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Daniel Levy - Chairman

I think that it is entirely fair that you ask this question. When looking at the financial health of a club, there is no one bit of the annual report that will tell you the answer that you are looking for. You will need to look at the income statement (which will show profit and/or loss and how you get there), cash flow (because you can only spend cash) and the balance sheet (as this gives an indicator of the assets that we have on the balance sheet and the liabilities that will need to be paid). It's not the whole picture as the annual report is mainly backward looking or a point in time assessment.

In terms of answering the question "are the club just making money out of us" you will be able to see this from the wage that is paid to Levy plus any dividends that are paid. Given the risk that they bear, it is only sensible that they make some money out of it as well. You will then need to look at the other clubs to understand if that level is acceptable to you. For that I would say, instead of doing the research for yourself, read the swiss ramble. It's really good and explains the ins and outs of the clubs finances, but also other clubs so you can make that comparison.

Good advice, but I'd add to it

- Football historically has not been a good money making venture (it's actually bad business), it's been more a passion business (never a good idea). Exponentially more people have gone bankrupt vs. make any money at all.
- Very few, if any clubs make a significant profit. Chelsea is blatant money laundering & ego project, City is a PR/ego project.
- The investments in the last decade have come because people see a growth industry (tv/media deals) that could spell profit in long term.

Fans are generally idiots who can't even connect two thoughts in their own heads, e.g.

- Why don't we just buy x or y player for 50M + why is my ticket so expensive
- I don't want us to move, I don't care how much it costs to rebuild in same place + I expect ticket prices in new stadium to remain the same
- Just pay Toby/Kane/etc. what they want + why should I pay for a full price kit when knockoffs are half the price

The difference between Levy and say Pool/United ownership is Levy is making massive structural investments in the future of this club

- The training ground, stadium and area regeneration will help this club be competitive/relevant for decades.
- In addition, the on field quality of product has consistently improved over last 12+ years

In light of that alone, I really don't give a fudge how much money he makes, because he's giving me value for my money (my interpretation), a quality product that doesn't embarrass me (see other clubs conduct/chaos) and is securing the future of the club for decades to come.
 
Chelsea is blatant money laundering & ego project
In addition, don't they make a healthy profit off of sweeping the market for talents and selling the good ones after loaning them out? An ugly business which I can't believe is legal in these FPP times. Surely they lose out on a couple of gems themselves in the mess, but when a team can have 60+ players on their books it's no wonder the prices/wages for averageness are inflated.
 
Good advice, but I'd add to it


The difference between Levy and say Pool/United ownership is Levy is making massive structural investments in the future of this club

- The training ground, stadium and area regeneration will help this club be competitive/relevant for decades.

In light of that alone, I really don't give a fudge how much money he makes, because he's giving me value for my money (my interpretation), a quality product that doesn't embarrass me (see other clubs conduct/chaos) and is securing the future of the club for decades to come.

An immediate example of that is the flipping Brazilian national team arranging to stay and train at our lodge before the World Cup for a couple of weeks.
 
I think that it is entirely fair that you ask this question. When looking at the financial health of a club, there is no one bit of the annual report that will tell you the answer that you are looking for. You will need to look at the income statement (which will show profit and/or loss and how you get there), cash flow (because you can only spend cash) and the balance sheet (as this gives an indicator of the assets that we have on the balance sheet and the liabilities that will need to be paid). It's not the whole picture as the annual report is mainly backward looking or a point in time assessment.

In terms of answering the question "are the club just making money out of us" you will be able to see this from the wage that is paid to Levy plus any dividends that are paid. Given the risk that they bear, it is only sensible that they make some money out of it as well. You will then need to look at the other clubs to understand if that level is acceptable to you. For that I would say, instead of doing the research for yourself, read the swiss ramble. It's really good and explains the ins and outs of the clubs finances, but also other clubs so you can make that comparison.

Not begrudging them but the main area that "they are making money out of us" is the increase in the value of club. Having high ticket prices (continued cash flow) and a brand new sparkly stadium certainly raises this value. Even if they do not sell they can realize some of his value by using it as capital for other projects.

I cant imagine them taking less than £1BN for us with the stadium debt staying with the club.
 
Not begrudging them but the main area that "they are making money out of us" is the increase in the value of club. Having high ticket prices (continued cash flow) and a brand new sparkly stadium certainly raises this value. Even if they do not sell they can realize some of his value by using it as capital for other projects.

I cant imagine them taking less than £1BN for us with the stadium debt staying with the club.

Not disagreeing, but it's been 16+ years of investment, with lots of risk for whatever return they get. Thankfully the ENIC quick buck narrative has seemed to die in last year or so, it's always been a long term strategy for them.
 
Not disagreeing, but it's been 16+ years of investment, with lots of risk for whatever return they get. Thankfully the ENIC quick buck narrative has seemed to die in last year or so, it's always been a long term strategy for them.
Yes but the increase in the value of the club is where they will get the big return rather than asset stripping / interest on loans / wages and needs to be included when discussing "are they making money off of the club".

Other than the recent ticket price hike I am very supportive and in recent years they have not made a wrong step as their objectives (increasing the value of the club) align with the (sane) supporters, the best way to do this is improve the teams performance to get CL qualification and improve the facilities.
 
One of the financial experts in my local was moaning about the price of season tickets at Spurs, he's a typical modern pub fan, supports Chelsea but I dont think hes ever been to a game and spends £20-30 on booze and fags a day, its all about choices and a long way from when I paid 8p to see a Spurs home game.
 
One of the financial experts in my local was moaning about the price of season tickets at Spurs, he's a typical modern pub fan, supports Chelsea but I dont think hes ever been to a game and spends £20-30 on booze and fags a day, its all about choices and a long way from when I paid 8p to see a Spurs home game.

Indeed "you touch yourself or takes your choice" Nobody holds a gun and makes you buy anything.
 
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