffs, awards, endorsements)
(2) regardless of the team's performance, the cash burn is too much, and the team is forced to move high salaried assets (perhaps some of the UFA's) for futures and cash to survive.

The key is the GM recognizing #2 early enough. if so, it isn't all bad, as you get some comp back for overpriced UFA signings (which were acquired for free, if you don't count losing a lot of cash). But this is hardly "Free" as the team is now in a pickle going forward, but this at least helps compensate for the fact the team is now in financial purgatory for a few seasons, as they work their way back to a better cash balance. Such are the risks.

 

[Fooladelfia]

The Destruction of San Jose in the 2nd phase.....LOLLLL

Who want some?