Financial Challenges and Responsible Management: Navigating Derby County's Current Situation

[Oldben]

Hello fellow Derby County fans,

I hope you're all doing well. I came across an interesting article that I believe is very relevant to our current situation as a football club. The article discusses the financial challenges faced by smaller clubs in the English Football League, particularly when competing with teams that have greater financial resources.

As you know, Derby County is currently under a two-year transfer ban and subject to strict salary caps due to financial difficulties. These limitations make it all the more challenging for us to compete with wealthier rivals, and highlight the importance of managing our finances responsibly in order to remain sustainable and competitive in the long term.

Paul Warne's comments as Rotherham United manager at the time also addressed these issues, particularly the growing financial divide between teams and the challenges faced by smaller clubs. He highlighted the difficulty of competing with teams that have greater financial resources, and the pressure on smaller clubs to spend heavily in order to keep up.

These challenges are significant, and we must keep them in mind as we continue to support our team through these difficult times. We must stay united and work together to help our club navigate these challenges and achieve our goals.

Furthermore, being restricted to only signing free agents and loan players for this season and next season, while other clubs have a transfer budget, adds to the difficulty. The difficulties of not having a transfer budget include being left with a limited pool of players, struggling to strengthen in areas that need improvement and not being able to compete with teams that have more resources.

In addition, League One teams are only allowed to spend a maximum of 60% of revenue on salaries, which is another challenge that Derby County may face if still in League One next season.

It's important for us to stay positive and continue to support our players through these difficult circumstances. Let's work together to help our club succeed and overcome these challenges.

For those who are interested, here is the link to the article: https://www.theboltonnews.co.uk/sport/19469803.amp/

Up the Rams!

[Oldben]

This is only part of the picture, since...

https://www.google.com/amp/s/the72.co.uk/2023/03/08/how-much-money-has-each-league-one-side-spent-this-season/amp/

 

 

[Tamworthram]

3 hours ago, Oldben said:

Hello fellow Derby County fans,

I hope you're all doing well. I came across an interesting article that I believe is very relevant to our current situation as a football club. The article discusses the financial challenges faced by smaller clubs in the English Football League, particularly when competing with teams that have greater financial resources.

As you know, Derby County is currently under a two-year transfer ban and subject to strict salary caps due to financial difficulties. These limitations make it all the more challenging for us to compete with wealthier rivals, and highlight the importance of managing our finances responsibly in order to remain sustainable and competitive in the long term.

Paul Warne's comments as Rotherham United manager at the time also addressed these issues, particularly the growing financial divide between teams and the challenges faced by smaller clubs. He highlighted the difficulty of competing with teams that have greater financial resources, and the pressure on smaller clubs to spend heavily in order to keep up.

These challenges are significant, and we must keep them in mind as we continue to support our team through these difficult times. We must stay united and work together to help our club navigate these challenges and achieve our goals.

Furthermore, being restricted to only signing free agents and loan players for this season and next season, while other clubs have a transfer budget, adds to the difficulty. The difficulties of not having a transfer budget include being left with a limited pool of players, struggling to strengthen in areas that need improvement and not being able to compete with teams that have more resources.

In addition, League One teams are only allowed to spend a maximum of 60% of revenue on salaries, which is another challenge that Derby County may face if still in League One next season.

It's important for us to stay positive and continue to support our players through these difficult circumstances. Let's work together to help our club succeed and overcome these challenges.

For those who are interested, here is the link to the article: https://www.theboltonnews.co.uk/sport/19469803.amp/

Up the Rams!

I don’t think there is anything in your post or the article that we didn’t know and appreciate already.

Regarding the salary cap, surely, given the fact that we must be generating significantly more income than most other league 1 clubs this gives us an advantage rather than representing a challenge? If this was the only restriction on our wages (I.e. nothing extra in the business plan) we would be able to offer much higher wages than the likes of Burton, Cheltenham, Fleetwood and pretty much every other club in the league especially if Wednesday and Ipswich get promoted. Even Barnsley and Peterborough operate on attendances of less than half of ours and neither the teams facing relegation from the Championship or promotion from League 2 (except for Bradford) are big hitters in terms of attendances. Having said that, from memory, I think the “revenue” figure can be distorted anyway as it can include funds injected by owners provided it’s not in the form of a loan (something like that but I may be completely wrong).

[G STAR RAM]

As much as I hate what the EFL have done/are doing to us, I just can't buy into the notion that we deserve pity or are being treated in a way that makes it hard for us to be competitive.

Over the summer we signed players that should be too good for this division.

And even if our salary level is capped at £x k per week (depending on what you read) it will still be higher than 75% of the teams are paying in this division.

Sure if we get promoted then it will be a different beast to contend with but at this level, the restrictions really arent that prohibitive. 

[B4ev6is]

7 hours ago, Oldben said:

Hello fellow Derby County fans,

I hope you're all doing well. I came across an interesting article that I believe is very relevant to our current situation as a football club. The article discusses the financial challenges faced by smaller clubs in the English Football League, particularly when competing with teams that have greater financial resources.

As you know, Derby County is currently under a two-year transfer ban and subject to strict salary caps due to financial difficulties. These limitations make it all the more challenging for us to compete with wealthier rivals, and highlight the importance of managing our finances responsibly in order to remain sustainable and competitive in the long term.

Paul Warne's comments as Rotherham United manager at the time also addressed these issues, particularly the growing financial divide between teams and the challenges faced by smaller clubs. He highlighted the difficulty of competing with teams that have greater financial resources, and the pressure on smaller clubs to spend heavily in order to keep up.

These challenges are significant, and we must keep them in mind as we continue to support our team through these difficult times. We must stay united and work together to help our club navigate these challenges and achieve our goals.

