Where has the money gone over the past three years?

[Barrera]

We received parachute payments from the Prem of £90m over three years. We are now into the second year so should have received £60m. So still have another £30m to come next year. We have sold Pereira (undisc £8m) and Hegazi (£2m) plus got rid of a few. We have only bought in Dike (£8m), Molumby (£1m) and BTA (£500k). Ok we have a few freebies and loans. But the wage bill is only £20m a year.

So I still don’t get where all the parachute money has gone? I reckon there is something more serious and fraudulent going on wrt Albion’s finances. The £5m loan is probably only the tip of the iceberg. And this MSD loan is another part of it.

I could be wrong … but suspect Lai is asset stripping us.

[mickd1961]

The rules were changed on parachute payments while ago.

If a team stays up for just one season then you only get two years of payments, this is our final season for a payment.

[soulman101]

The rules were changed on parachute payments while ago.

If a team stays up for just one season then you only get two years of payments, this is our final season for a payment.

Hi, also when we went up , we had around £12m less to pay for the loss of income to the Prem clubs for the previous season due to covid

[Barrera]

The rules were changed on parachute payments while ago.

If a team stays up for just one season then you only get two years of payments, this is our final season for a payment.

TBH Mick, I thought the rules changed the year after we came down to the Championship. So if we got relegated now it would be £44m … but we were relegated before the new rules came in…

[soulman101]

If you go up come straight down you get 2 years, for 2 or more years in the Prem you get 3 years parachute money

[Calgarybaggy]

I think you are also forgetting about covid. Just using very rough numbers, if we get 25000 to a game, and each person attending spends on average 30 pounds with tickets, refreshments, merchandise, etc, and we missed about 30 games, that's 22 million in lost match day revenue. A lot of that would also have already been paid in season ticket subscriptions but then had to be refunded in one way or another. The real amount of lost revenue may be a bit more or a bit less than that rough estimate but I think that gives you a pretty realistic idea of the scope of the loss covid caused - but even if its only 10 million, that's half the payroll for the players which would put a real dent in the finances of any team.

[Barrera]

I guess I will bow to everyone’s superior knowledge on parachute payments. But I still say there is something murky going on. It’s interesting to see that we have changed auditors 4 times in past 7 years … this is nearly always a red flag. The latest PwC resigned after just one year. As someone who used to work for two Big 4 firms, I can say that giving up an audit voluntarily after just one year is pretty unusual and not a good sign. Will be interesting to see how this all unfolds over coming months and years.

Of course we don’t get to see the financial accounts for last season until next June …. a 12 month lag. Will be interesting to see what’s disclosed then. But of course at the end of the day it won’t really matter as the club is totally owned by Lai and unless he has committed fraud … which I doubt (dubious practice maybe but not fraud) … there is little anyone can do …

Maybe the best we can hope for us we get promoted … Lai sells for a reasonable price .. and then f**** off.

[Dubbag]

The scrutiny of private companies goes on longer then public.
But as Calgary baggie says, there has been a lot of lost revenues this past few years...
It's chaotic out there...