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La Liga bailing out Barcelona & Real


Unan

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9 hours ago, The Batman said:

It's insane. And it's come back to bite them. 10 years ago, the squad was mostly academy players with the occasional large purchase, ie David villa and Dani Alves, who both excelled for the club. 

Even accommodating for inflation, those purchases of Coutinho and Dembele are through the stratosphere without much of a return. Then add on De Jong which was around £70 million, Griezmann £120 million (contention over the actual amount). Eventually these huge numbers on their own accumulate to something unmanageable, plus gigantic wages on top. 

De jong was always likely to be a top player for barcelona and young enough to grow into it, but the fees and wages for some of their signings is unbelievable. Covid couldnt be foreseen but what bartomoleu was thinking with some of those signings i cant say.

still, barcelona knew there were wage cap issues and which was affecting the messi renewal and still signed aguero and depay, and spent 8 million or so plus wages on a new full back, the eric gracia free transfer you could forgive as their defense is a mess, but were those transfers really necessary this season? 

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The strange thing about this, is it's parallel regulations.

Wage cap issue- Messi renewing might not be a UEFA FFP issue as such, but wage one- it's theoretically possible that if you're a Spanish club you could fall foul of La Liga salary regs but be fine FFP wise and vice versa.

Good article too, for those who are interested.

https://www.ft.com/content/c2c8565a-e282-481c-8897-0530b0c81bce

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Also worth a reminder...not least the extent to which their wage budget has been slashed by La Liga in these Covid times.

Little dated by the Messi news but...

A few of the following Tweets look quite pertinent.

That's part of the whole thread but I assume at least some of this cut is down to the impact of Covid and perhaps not taking into account a potential/likely bounceback in revenue during 2021/22.

There is possibly a bit of computer says yes/no about these numbers but otoh it's likely to help safeguard clubs better in uncertain times- IMO.

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1 hour ago, TonyTonyTony said:

Barca = basket case

Their desperate quest to be the worlds most famous club has led them to spend ridiculous transfer fees and pay Messi stupid wages. It’s all coming home to roost.

Add to that a crumbling stadium. I reckon they are ******

Didn't they have 3rd or 4th highest revenue in World Football in 2019/20?

The short term debt, the profile of the debt running into Covid was a real issue- SwissRamble covers it well across multiple threads.

Clearly their issues aren't all down to Covid, but their ability to service it in the required timeframe- it was one of those...one thing tilts it off balance and it can collapse badly- might just have hastened the issue, kicked the can down the road though.

Tactical Times- you might be interested in the relevant thread.

Check the top two for revenue...would be interesting to see how much certain big PL clubs could spend if that system was in here.

Literally reduces allowed expenditure in line with turnover amongst other things, or increases it- and how it factors in Covid is unclear.

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