Furthermore, being restricted to only signing free agents and loan players for this season and next season, while other clubs have a transfer budget, adds to the difficulty. The difficulties of not having a transfer budget include being left with a limited pool of players, struggling to strengthen in areas that need improvement and not being able to compete with teams that have more resources.

In addition, League One teams are only allowed to spend a maximum of 60% of revenue on salaries, which is another challenge that Derby County may face if still in League One next season.

It's important for us to stay positive and continue to support our players through these difficult circumstances. Let's work together to help our club succeed and overcome these challenges.

For those who are interested, here is the link to the article: https://www.theboltonnews.co.uk/sport/19469803.amp/

Up the Rams!

Well get over 25k most weeks and 30k on others that bring in a lot of money plus food drink programs sales. And plus cup runs we have been on and by the way mate some stupid restrictions may be lifted in the summer .

 

[Simmo’s left foot]

People seem to forget that the restrictions are imposed on us as a punishment for previous financial mismanagement and breaking FFP rules, plus going into administration. To be honest I welcome the league one rules capping wages at  60% of turnover. It should also be trading turnover, not including equity inserted by a wealthy owner. Football needs to live within its means.

The same rule should apply to the championship too, and any club breaking the rules also given large points deductions. Do that and scrap parachute payments, and insert relegation clauses into player contracts in the premier league will go a long way to fixing the problems.

[Oldben]

3 hours ago, G STAR RAM said:

As much as I hate what the EFL have done/are doing to us, I just can't buy into the notion that we deserve pity or are being treated in a way that makes it hard for us to be competitive.

Over the summer we signed players that should be too good for this division.

And even if our salary level is capped at £x k per week (depending on what you read) it will still be higher than 75% of the teams are paying in this division.

Sure if we get promoted then it will be a different beast to contend with but at this level, the restrictions really arent that prohibitive. 

Next season some of the following teams join the division. 

Ive included their stadium capacity and budget as of the summer of 2022:

Blackpool - Bloomfield Road – 17,338; Budget - £3.1 Million

Cardiff City - Cardiff City Stadium – 33,280; Budget - £11.4 Million

Huddersfield Town - Kirklees Stadium – 24,500; Budget - £6.7 Million

QPR (Queens Park Rangers) - Loftus Road – 18,439; Budget - £8.7 Million

Reading - Madejski Stadium – 24,161; Budget - £6.9 Million

Wigan Athletic - DW Stadium – 25,133 (subject to potential renaming due to sponsor's administration); Budget - £3.4 Million

Those teams could make the play offs difficult for derby

[Foreveram]

22 minutes ago, Oldben said:

Next season some of the following teams join the division. 

Ive included their stadium capacity and budget as of the summer of 2022:

Blackpool - Bloomfield Road – 17,338; Budget - £3.1 Million

Cardiff City - Cardiff City Stadium – 33,280; Budget - £11.4 Million

Huddersfield Town - Kirklees Stadium – 24,500; Budget - £6.7 Million

QPR (Queens Park Rangers) - Loftus Road – 18,439; Budget - £8.7 Million

Reading - Madejski Stadium – 24,161; Budget - £6.9 Million

Wigan Athletic - DW Stadium – 25,133 (subject to potential renaming due to sponsor's administration); Budget - £3.4 Million

Those teams could make the play offs difficult for derby

Stadium capacity is irrelevant as none of them get anywhere near to filling them, and most of them are already up to their eyeballs in debt.

[ram59]

18 minutes ago, Oldben said:

Next season some of the following teams join the division. 

Ive included their stadium capacity and budget as of the summer of 2022:

Blackpool - Bloomfield Road – 17,338; Budget - £3.1 Million

Cardiff City - Cardiff City Stadium – 33,280; Budget - £11.4 Million

Huddersfield Town - Kirklees Stadium – 24,500; Budget - £6.7 Million

QPR (Queens Park Rangers) - Loftus Road – 18,439; Budget - £8.7 Million

Reading - Madejski Stadium – 24,161; Budget - £6.9 Million

Wigan Athletic - DW Stadium – 25,133 (subject to potential renaming due to sponsor's administration); Budget - £3.4 Million

Those teams could make the play offs difficult for derby

None of those teams are likely to be playing in front of capacity crowds though, this season's averages are likely not to be maintained.

Blackpool 13k

Cardiff 18k

QPR 15k

Reading  13k

Wigan 12k

We'll have a much larger turnover than any of those clubs and if Sheff Wed and Ipswich go up, we'll be the only team with regular attendances of over 20k.

[B4ev6is]

2 hours ago, Simmo’s left foot said:

People seem to forget that the restrictions are imposed on us as a punishment for previous financial mismanagement and breaking FFP rules, plus going into administration. To be honest I welcome the league one rules capping wages at  60% of turnover. It should also be trading turnover, not including equity inserted by a wealthy owner. Football needs to live within its means.

The same rule should apply to the championship too, and any club breaking the rules also given large points deductions. Do that and scrap parachute payments, and insert relegation clauses into player contracts in the premier league will go a long way to fixing the problems.

Year that they had no right to do and had no right to give us point deductions eathier dc and other one both stated saying efl had no right to take points off us and only thing they could do is fine us 100k that should been end of it.

[Boycie]

Sigh, here we go again

.

[B4ev6is]

3 hours ago, Boycie said:

Sigh, here we go again

.

And they still have it in for us and that I am sure off no matter how nicely we are being with them. If I owed derby I being looking for money out of them. Start off with getting that 100k of them.

[Boycie]

4 hours ago, B4ev6is said:

And they still have it in for us and that I am sure off no matter how nicely we are being with them. If I owed derby I being looking for money out of them. Start off with getting that 100k of them.

With your bad foot mate?