I care.
Nycfc Annual Profit
- Thread starter Kjbert
- Start date
I care.
With all due respect, why?
Unless you're one of the owners what difference does it make how much they're pulling in? You're talking about two of the richest firms in the world's pet project.
Well, not that it has any imminent impact on us, for the younger folks, it does actually matter. If the club is not profitable, or at least close to it, the operations are unsustainable. As seen in Italy, owners spend buckets of money on the club, owners run into financial trouble, club collapses. While we should expect losses to be high in the early years, at some point the club needs to be profitable because the Sheik may not always be inclined to throw money away, at which point we could be in for some dark years.
However, I hope they spend as much money as they can in the coming years and deliver us many MLS Cups in the meantime!
I see the point but you're talking about the Yankees and an oil oligarchy. I don't think they are too concerned with running at a deficit for the next few years.
1) Soriano won't be around forever. Rumor is he's on thin ice. If NYCFC is not sustainable, then the money dries up. Remember that this was Soriano all along and not the Sheikh. He wanted Barcelona to do this.
2) The more money they make, the more pressure it puts on the other owners/league to spend more money. If our club is profitable it pushes the league to spend more as a whole.
2) The more money they make, the more pressure it puts on the other owners/league to spend more money. If our club is profitable it pushes the league to spend more as a whole.
MagnusPax
Registered
Just wanted to mention concerning your first point that CFG and Yankees are now card carrying Board of Governers members of the Ownership of MLS. As we witnessed with Chivas USA, even in the worse case scenario of ownership, those 2 are very invested in the league and MLS will take care of NYC.
Z4CH3B99
Borracho Aficionado
This makes more sense than renting out the place.
Z4CH3B99
Borracho Aficionado
That's good to know.
The Yankees own 20% of the team.
Z4CH3B99
Borracho Aficionado
And why would they rent the stadium to themselves partially? Would they not just take x%?
No, I totally agree with you. I should've just said it outright rather than what I thought was implying it by saying they own a piece of the team.
Because it is a separate entity and even when one company owns 100% of another company they are careful to maintain separate books and management, and when they do business together they agree that one pays a specific fee to the other for whatever service or goods are provided. The owner never just reaches into the subsidiary's bank account or revenue stream and takes its cut. This way when somebody wants to sue one of them there is no excuse for suing the other. This gets especially important if one of the companies runs out of money and the parties suing would like for the other one to pay. It's called "maintaining the corporate veil." If you do not maintain that formal separation between entities, it's a mess.
Andy
Registered
It´s anyones guess if NYCFC in itself is supposed to be profitable... If say the NYCFC stakeholders make a substantial monetary return on just having a team playing in an area where they might have made investments or simply need the team to market certain goods or services the "profit" might sort of circumvent NYCFC itself.
But to be honest I don´t see it make any difference really..
But to be honest I don´t see it make any difference really..
NYCFutbol1
Registered
Is there revenue sharing? I see those shirts and jerseys selling like crazy at YS. Is that all mls revenue or how does that work? What about attendance?
Details we will never know. Since the Yankees own the stadium and the stores, I would guess that a large chunk of the sales go to the Yankees.
Where did you hear he is on thin ice?
I think it's more like $1b gross, €17.8m net.
DavidVilla
Registered
A billion dollars? You've got to be kidding, dude. I'm not even sure if Barcelona makes that much in a year.
Thats why I said gross. It would have been $2b if they allowed flares, $3b with pro/rel.
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