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Balance Funds vs Transfer Budget

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I have been doing some playing around with a league... I had added some Teams into Fm21... My General Question is.. I know Balance overall will go up or down but if the league does not start until season 2 and adding in the teams in season 1 is it the transfer budget that needs to be increased... I know the transfer budget allows you to purchase players from other teams... What does team Balance do in FM21. If starting out with a Fresh team do i want more Transfer budget the Team Balance?

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Just now, Harper said:

My understanding is that the transfer/wage budget is what is available of the balance for transfer fees and contracts.

Just cause I am changing CPL so if i put 12 teams to the 8 and with it being covid era the current 8 teams have players so I want to give the other teams a transfer budget to sign players for the second season thanks Harper


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