FFP rules regarding Warnock

What are the implications of financial fair play rules regarding going for Warnock? Just caught the end of Vince Alm on Radio Wales saying the rules would prevent us affording him, then switched over to Talk Sport to hear Paddy Power saying Warnock has the job sewn up! Would there be a way of structuring a deal to get him in while staying within the rules?

This is the problem with cardiff city football club,they have come out saying there will be money available for new signings in Jan, but they will say warnock wanted to high wages

There's always ways around the FPP rules...but we as a club are not very good at finding them!!!

Tan can pay the wages himself out of his money if he wants
There is always a way around ffp all the top clubs do it
Derby and wives to name two

There's always ways around the FPP rules...but we as a club are not very good at finding them!!!

Get BIG SAM In as an advisor - He is good at getting around rules

All clubs are under FFP rules and they still spend bucket loads of cash, so we are no different

FFP is a sham

Tan can pay the wages himself out of his money if he wants

This is incorrect by the way.

Tan can pay the wages himself out of his money if he wants

This is incorrect by the way.

Sure is if that were to happen I think you might find we would be relegated a few divisions by the FA/FL which happened to Swindon about 20 years ago.

What are the implications of financial fair play rules regarding going for Warnock? Just caught the end of Vince Alm on Radio Wales saying the rules would prevent us affording him, then switched over to Talk Sport to hear Paddy Power saying Warnock has the job sewn up! Would there be a way of structuring a deal to get him in while staying within the rules?

It's all a bit complicated but it works on the audited accounts which are logged with the FL around now. The accounts include all income, balance of player trading, wages and even depreciation of assets such as the stadium and fixtures and fittings.

Basically all income is on one side all outgoings on the other. The club then either shows a profit or loss. For FFP the club can lose a maximum of £5m along with a further £8m of cash injection from shareholders making a total of £13m per season.

To complicate it more FFP is measured over a cycle of 3 years and the total maximum loss being £39m provided there is shareholder equity investment of £24m over that period. So in theory a club could go over the £13m maximum in one season providing they made up that extra loss either in the season before or the next season.

VT has committed to 'writing off' £8m per season until 2021. This has the effect of boosting our loss maximum to £13m and can give wriggle room for us to spend a bit more if possible.

PT was almost certainly on a small wage in football terms. I guess at maximum his termination wouldn't have cost more than £400,000 which wouldn't make much of an impact on FFP.

However, it is fair to say NW is not coming cheap. £30kpw equates to around £1.5mpa. It would depend on how the other figures add up but when you take into consideration the £8m equity boost and our account profit of £3m last year it would seem to me that we CAN employ NW without breaking FFP (for now any way)

What are the implications of financial fair play rules regarding going for Warnock? Just caught the end of Vince Alm on Radio Wales saying the rules would prevent us affording him, then switched over to Talk Sport to hear Paddy Power saying Warnock has the job sewn up! Would there be a way of structuring a deal to get him in while staying within the rules?

It's all a bit complicated but it works on the audited accounts which are logged with the FL around now. The accounts include all income, balance of player trading, wages and even depreciation of assets such as the stadium and fixtures and fittings.

Basically all income is on one side all outgoings on the other. The club then either shows a profit or loss. For FFP the club can lose a maximum of £5m along with a further £8m of cash injection from shareholders making a total of £13m per season.

To complicate it more FFP is measured over a cycle of 3 years and the total maximum loss being £39m provided there is shareholder equity investment of £24m over that period. So in theory a club could go over the £13m maximum in one season providing they made up that extra loss either in the season before or the next season.

That's pretty much how I read it...although I'm not quite sure how exactly the 3 year rule works, it might be a bit more complicated than you can think. How some big spending clubs seem to be unaffected is a bit of a mystery.

As for the City they seem to want to stay within all the rules and are doing everything they can to do so....we seem to be doing ok reducing costs but unfortunately our income is dropping alarmingly quickly we well

VT has committed to 'writing off' £8m per season until 2021. This has the effect of boosting our loss maximum to £13m and can give wriggle room for us to spend a bit more if possible.

PT was almost certainly on a small wage in football terms. I guess at maximum his termination wouldn't have cost more than £400,000 which wouldn't make much of an impact on FFP.

However, it is fair to say NW is not coming cheap. £30kpw equates to around £1.5mpa. It would depend on how the other figures add up but when you take into consideration the £8m equity boost and our account profit of £3m last year it would seem to me that we CAN employ NW without breaking FFP (for now any way)

What are the implications of financial fair play rules regarding going for Warnock? Just caught the end of Vince Alm on Radio Wales saying the rules would prevent us affording him, then switched over to Talk Sport to hear Paddy Power saying Warnock has the job sewn up! Would there be a way of structuring a deal to get him in while staying within the rules?

It's all a bit complicated but it works on the audited accounts which are logged with the FL around now. The accounts include all income, balance of player trading, wages and even depreciation of assets such as the stadium and fixtures and fittings.

Basically all income is on one side all outgoings on the other. The club then either shows a profit or loss. For FFP the club can lose a maximum of £5m along with a further £8m of cash injection from shareholders making a total of £13m per season.

To complicate it more FFP is measured over a cycle of 3 years and the total maximum loss being £39m provided there is shareholder equity investment of £24m over that period. So in theory a club could go over the £13m maximum in one season providing they made up that extra loss either in the season before or the next season.

