View Full Version : League Of Ireland -What's the magic number?
Lim till i die
07/01/2015, 1:44 AM
So Limericks' recent hiccups got me thinking about finances in the league. (Hooray a finance thread)
What would it take for a club to be self sufficient??
Or is the question pointless because clubs will always have/need lads throwing a hefty few quid at them??
Literally back of an envelope figures here (feel free to add your own more accurate ones) but say a middling Premier club (and I'm going to be very generous with the income and very mean with the expenditure here) you're looking at:
Wages: 700,000
Training: 30,000
Insurance: 25,000
Medical: 50,000
Travel: 20,000
League Costs: 40,000
Expenditure: 865,000
Main Sponsor: 100,000
Other Sponsors: 50,000
Balance to be made up - 715,000
Say you've 18 home games and bear in mind a crowd of 4,000 will net you about 30,000 if you're lucky and where are you going??
How far are clubs away from sustaining themselves at a decent standard?? (remember these boys here aren't winning the Premier any time soon)
Is it even possible??
Discuss.
Ezeikial
07/01/2015, 8:40 AM
I am very dubious if these type of threads actually end up providing any real clarity.
That said, the starting point should always be the projected income with expenditure set in relation to this.
€700,000 is a big wedge for wages. If you extract say €120,000 - €140,000 to account for the management team the balance of €560,000 allows a weekly playing budget of €14,000 - not mid table obscurity
I doubt if many clubs will come near €100k from their main sponsor.
The playing budget is the big variable and should be the last item factored in
peadar1987
07/01/2015, 11:30 AM
Isn't there a 65% wage cap?
700k seems pretty high for a mid table side, but then looking at last year's table there's only Bohs that I'd guess would strike me as definitely a long way off it.
The money is clearly in management if the 120-140k figure for that is anywhere near being true!
Ezeikial
07/01/2015, 11:57 AM
The money is clearly in management if the 120-140k figure for that is anywhere near being true!
It was a generous amount that I deducted from the 700k figure quoted to cover Manager, Coaches, Physio etc. A lower (more realistic) amount would further illustrate the extravagance of the estimated 700k for "wages"
Sam_Heggy
07/01/2015, 12:05 PM
Anyone have a number for the sponsor willing to pay out €100k for the season?
Thanks in advance.
Lim till i die
07/01/2015, 12:43 PM
Manager
Coaches
Admin Staff
Players
Thought I was being conservative with 700k to be honest.
If you think anyone in the top four or five of the Premier is paying out less than 14k a week I've some Limerick Barcelona tickets to sell you.
Sam the 100k was me being very generous, I think Shams is around that?? Couldnt tell you after that
Ezeikial
07/01/2015, 1:42 PM
Manager
Coaches
Admin Staff
Players
Thought I was being conservative with 700k to be honest.
If you think anyone in the top four or five of the Premier is paying out less than 14k a week I've some Limerick Barcelona tickets to sell you.
Sam the 100k was me being very generous, I think Shams is around that?? Couldnt tell you after that
Although a little dated this might be of help to you
SLIGO ROVERS 2011 FAI Cup winning team cost over €750,000 to run, according to figures revealed at the club's annual general meeting in the Clarion Hotel.
The total salary cost for players, manager, coaches, medical expenses and rental accommodation for players came to €758,043, outgoing Treasurer, Vincent Nally, disclosed.
The gross basic salary for the club's professional players came to 552,590, up from €480,660, the previous year. When ER PRSI costs of €55,361 were added, it brought the total players salary costs to €577,951 as compared to €531,634 in 2010.
Gross basic salary for the manager and coaching staff was €110,692, up from €86,637 the previous year. ER PRSI costs under this heading were €11,323, bringing the total salary costs for the manager and coaching staff up to €122,015.
http://www.independent.ie/regionals/sligochampion/sport/soccer/cost-of-running-the-cup-winners-was-750000-27588175.html
It's different for every club, and for every season. With so many variables it's impossible to say what the magic figure is. Just a couple of factors to consider... ambition (title, Europe, midtable, avoid the drop?), ownership of ground, maintenance of ground, bar income, Euro income, Euro expense, members scheme/500 club?, generosity/ insanity/ ego of owner, support base, payment of historic debt
Bohs have made money the past 3 years. Model club
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