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Competing financially?

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Riyad_Mahrez_10

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We made a £20m loss last year despite a revenue growth. This year the picture look better.

The greater stadium capacity will boost revenue by an extra £25m per season. The Western Union sponsorship adds another £5m per year, but has to be said, that is lower than Chelsea (£8m per year) and Man city (£7m per year). Man Utd, Arsenal and Spurs have yet to agree to a deal.

We will have money from the CL, and as I understand we could have a got bigger slice of the pie had one of the other teams been dumped out at the group stages.

I heard somewhere the club is entitled to a slice of Shirt sales, and with success of Salah I would hope an increase in merchandising revenue.

The stadium cost Chelsea will incur, is estimated to be around £1bn and the Spurs stadium cost is around £800m. Regardless of Roman's wealth, it will have an impact on who and what they spend their money on. Spurs have had net spend of 0 for few years now. I don't know how long their frugality will continue for, as their owner is not known for dipping in his own pocket.

I know we can't compete with the Manchester clubs but what about the rest?
 
Everyone will be in the black this year as a result of the insane tv money where finished last in the league gets you more than winning the CL
 
That doesn't give us a competitive advantage versus domestic competition though, it will simply inflate prices for premier league players further.
 
The team needs to be looking at more innovative ways of monetising our assets (one in particular being the number of loyal fanatic supporters we have). I noticed that Arsenal recently launched what is essentially a technology innovation lab where they work with technology partners (for a fee, or slice of equity) and in exchange offer access to their supporters both in general and in during games.

I pitched a similar idea in an interview at the club but I don't think they liked my southern accent
 
Very interesting read indeed. Thanks for posting !

Conclusion for those not bothered to read both articles :

Unless Arsenal manages to right the ship very quickly this will be the year that Liverpool passes Arsenal financially as well as on the field.

Arsenal's board and management are stuck operating in a world that they perceive rather than a world as it is. The risk adverse strategy that was relevant during the stadium build years is far from optimum today but Arsenal seems incapable of changing its paradigm of financial conservatism and stability over an informed use of leverage and player turnover.

Liverpool’s squad is younger and on an upswing. With an upswing comes more revenue and as long as salaries (in particular) are controlled Liverpool has the potential to benefit from a virtuous cycle.
Essentially, in a period of five years or so Liverpool and Arsenal will have swapped financial positions.
Note - A number of Liverpool supporters fear that the team may have to sell Philippe Coutinho to balance the books. If Coutinho is sold it seems to me that it will be by choice rather than a financial requirement.
 
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