VT has committed to 'writing off' £8m per season until 2021. This has the effect of boosting our loss maximum to £13m and can give wriggle room for us to spend a bit more if possible.

PT was almost certainly on a small wage in football terms. I guess at maximum his termination wouldn't have cost more than £400,000 which wouldn't make much of an impact on FFP.

However, it is fair to say NW is not coming cheap. £30kpw equates to around £1.5mpa. It would depend on how the other figures add up but when you take into consideration the £8m equity boost and our account profit of £3m last year it would seem to me that we CAN employ NW without breaking FFP (for now any way)

Tony

Excellent post , just a couple of minor comments.

1) The accounts don`t have to be submitted in audited form to FL until the end of November and most clubs leave it until the last minute to do so. They will show a loss , but within the levels allowed by FFP .

2) The 2015 accounts did indeed show a £3m profit , but the FL disallowed one accounting credit entry of £13m (for technical reasons that I don`t agree with) so they regarded the figure as a £10m loss.

Keith

What are the implications of financial fair play rules regarding going for Warnock? Just caught the end of Vince Alm on Radio Wales saying the rules would prevent us affording him, then switched over to Talk Sport to hear Paddy Power saying Warnock has the job sewn up! Would there be a way of structuring a deal to get him in while staying within the rules?

It's all a bit complicated but it works on the audited accounts which are logged with the FL around now. The accounts include all income, balance of player trading, wages and even depreciation of assets such as the stadium and fixtures and fittings.

Basically all income is on one side all outgoings on the other. The club then either shows a profit or loss. For FFP the club can lose a maximum of £5m along with a further £8m of cash injection from shareholders making a total of £13m per season.

To complicate it more FFP is measured over a cycle of 3 years and the total maximum loss being £39m provided there is shareholder equity investment of £24m over that period. So in theory a club could go over the £13m maximum in one season providing they made up that extra loss either in the season before or the next season.

VT has committed to 'writing off' £8m per season until 2021. This has the effect of boosting our loss maximum to £13m and can give wriggle room for us to spend a bit more if possible.

PT was almost certainly on a small wage in football terms. I guess at maximum his termination wouldn't have cost more than £400,000 which wouldn't make much of an impact on FFP.

However, it is fair to say NW is not coming cheap. £30kpw equates to around £1.5mpa. It would depend on how the other figures add up but when you take into consideration the £8m equity boost and our account profit of £3m last year it would seem to me that we CAN employ NW without breaking FFP (for now any way)

Tony

Excellent post , just a couple of minor comments.

1) The accounts don`t have to be submitted in audited form to FL until the end of November and most clubs leave it until the last minute to do so. They will show a loss , but within the levels allowed by FFP .

2) The 2015 accounts did indeed show a £3m profit , but the FL disallowed one accounting credit entry of £13m (for technical reasons that I don`t agree with) so they regarded the figure as a £10m loss.

Keith

Thanks. Any idea what this seasons (or last season to be precise) loss is?

What are the implications of financial fair play rules regarding going for Warnock? Just caught the end of Vince Alm on Radio Wales saying the rules would prevent us affording him, then switched over to Talk Sport to hear Paddy Power saying Warnock has the job sewn up! Would there be a way of structuring a deal to get him in while staying within the rules?

It's all a bit complicated but it works on the audited accounts which are logged with the FL around now. The accounts include all income, balance of player trading, wages and even depreciation of assets such as the stadium and fixtures and fittings.

Basically all income is on one side all outgoings on the other. The club then either shows a profit or loss. For FFP the club can lose a maximum of £5m along with a further £8m of cash injection from shareholders making a total of £13m per season.

To complicate it more FFP is measured over a cycle of 3 years and the total maximum loss being £39m provided there is shareholder equity investment of £24m over that period. So in theory a club could go over the £13m maximum in one season providing they made up that extra loss either in the season before or the next season.

VT has committed to 'writing off' £8m per season until 2021. This has the effect of boosting our loss maximum to £13m and can give wriggle room for us to spend a bit more if possible.

PT was almost certainly on a small wage in football terms. I guess at maximum his termination wouldn't have cost more than £400,000 which wouldn't make much of an impact on FFP.

However, it is fair to say NW is not coming cheap. £30kpw equates to around £1.5mpa. It would depend on how the other figures add up but when you take into consideration the £8m equity boost and our account profit of £3m last year it would seem to me that we CAN employ NW without breaking FFP (for now any way)

Tony

Excellent post , just a couple of minor comments.

1) The accounts don`t have to be submitted in audited form to FL until the end of November and most clubs leave it until the last minute to do so. They will show a loss , but within the levels allowed by FFP .

2) The 2015 accounts did indeed show a £3m profit , but the FL disallowed one accounting credit entry of £13m (for technical reasons that I don`t agree with) so they regarded the figure as a £10m loss.

Keith

Thanks. Any idea what this seasons (or last season to be precise) loss is?

Not a clue, and won`t have until I see the accounts shortly before they are filed at Companies House (if the club follow their practice of previous seasons). Even then , I will hold them under a strict embargo until they are formally published as I only get to see them so I can raise any queries before asked to comment on them ( I hope sensibly)by the media when they become public knowledge.

Keith

Im guessing Welsh games at CCS are also a useful addition to the funds??? Do we see any of that revenue?