On 10/12/2021 at 05:49, Dante said:

And loyal supporters that refused to abandon the club. We have by far the best supporters of any club, we didn't jump on board this year, we've been there for ever.

Sorry I am including us supporters, coaches, players and admin in this group of hard working brilliant people.😀💕

To be profitable during Covid is a minor miracle. We would be in a deep hole if we hadn’t played finals again this year and would likely have had to tap the AFL for cash

We’ll have a windfall from the Bentleigh club sale but those funds will be earmarked for the home base you’d think. We have to get the home base off the ground and ensure it is income generating upon completion. Getting that project right is critical to set the club up for financial security into the future. Outside of football it has to be out No 1, 2 and 3 priority. I expect Kate Roffey to deliver in this regard but I am weary and impatient with the slow progress

  On 10/12/2021 at 04:09, george_on_the_outer said:

What is yet to be explained is how a Future Fund will generate the $2M of profit in the current environment, that these venues did for us, on a capital base of only $23M.  i.e. a 10% return each and every year!

Sounds like Mr Finance here hasn't heard of bitcoin.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

JK!

  On 10/12/2021 at 06:04, BDA said:

We’ll have a windfall from the Bentleigh club sale but those funds will be earmarked for the home base you’d think.

That money has gone into the Future Fund.

Funding the home base will be interesting. Few clubs have used their own funds to any great degree in this area

  On 10/12/2021 at 06:40, Diamond_Jim said:

That money has gone into the Future Fund.

Funding the home base will be interesting. Few clubs have used their own funds to any great degree in this area

I think you'll find that the State Government will finance it. 

We must keep winning big games and believe that we are in our rightful position 

Become once again, one of the “Big 4” and be hated by opposing Supporters 

  On 09/12/2021 at 23:58, deelusions from afar said:

Next year will be a 'down' year in terms of the ANZAC eve game and Queens birthday blockbuster games both being away.  We do play the pies again as a home game but it is late in the season and there is a good chance they might be done by then which might reduce the crowd.

This isn't necessarily a terrible thing - we will get a natural bounce due to the premiership win next year and have these up our sleeves in 2023.

No chance they'll be done by then. They're done now. 

  On 09/12/2021 at 23:39, BDA said:

On field success leads to off field financial success. Very difficult to be financially secure if not playing and winning finals.

well done all. Great outcome with hopefully more to follow over the next few years 

• Essenscum just posted a COVID-19 profit of $8M. Haven't won a final in 18 years. 
• Carlton just posted a COVID-19 profit of $20M. Haven't won a final in 8 years. 
• Norf are debt free and haven't won a final in six years.

It's not that difficult.

Edited December 10, 20213 yr by Queanbeyan Demon

  On 10/12/2021 at 09:47, Queanbeyan Demon said:

• Essenscum just posted a COVID-19 profit of $8M. Haven't won a final in 18 years. 
• Carlton just posted a COVID-19 profit of $20M. Haven't won a final in 8 years. 
• Norf are debt free and haven't won a final in six years.

It's not that difficult.

cant explain north being debt free based on membership sales 46k ( save our skins i suspect)

however carlton and essendon have 28k more members than  us These are established sides with hundreds of thousands of supporters with long time family  based fans . We lost fans over last 50 odd years . Go to auskick one sat morning , very few  melbourne jumpers . Kids will go to winners  , keep winning prime time games and more grand finals and you will get kids asking to go to melbourne games . 
 

re carlton

just checked their figures 1.2m operating profit 

Carlton would be stuffed without Pratt and mathison bail outs over the years

 

THE CARLTON Football Club is pleased to today announce a net operating profit of $1,282,346 for 2021, up on the operating break-even result achieved in 2020 of $34,639.

This operating result has contributed to the Club declaring a statutory net profit position of $20,257,029 for the year ended 31 October 2021 – inclusive of government grants and philanthropic contributions towards the IKON Park Redevelopment, which has now surpassed 50 per cent completion.

Re essendon

Essendon Football Club is pleased to have strengthened its financial position in 2021, announcing a statutory profit of $8.2 million.

This is made up of an underlying profit from operations of $1.2m, together with $7m of donations and grants directly attributable to the expansion of the NEC Hangar development. The underlying cash profit from operations was $5m.

