Arsenal Finances

Discussion in 'Arsenal Talk' started by TheLoneFalcon, Sep 22, 2014.

  1. Ricardinho

    Ricardinho La Liga Correspondent

    Tottenham spending the same amount as us despite not signing anyone :lol: The lengths they go to with their obsession. Did they even sell anyone for big money this season?
     
    tap-in likes this.
  2. lamby22

    lamby22 Well-Known Member

    Can't think of anyone. Probably a large chunk went to Kane's agent when he signed the new contract (in crayon, I believe)
     
  3. tap-in

    tap-in Nothing Wrong With Me

    How did they manage that :lol: They spent more than many clubs who did buy players!
     
  4. Kingslayer

    Kingslayer Forza Milan

  5. DanDare

    DanDare Emoji Merchant


    Really shows how big a difference the CL makes. It's a starting 11 player each season you can sign. We have to get back in it or well fall further and further behind. Going far in it is a treasure trove
     
  6. yousif_arsenal

    yousif_arsenal King of Twitter Rumours Moderator

    Still 40M is 40M and should go with our 70M budget.
     
    Red London likes this.
  7. Sanchez11's ghost

    Sanchez11's ghost Superior Journalist To Charles Watts

    This is why we have to be in the CL to try and keep up with the rest. Individual mistakes have cost us big time.
     
    kopzilla likes this.
  8. field442

    field442 Hates Journalists Named James

    So Champions League football is worth about €30m euros more than what it was when we were last in it. A quarter final run is worth €50m more than winning the Europa.
     
  9. drippin

    drippin Well-Known Member

    Can anyone explain why we get less money than Chelsea when their opponents in UEL were quite easy and not interesting? I thought it mattered to TV money.
     
  10. field442

    field442 Hates Journalists Named James

    They get more money based on the coefficients and being in it through winning the FA Cup. Finishing 6th gets a smaller share.
     
  11. Red London

    Red London Well-Known Member

    None of this explains why our budget should be peanuts. And shows its not the end of the world if you dont get CL for signing players. The money difference isnt terrible, you just can't attract as many players so have to be clever in the market
     
  12. Sanchez11's ghost

    Sanchez11's ghost Superior Journalist To Charles Watts

    Exactly afew years ago you got 60m for winning the cl, its the only the last 2-3 years where it has rocketed. We should have 100m available if we win the EL
     
  13. scytheavatar

    scytheavatar Well-Known Member

    [​IMG]

    Except our budget is not peanuts. We have Europa league players on Champions league wages.
     
    kopzilla likes this.
  14. Red London

    Red London Well-Known Member

    :eek: Need to get rid of Mkhy and Özil asap, will make a huge difference to budget (as well as overpaid players like Welbeck, Cech and Lichsteiner leaving).

    We have a chance this summer to clear almost £1million in wages per week with everyone expected leaving as well as the two I mentioned.
    A lot of the players we sign need to be of younger ilk (and therefore on lower wages) with the prospect of increasing in value. I think I saw an article recently saying that will be Edu's target to be fair.

    On the other hand though we do need a few players of actual quality in the lineup. I hope we get the balance right and understand sometimes you gotta invest money to make money.
     
    TheEconomist likes this.
  15. TheEconomist

    TheEconomist Well-Known Member

    This is very interesting , where did you find this if you don't mind me asking ?
     
  16. Slartibartfast

    Slartibartfast CIES Loyalist

    Interesting.

     
  17. Sanchez11's ghost

    Sanchez11's ghost Superior Journalist To Charles Watts

    So we could survive in the EL if we had to.
     
  18. field442

    field442 Hates Journalists Named James

    With the new TV deal that came in this season the difference between the two competitions is even worse. We're getting €40m for our EL campaign if we win on Wednesday, Man Utd got €93m for making the quarter finals in the CL this year. When we were last in it we got €64m. We're missing out on a potential €53m in revenue and that's without factoring in better ticket sales and pricier tickets. For a model like ours that's massive.
     
    DanDare likes this.
  19. lamby22

    lamby22 Well-Known Member

    The club might survive but I doubt the fans would. The unfortunate thing is with the top 4 now becoming a top 6 I reckon we'd be one of the teams that missed out more often.
     
  20. Fallout

    Fallout Well-Known Member

    background

    i've always had an interest in estimating arsenal's yearly transfer budget. there is a crude way to do it (simple inspection of the cash flow statement), but recently i had time to sit down and do it the real way.

    as a disclaimer, i can't definitively say that what i've done is 100% correct (i'm not a certified accountant, and there is a degree of opacity when you're looking at these things from the outside). however, i do have a pretty solid understanding of how financial statements work, and i'm reasonably confident of these results.

    anyway, what you'll see in the image below is a yearly estimate of the spare cash that we can potentially use for transfers. this spare cash is generated by our annual operating activities, and it excludes cash flows from non-operating activities.

    underneath those estimates of spare cash, you'll see what arsenal actually spent on transfers in the following season (this info comes from the club's financial statements). the last number in red is our alleged budget for this summer according to the media. it's pretty much in line with the spare cash we generated this season (again, according to my estimate).

    one thing to note is that our financial results from this season haven't been released yet, so i had to estimate the changes myself between this season and last season.


    if image isn't loading, use this link: imgur.com/W7t4rAU

    takeaways
    1. the alleged 40 million budget for this summer seems accurate.
    2. we are truly a self-sustaining club. the spare cash that we generate during each season gets reinvested into transfers in the following season.
    3. the new adidas deal kicks in this upcoming season, so our budget next summer (not this summer) should be even bigger. likewise, since a few high-earners have just left the club, that should also help our budget next summer (not this summer).
    4. if arsenal is feeling frisky (highly unlikely), the club still has a significant cash balance sitting in its bank account that can be used to supplement the transfer budget. however, obviously once we use this cash, it's gone for good!
    thanks for reading!
     
    Last edited: Jun 7, 2019
    Rex Banter, SA Gunner, Beksl and 8 others like this.

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