Finances

[sufcintheprem]

As I seem to be way behind almost all of the other teams in my league, I've come to question my finances and the way I should be using them.

As I'm a beginner really, I decided to err on the side of caution to start with and have maintained finances around the 0 level for the sake of prudence and have managed to sign decent players but not decent enough to compete in our league.

However, in project or business financing, it is almost inevitable that some level of debt will have to be taken up in order to build the entity up. I am toying with the idea of doing this for my hattirck team too but I'm concerned about how tight they are regarding debt.

Without a doubt, an extra £100,000, say, would work wonders for my team and I reckon I could shift up to become 3/4th. Also, my attendances have been increasing lately and I'm tempted to take the money based on future earnings.

If I take this level of debt, realistically, am I going to screw myself over to the point where I can't repay the debt, can't withdraw more money for new players and face dwindling attendances?

 

[MrB]

I don't know many teams that haven't gone into debt at some stage.

Had a look at your team and notice you don't play friendlies every week which means you're not maximising your training and therefore will never make money. You need to play a friendly every week and get some players trained for future sales before you push yourself too far into debt.

 

[Shrimpersarmy]

I am more or less always in debt.

There is nothing wrong with being in debt. As your fan clubs gets bigger, so will your attendances, therefore giving you more money. Agree with what B said though,you need to play friendlies and field a reserve side in them so more or less every player in your squad gets the benefit from training (Don't worry about the result, its the training that matters  

).

 

[sufcintheprem]

Quote[/b] (MrB @ June 27 2005,14:44)]Had a look at your team and notice you don't play friendlies every week which means you're not maximising your training and therefore will never make money. You need to play a friendly every week and get some players trained for future sales before you push yourself too far into debt.

It's usually when I get sloppy that I don't play friendlies. That said, I've been a lot better lately and have actually started arranging friendlies in advance rather than just on the Monday or Tuesday. Of course, the SZ cup will hjelp in this respect for a few weeks.

Why are friendlies so important in this respect? So far I only really arranged them to squeeze another game in (more fun) and in order to keep gate receipts marginally higher. Almost without fail, I play at home in them and don't really see the incentive for playing away, particularly international games that teams seem to quite frequently challenge me for.

I think my purchasing policy should help me regarding future sales as I have consistently bought young players who are better than my existing older players and who, presumably, should improve through being trained to add value to the team or the bank depending on what's needed.

Will certainly be interesting how many of the 6000 odd that turned up for last weekend's 6-1 drubbing will be back next weekend!!

 

[sufcintheprem]

Quote[/b] (Shrimpersarmy @ June 27 2005,15:12)]you need to play friendlies and field a reserve side in them

Uh-oh

Best give the first team a rest I suppose......

 

[MrB]

There are two reasons for playing friendlies:

1) Training
2) Form

Only players who play in the position in which you're training actually receive training that week. So if you're training defence you can play 4 or 5 players in the league match and another 5 in the friendly (or 3 and 3 for strikers etc). What are you training and how many trainees do you have?

Additionally, players who play during the week have a better chance of holding/increasing their form on a Thursday.

The results of friendlies have absolutely no bearing on your team spirit and confidence so gear your line up to benefit your training best.

 

[Birri]

Chaps,

I will be getting 400K + for the sale of 2 players today will it be worth while getting an economist to get interest while I sit on the dosh.

Made 450K and got the economist will just sit on it and wait to get a couple of new players end of the season.

 

[sufcintheprem]

Quote[/b] (MrB @ June 28 2005,09:16)]Only players who play in the position in which you're training actually receive training that week. So if you're training defence you can play 4 or 5 players in the league match and another 5 in the friendly (or 3 and 3 for strikers etc). What are you training and how many trainees do you have?

Cheers again fot he help. It's not easy being a newbie!

By my reckoning, the week where I trained defending and played the same three for both games would have been an utter waste. After the last game, I've switched to stamina training to try and play out the last 17 minutes a bit better and I'm dropping training intensity to try and raise spirit a bit.

 

[MrB]

When you've finished your stamina training chose a training regime, buy the appropriate number of trainees and stick with it. It's the only way you can go forward.

 

[MrB]

Quote[/b] (Birri @ June 28 2005,12:44)]Chaps,

I will be getting 400K + for the sale of 2 players today will it be worth while getting an economist to get interest while I sit on the dosh.

Made 450K and got the economist will just sit on it and wait to get a couple of new players end of the season.

 

 

£450k will make you a small profit with 1 economist, don't hire any more though!

There's a theory that says you should use £10m as your 'zero' base and hire 10 economists, that way you'll make £80k every week just from interest.  Sadly it might take a while to get to that position!