Training ground renamed..

[Olivergoldblack]

Not really. Old Trafford gets far more media exposure than Molineux so the value would be adjusted accordingly.

So value of the club is the main factor in leveraging market value of sponsorship? Who decides the value of a club and where are the lines drawn. I.e. if Man u end up 8th this season and not in Europe next season, and we end up in the Champions League - could we then get 26m for naming Molineux, as we're getting more exposure than Man U? I just think its discriminatory that 'lesser' clubs can't tap into the same revenue potential just because they're not considered the 'big 4' or whatever, and it prevents them bridging the gap to the top. I think there should be a maximum for each league on stadium sponsorship, not a limit depending on market value.

 

[Fast Eddie]

So value of the club is the main factor in leveraging market value of sponsorship? Who decides the value of a club and where are the lines drawn. I.e. if Man u end up 8th this season and not in Europe next season, and we end up in the Champions League - could we then get 26m for naming Molineux, as we're getting more exposure than Man U? I just think its discriminatory that 'lesser' clubs can't tap into the same revenue potential just because they're not considered the 'big 4' or whatever, and it prevents them bridging the gap to the top. I think there should be a maximum for each league on stadium sponsorship, not a limit depending on market value.

Deloitte and their like give football clubs a valuation of worth each year. UEFA will probably do something similar their selves. But I would assume they wouldn't base a sponsorship deal's market value on the value of the club, more the amount of exposure the club receives, although both these perameters are closely correlated.

To set all stadium deal's as equal maximum value would be counter intuitive to current FFP as it stands.

I personally don't think FFP is completely fair but we have it at present and have to abide by it.

 

[Kiddywolves]

I’d imagine Fosun have covered and will continue to cover the cost for any development and maintenance at Compton.

If they have paid 10million to sponsor Compton it makes no difference that only 2 can be used towards FFP, because the other 8 would be spent on the training facilities. Which in turn would free up money within the club and make us a more attractive and valuable club in the long term.

 

[Fast Eddie]

I’d imagine Fosun have covered and will continue to cover the cost for any development and maintenance at Compton.

If they have paid 10million to sponsor Compton it makes no difference that only 2 can be used towards FFP, because the other 8 would be spent on the training facilities. Which in turn would free up money within the club and make us a more attractive and valuable club in the long term.

That's not correct. You can spend as much as you like on training facilities,. stadium, pitch etc without it counting towards your expenditure with regards to FFP. The only outlays that count towards FFP are player and manager wages, transfer fees and agents fees.

Any commercial revenue counts towards your FFP allowance. Therefore if Fosun spend £8m on upgrading the training ground it won't affect our FFP budget. But the £10m brought in by the sponsorship would be added to our FFP budget.

 

[Kiddywolves]

That's not correct. You can spend as much as you like on training facilities,. stadium, pitch etc without it counting towards your expenditure with regards to FFP. The only outlays that count towards FFP are player and manager wages, transfer fees and agents fees.

Any commercial revenue counts towards your FFP allowance. Therefore if Fosun spend £8m on upgrading the training ground it won't affect our FFP budget. But the £10m brought in by the sponsorship would be added to our FFP budget.

I was trying to highlight it doesn’t really matter if there sponsorship counts towards FFP or not because as you stated facilities and academy don’t count. They can spend millions now developing the training ground etc ready for future success

But by them sponsoring the training ground they have probably paid for all the work without it affecting the clubs day to day spending