 I think The selling of bentleigh club Proceeds will be in statutory profit next Year  . 

from annual financial report
The Club entered a contract of sale for the Bentleigh Club land during the year. The sale contract
  is for $23.7m, $1.2m above the carrying value, and will enable the Club to create a Future Fund with the sale proceeds (after transaction costs) of ~$23.3m upon settlement of the transaction in 2022

my original post was based on original figures quoted on Carlton and Essendon . They were not operating profit . Cant compare apples with oranges . Further digging and quoted from the efc and cfc showed lower operating profit than us .

Edited December 10, 20213 yr by Satan

  On 10/12/2021 at 06:04, BDA said:

To be profitable during Covid is a minor miracle. We would be in a deep hole if we hadn’t played finals again this year and would likely have had to tap the AFL for cash

We’ll have a windfall from the Bentleigh club sale but those funds will be earmarked for the home base you’d think. We have to get the home base off the ground and ensure it is income generating upon completion. Getting that project right is critical to set the club up for financial security into the future. Outside of football it has to be out No 1, 2 and 3 priority. I expect Kate Roffey to deliver in this regard but I am weary and impatient with the slow progress

It's why we should be investing in Fishermans Bend site.. A Community entertainment Centre with training facility and admin building attached. 

To provide our future base and income generation with capital growth.

  On 10/12/2021 at 12:40, dpositive said:

It's why we should be investing in Fishermans Bend site.. A Community entertainment Centre with training facility and admin building attached. 

To provide our future base and income generation with capital growth.

We will be at Gosch’s Paddock…

  On 10/12/2021 at 13:07, Sir Why You Little said:

We will be at Gosch’s Paddock…

Well that's ok I guess there's a sound economic plan.  

 

  On 10/12/2021 at 09:47, Queanbeyan Demon said:

• Essenscum just posted a COVID-19 profit of $8M. Haven't won a final in 18 years. 
• Carlton just posted a COVID-19 profit of $20M. Haven't won a final in 8 years. 
• Norf are debt free and haven't won a final in six years.

It's not that difficult.

It's difficult for us because we don't have a large supporter base. We only made a profit because of the large boost we got from merch sales as a result of the GF win

I don't know what Essendon and Carlton did this year but i suggest we copy it. $8m and $20m is an unbelievable effort from them

 

  On 10/12/2021 at 12:40, dpositive said:

It's why we should be investing in Fishermans Bend site

I think it would be a great site as well but we are all in on the MCG precinct

  On 10/12/2021 at 21:20, BDA said:

It's difficult for us because we don't have a large supporter base. We only made a profit because of the large boost we got from merch sales as a result of the GF win

I don't know what Essendon and Carlton did this year but i suggest we copy it. $8m and $20m is an unbelievable effort from them

 

Stop thinking small. We must continue to DEMAND a winning Culture 

That is why other Clubs have Supporters

We can be so much bigger than what we are. Pert understands this

Melbourne will soon be the biggest City in the Country, we must follow suit. 

  On 10/12/2021 at 21:20, BDA said:

It's difficult for us because we don't have a large supporter base. We only made a profit because of the large boost we got from merch sales as a result of the GF win

I don't know what Essendon and Carlton did this year but i suggest we copy it. $8m and $20m is an unbelievable effort from them

 

See my post above , donations and government grants got them the profit but thats non operating profit

  On 10/12/2021 at 04:09, george_on_the_outer said:

Most of the GF prizemoney goes to the players:

"There was a $4.7m increase in player payments,
including $0.5m relating to the players share of AFL prizemoney as a result of winning the
Premiership."

Now for the stuff to keep an eye on:

$2.4M in prepayments for merchandise and memberships paid for before 31 October.  That alone wipes out the profit.

$34M for sale of Leighoak and Bentleigh club.  $11M went to paying debt.  That is why we are "debt free"...we sold assets.

What is yet to be explained is how a Future Fund will generate the $2M of profit in the current environment, that these venues did for us, on a capital base of only $23M.  i.e. a 10% return each and every year!

I had no idea this is how it worked... so essentially if you win the premiership you have an extra 1/2 mill to play with in your salary cap?  Could you rearrange your finances so that all the prizemoney goes to the players (outside the cap) and other areas that received the bonus this year are paid a separate bonus?

I guess the amounts are so small in a relative sense (of the total salary cap) that's its really a drop in the ocean?

  On 11/12/2021 at 00:23, Sir Why You Little said:

Stop thinking small. We must continue to DEMAND a winning Culture 

That is why other Clubs have Supporters

We can be so much bigger than what we are. Pert understands this

Melbourne will soon be the biggest City in the Country, we must follow suit. 

