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Sunderland facing receivership yet i've balanced the books! Whats going on!?!


AJ1

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Right.

^ that indicates a small rant.

I complained a little while ago about the club providing me with £0 starting transfer budget in season 1, yet in November of the first season I had been given £37m to spend on players - Where that came from I have no idea! and other people reported having similar increases at other clubs in the game at the same time, indicating that this could be scripted.

However, now im in the 3rd season and i've spent the following on players each season.

Season 1 In = £17.5m | Out = £130k

Season 2 In = £34m | Out = £7m

Season 3 In = £4.2m | Out = £15.75m

Season 4 In = £3.4m | Out = £9.5m

The club also swallowed up £28m I had left over in my season 4 transfer budget.

Total Net Spend = ~£59.1m

Total Net In = ~£61.3m

My control of the wage budget is 100% and the board are delighted with my extremely tight control of wage expenditure.

Therefore I cannot see how the clubs financial situation is worsening to the point where the board have to keep providing small injections of cash to stop the club entering receivership usually around the £4m mark.

I have made my own money for transfers as I haven't technically spent any money, whatever has gone out has been balanced by money coming in from the sale of players, infact im at a small profit of around £1m.

So i've made my own budget to spend on players, the wage budget is tightly controlled and has been through all 4 seasons.

So why is the club bordering on receivership!?

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A club's solvency does not depend solely on the manager staying within the transfer or wage budgets. The key is the balance and whether or not the club is losing money overall. Post the general ledger for the last couple of years if you have it.

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Gee, I don't know. Maybe it's the fact that they aren't earning enough in TV rights and Ticket sales to cover their operating expenses?

Maybe it's all the staff you have on board, making the total salary paid out more than the club can handle?

Maybe it's a batch of loans which require payment of interest and principle at a rate the club cannot really handle?

So many possibilities, none of which deal with player salaries and transfer payments. ;)

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