Ademola Lookman

[coolhandfox]

 

People need to remember that a players transfer fee is account for over the length of a player contract

 

For example when Harry Maguire signed for Manchester United in summer 2019 for £80 million on a six year deal this works out as an annual amortisation cost of £13.3 million (£80m/6) in their accounts. 

 

[lgfualol]

No brainer. He'll cost less than Vestergaard.

[jeffschlupp]

I love the idea that people seriously think Rodgers talking about a rebuild is some sort of 'message to the board'. Top has been in the country and a visible presence at the club for most of the season and pretty much all of the last few months, they have had a number of talks about the future.

 

The club is not poor and they will have significant money to spend even without sales. Top is not the sort of chairman that is going to sit back and say 'suck it up Brendan' if the club he loves needs investment to avoid the dangers of slipping back towards the bottom.

 

This is basic negotiation policy. We all know Arsenal a few summers ago played it superbly ('we've only got £50m to spend' and then went and signed a half a dozen players at big money prices. There will be clever instalments as there were for Daka, Soumaré etc. but as coolhandfox suggests this amortisation and cost-spreading is reflected in the accounts.

 

It's a very, very exciting summer. Lookman for £14m is a no brainer way to start and I think they will get that one done.

[CosbehFox]

If you ask me this is us trying to get a reduction on that fee 

[Bottle_Of_Becks]

4 minutes ago, Cardiff_Fox said:

If you ask me this is us trying to get a reduction on that fee 

I agree , sounds like a bit of gamesmanship from Brendan

[LestaLad]

Can’t we just get him on another loan with an obligation at the end of it, if we’re trying to save funds? 

[Guest Chocolate Teapot]

25 minutes ago, Cardiff_Fox said:

If you ask me this is us trying to get a reduction on that fee 

I think there's a lot of this going on currently.

 

Haaland and Countingo going relatively cheap means there's less money flowing about.

[Will1981]

52 minutes ago, coolhandfox said:

 

People need to remember that a players transfer fee is account for over the length of a player contract

 

For example when Harry Maguire signed for Manchester United in summer 2019 for £80 million on a six year deal this works out as an annual amortisation cost of £13.3 million (£80m/6) in their accounts. 

 

Yes that is how most transfers work however the 80m Maguire fee was unusual in that we demanded the full fee upfront.

[coolhandfox]

35 minutes ago, Will1981 said:

Yes that is how most transfers work however the 80m Maguire fee was unusual in that we demanded the full fee upfront.

True, but how Man U paid us and how the accounted for in their accounts are two different things 

 

Even thou they paid us in a one off lump sum, for accounting purposes, the cost would have been spread over 6 years of his contract in Man Utd financial accounts 

 

When a player is purchased, his cost is capitalised on the balance sheet and is written-down (amortised) over the length of his contract.

 

Likewise if Man U decide to give Maguire a new contact after 3 years, there will be 40m of the original transfer on their balance sheet. If they give him a new 4 year contact they can amortise the remaining 40m over the length of his new contract at 10m a year rather then 13.33m per year of the old contact.

 

 

 

 

 

 

 

 

 

Edited 18 May 2022 by coolhandfox

[stu]

1 hour ago, StanSP said:

Lack of European TV money and everything that comes with that. 

We can't surely be budgeting for European football every year though, that is financial suicide.

 

That makes it sounds like with have to sell Youri, Cags etc, just to break even. 

 

I'm sure our business savey owners wouldn't be allow us to operate in such a fashion that is completely unsustainable?

[sacreblueits442]

8 hours ago, coolhandfox said:

 

People need to remember that a players transfer fee is account for over the length of a player contract

 

For example when Harry Maguire signed for Manchester United in summer 2019 for £80 million on a six year deal this works out as an annual amortisation cost of £13.3 million (£80m/6) in their accounts. 

 

...much the same as depreciation!!!

So does that mean the stated £90m is partly accruals?

[Luttfox]

If we can afford it without having to cut corners on other transfer targets its a no brainer tbh. I'd imagine after his performances this season there would be other prem clubs who'd happily snap him up for £14m

[coolhandfox]

1 hour ago, sacreblueits442 said:

...much the same as depreciation!!!

So does that mean the stated £90m is partly accruals?

Not sure about it being an accrual, I'm no football financial expert, just what I've pick up from reading Swish Rambles blogs/twitter 

[HybridFox]

In the current market, that's a good deal. He's shown his worth in this squad when called upon

[Fazzer 7]

somewhere around 12 million and he would be a good signing imo. 8 goals already and he's still young enough to improve. gerimin.

[MarriedaLeicesterGirl]

I think it is a no-brainer on its own, but the added bonus is that I think Barnes sorta needs someone breathing down his neck for his spot, or else he doesn't really apply himself.

[Leicester_Loyal]

I think we'll sign him for 10-12m, which is great business.

[Walshy5]

Although Lookman is a decent player I'd be looking to spend the money elsewhere. We need players that will be in the starting line up and not back up. Lookman isn't good enough to be a regular starter if we are aiming top 6.

[Babylon]

2 minutes ago, Walshy5 said:

Although Lookman is a decent player I'd be looking to spend the money elsewhere. We need players that will be in the starting line up and not back up. Lookman isn't good enough to be a regular starter if we are aiming top 6.

We'd have to buy two, his comments about challenging Barnes on the left seem to suggest he knows that. We aren't going to be able to afford to starting wingers, so one on the right and a backup who is fairly decent is alright. 

[turkish14]

My son has just called from outside the ground, apparently Lookman was asked if he’s staying next season and he replied he would be. 

[KFS]

5 minutes ago, turkish14 said:

My son has just called from outside the ground, apparently Lookman was asked if he’s staying next season and he replied he would be. 

I asked Miguel Vitor this once and he said yes. Pain.

[Foxhateram]

He will sign. 

[sdb]

£14m is good business in today's market. We've spent more on worse...many times.

[RobHawk]

I like him, for a first season with us, he's done well on the goals and assists point of view. But he offers something a bit different and has been great as an impact sub at times too

[CrispinLA in Texas]

57 minutes ago, sdb said:

£14m is good business in today's market. We've spent more on worse...many times.

Abit pricey for an impact sub!

Maybe 10 to 12m