Not thinking small at all just stating a fact SWYL

We have a small base because we have been success starved. Now that we are back on the winners podium we can grow the base particularly by attracting the kids. So good to see so many running around in Demons gear

We can absolutely grow and rival the Pies, Bombers, Carlton and Essendon. We carry the name of the city we reside in, play an exciting brand, have very marketable stars like Gawny and Trac and age demographic wise have a young list so can dominate for a few years. And we have a very good womens team who are capable of a flag themselves. They will attract female members hopefully.

With sustained success over the next few years we should aim for 100,000 members. No reason we can’t hit that mark

  On 11/12/2021 at 01:22, deelusions from afar said:

so essentially if you win the premiership you have an extra 1/2 mill to play with in your salary cap? 

nope

It's essentially match payments for playing extra games in the finals.

I imagine that it is divided in the same ratio as seasonal payments.

When you consider that you are paying the whole squad it really isn't a moneyspinner for the players.

Not that many years ago teams actually lost money by playing in the finals. Thus the "prizemoney"

  On 11/12/2021 at 02:11, BDA said:

Not thinking small at all just stating a fact SWYL

We have a small base because we have been success starved. Now that we are back on the winners podium we can grow the base particularly by attracting the kids. So good to see so many running around in Demons gear

We can absolutely grow and rival the Pies, Bombers, Carlton and Essendon. We carry the name of the city we reside in, play an exciting brand, have very marketable stars like Gawny and Trac and age demographic wise have a young list so can dominate for a few years. And we have a very good womens team who are capable of a flag themselves. They will attract female members hopefully.

With sustained success over the next few years we should aim for 100,000 members. No reason we can’t hit that mark

I don’t think our Supporter base is as small as you infer

A lot of our Supporters have been watching in the shadows. 
they had had enough…

I agree with the above 

But we are not a small club. But now we do have to stand up…

I’m pretty sure Carlton gave away about 10k memberships for free on the understanding that those members would hopefully Renew.

I believe there is a large latent supporter base that has been out there but not active.  In WA now I see kids wearing their Dee's jumpers to shops now, that didn't happen before.  So we should see an active upswing.

 

Giving away memberships is not a bad strategy.  Membership is worth more than what we pay for them to the club.  Like frequent flyers (Huge $ value for Qantas) is a known market that  business can tap into.  The argument is do we have really cheap membership and huge numbers or use them as a income stream as we currently do.

 

 

  On 11/12/2021 at 03:49, Darkhorse72 said:

I believe there is a large latent supporter base that has been out there but not active.

Relatively well documented in past years that MFC is at the top end of turning supporters into members.

Sure there's another 10-20k members out there but building real support will require ten years of dominance a la Hawthorn

Never underestimate what 60 years of under performance can do to a club. You don't fix that in one year

  On 11/12/2021 at 04:20, Diamond_Jim said:

Relatively well documented in past years that MFC is at the top end of turning supporters into members.

Sure there's another 10-20k members out there but building real support will require ten years of dominance a la Hawthorn

Never underestimate what 60 years of under performance can do to a club. You don't fix that in one year

It is strange isn’t it. We have watched 60 years of pathetic performances, our rusted on supporters are old and kids have been embarrassed to wear the colours for a decade or more. 
But then we play Geelong in 2018 in finals in front of 92,000 and our supporters out number theirs 3 to 2. I believe we have ability to rebuild quicker than most clubs could. We play at the G, we are called Melbourne and have great colours (honestly who would want to wear the Hawthorn colours out?). 

Watch the rise of the Demon Phoenix 

  On 10/12/2021 at 04:09, george_on_the_outer said:

Most of the GF prizemoney goes to the players:

"There was a $4.7m increase in player payments,
including $0.5m relating to the players share of AFL prizemoney as a result of winning the
Premiership."

Now for the stuff to keep an eye on:

$2.4M in prepayments for merchandise and memberships paid for before 31 October.  That alone wipes out the profit.

$34M for sale of Leighoak and Bentleigh club.  $11M went to paying debt.  That is why we are "debt free"...we sold assets.

What is yet to be explained is how a Future Fund will generate the $2M of profit in the current environment, that these venues did for us, on a capital base of only $23M.  i.e. a 10% return each and every year!

I imagine some of the proceeds of the sale will contribute to paying off part of the new facilities. Like other clubs we will sell the naming rights for a mill or two all going to plan. Pies get about $3 mill per annum