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Lamare Bogarde

Jimmy

First Team Squad
What are these loopholes and how do they work?
 

Villa_Fan

First Team Squad
What are these loopholes and how do they work?
Using the Villa / Everton scenario.

Iroegbunam is a reserve player at Villa coming from the youth ranks and doesn't feature in Emery's plans for the 1st team albeit he has a lot of potential. Dobbins finds himself in the same position with Dyche. As they are both youth players if we sell them all of the money received will be registered as profit this year and helps against PSR. When a club buys a player the transfer fee is spread out over the term of the contract e.g a 4 yr contract means 2.5m loss per year.
So Villa and Everton people have a steak and a nice bottle of Bordeaux together and agree to sell / swap two fringe / youth players and register them as a 10m sale. We sell Iroegbunam for 10m and have 10m profit to PSR, We buy Dobbins for 10m and it costs us 2.5m a year if we give him a 4 year contract. And the same for Everton, they buy Iroegbunam and sell Dobbins. So we basically swap academy / fringe players and register a 7m/8m profit.
Technically, and from an accounting perspective its referred to as a 'F**k PSR transfer' and the more clubs that do it and give two fingers to PSR the better :)
 

Statto

Free Kick Specialist
Using the Villa / Everton scenario.

Iroegbunam is a reserve player at Villa coming from the youth ranks and doesn't feature in Emery's plans for the 1st team albeit he has a lot of potential. Dobbins finds himself in the same position with Dyche. As they are both youth players if we sell them all of the money received will be registered as profit this year and helps against PSR. When a club buys a player the transfer fee is spread out over the term of the contract e.g a 4 yr contract means 2.5m loss per year.
So Villa and Everton people have a steak and a nice bottle of Bordeaux together and agree to sell / swap two fringe / youth players and register them as a 10m sale. We sell Iroegbunam for 10m and have 10m profit to PSR, We buy Dobbins for 10m and it costs us 2.5m a year if we give him a 4 year contract. And the same for Everton, they buy Iroegbunam and sell Dobbins. So we basically swap academy / fringe players and register a 7m/8m profit.
Technically, and from an accounting perspective its referred to as a 'F**k PSR transfer' and the more clubs that do it and give two fingers to PSR the better :)
Sounds about right.

Player sales going on pretty much straight away but new signings being amortised means that a player swap like this is just another way of fiddling the books.

You guys could always reverse the swap next season so you get the original players back too
 

Villa_Fan

First Team Squad
My mate's a Villa fan. Says the talk on their forum is of them signing Zach Abbott.
I just love the clear statement of F**k PSR with these transfers. No doubt both clubs would prefer to just keep their young up and coming youth players rather than sell them but to openly do these trades is a great way to highlight how the current system is not fit for purpose
 
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