Transfer: Summer Transfers and Rumors Discussion Part V

Pavel Buchnevich

Drury and Laviolette Must Go
Dec 8, 2013
57,677
23,610
New York
Finances are much more complex than that.

The club is very valuable but has been poorly managed. As a result, they have a huge debt that they are struggling to service because of decreased revenue from the pandemic. Having debt is a good thing... when it is controlled. Helps you save on taxes among other things (invest money at a higher interest rate than your debt, making purchases that will bring more value than the cost of the debt, etc).

Barca now has a cashflow problem and they need cash. They are not poor, they have a financial issue. Once it is solved, they will be more than fine.

If they did not have assets (the marketing rights, for example), they would be poor. But they do have assets that they can make "liquid" to fix their cashflow problem. Once they are back in good shape, they have options to buy back what they sold. So, they do have control over their assets.

Poor clubs cannot do that.
In essence, you are saying it's semantical. The value of the club suggests they are rich, but in actual cash, they are poor and losing more money than they bring in when it comes to currency they can currently use for transactions. So you could say they are rich and poor at the same time.
 

Scandale du Jour

JordanStaal#1Fan
Mar 11, 2002
62,223
28,942
Asbestos, Qc
www.angelfire.com
In essence, you are saying it's semantical. The value of the club suggests they are rich, but in actual cash, they are poor and losing more money than they bring in when it comes to currency they can currently use for transactions. So you could say they are rich and poor at the same time.
No, I am saying they are a rich club with financial AND compliance (la liga rules) issues that require them to liquidate some assets to generate cash.
 

les Habs

Registered User
Sep 21, 2005
22,239
3,967
Wisconsin
Oh and I forgot that Barca are also being f***ed by La Liga financial rules which makes the situation look worse than it really is and FORCES them to generate immediate revenue to be able to invest in the club.

Financial rules that I will again note other clubs in other leagues aren’t burdened by or if they are not to the degree.
 
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bluesfan94

Registered User
Jan 7, 2008
31,026
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St. Louis
Not to make this semantical, but why doesn't debt get factored in? They generate among the most revenue, but if their losses are also the biggest, is generation of revenue enough to make someone rich? Seems to me like debt is the best estimate out there of what the poorest club would be.
Because debt doesn't matter as long as you can service it.
 
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les Habs

Registered User
Sep 21, 2005
22,239
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And Barca is a real club owned by its members and cannot create fake sponsorships out of no where like PSG or City.

Unless you have enough money to force them to name Camp Nou after you ;)

Nor do Barca, or Madrid for that matter, have sugar daddy owners that can give them free money the club will likely not have to pay back any time soon, including if the club is sold to another sugar daddy, if ever.

Nah, not my thing. I don’t need my name in lights. I‘ve always said, I’d love fame for the money but hate the attention. Well, the attention from more ladies would be nice.

I’d also add that with La Liga’s FFP rules that I think Madrid would be spending more than they currently are were they not in place. I think the FFP rule is largely smart for the league, but too stringent and keeps the teams from being more competitive compared to their peers in other leagues. Still, and especially as a Barca supporter, I’m glad there is some sort of rule because I want the club to clean up it’s finances.
 
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les Habs

Registered User
Sep 21, 2005
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—So it sounds like Barca and Chelsea have agreed a fee for Azpilicueta but Chelsea want more than what Barca are willing to pay for Alonso. Glad to hear it about Alonso, but at this point I have to question signing Azpilicueta as well. I don’t think we even need him.
—Saw one of Fabrizio Romano’s YouTube videos, I think his most recent, and he said that Frenkie doesn’t want to give up his wages. However, Romano all was very clear that Frenkie doesn’t want to leave either.

As for what came up earlier today, @Pavel Buchnevich , YT forwarded me the ESPN clip I think you were referring to. The good, it included Sid Lowe and I thought his commentary was very insightful. The bad, Leboeuf was even more clueless than I thought such that he doesn’t understand the football end of it much less how it works in the real world. In fact, Lowe had to explain part of it (and could have explained even more) again to Leboeuf.
 

Evilo

Registered User
Mar 17, 2002
62,134
8,586
France
I mean we have to do the same dance next year… I’ll call it a tie. Cuti is the biggest loser in all this.

But maybe Conte can get him to be serviceable again.
Getting rid of Lenglet and Umtiti is a win. Remains to be seen the salary conditions and prices of options.
 

les Habs

Registered User
Sep 21, 2005
22,239
3,967
Wisconsin
So... 1 guy that is always injured. Another one that could be my father. One that is f***ing awful and the new guy that lord knows how will look like.

I guess we now have two that could be my father though

So one guy that is always injured, yet he played in 30 league matches starting 25 of them. One that could be your father? Well that would explain a lot, but he's been our best CB for a long time and still clearly was performing at a high level last season. One that is not good, but he'd be 4th choice anyway. And yes, a new guy, who will very likely be good enough as a 3rd choice CB at worst and very surely an upgrade over our last 3rd choice CB. I mean you do realize the club has a financial situation it's going through and you're suggesting we sign someone who I imagine is also old enough to be your father. I assume you also realize we're linked with another CB in addition to Azpilicueta as well. I suppose if Ramos were in the side you'd be OK with the defense though.
 

Savi

Registered User
Dec 3, 2006
9,282
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Bruges, Belgium
Getting rid of Lenglet and Umtiti is a win. Remains to be seen the salary conditions and prices of options.

Umtiti still feels bittersweet because I remember how good he once was. Lenglet always sucked so I don't care what happens but I hope Umtiti does well and still have a nice finish to his career.
 

Evilo

Registered User
Mar 17, 2002
62,134
8,586
France
Umtiti still feels bittersweet because I remember how good he once was. Lenglet always sucked so I don't care what happens but I hope Umtiti does well and still have a nice finish to his career.
IIRC, Lenglet had a solid 1st season.
Then his whole career went down the drain.

Umtiti was quite the CB and I hope he gets some groove back with a fresh start.
 

Duchene2MacKinnon

In the hands of Genius
Aug 8, 2006
45,300
9,465
Lenglet was good first season then declined heavily I doubt he can even be serviceable again.

Sam was great but after 2018 he fell off the map. No bittersweet for me he long ago lost any goodwill.
 

LOGiK

Registered User
Nov 14, 2007
18,319
9,042
And Barca is a real club owned by its members and cannot create fake sponsorships out of no where like PSG or City.

Unless you have enough money to force them to name Camp Nou after you ;)
Fake sponsorships?
Never heard of, now I'm curious.
Explain please...
 

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