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Tuesday 26th November 2024 - kick-off 7.45pm

Scottish Premiership - Hibernian v Aberdeen

Common Sense in Transfer Dealings?


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Posted

People may talk about the transfer fees being over-inflated or under-valued, but I was reliably informed recently about the mechanics of one or two transfer dealings and the examples I was given kind of prove the logic of them is actually pretty straightforward.  In basic terms, certain selling clubs can now easily argue (especially if a player is moving to the Premiership) that a player's value is equal to that of the contract they are likely to be offered by the buying club, or in other words, the more the buying club are willing to pay a player, the more valuable he is to them.

 

It's kind of backed up by these examples (in rough terms):

 

2yr contract @ £10k a week (£500k pa) = £1m

Russell Anderson

 

4yr contract @ £20k a week (£1m pa) = £4m

Scott Brown

 

5yr contract @ £33k a week (£1.6m pa) = £8m

Alan Hutton

 

I found it pretty interesting as a way of trying to get some tangibility out of transfer values.  By definition, if AFC are only ever willing to pay a player £2k a week (£100k pa) on a 3-year contract, then £300k is the max value we'd ever place on a player, yet because we're skint, it's unlikely we'll pay that for a while and we'll rely on free transfers and loan signings.

 

By the same token, I see WBA are ready to offer Hearts £2m for Roman Bednar.  Scored a few goals for them, yes, but personally I wouldn't rate him a £2m striker.  But because Hearts are likely to be paying him pretty good wages (let's for arguement's sake say £10k a week), he can thus negotiate a similar deal at WBA - if he signs a 4yr deal at £10k a week, Hearts can value him at £2m.  SImilar happened with Craig Gordon and this is how Mad Vlad sees HMFC being a big "selling club".  It's the speculate to accumulate philosophy.  Can't see the Dons catching on anytime soon...

Posted

Hearts can "afford to pay" those kinds of wages.

 

I'm glad we can't/don't though the level of the board's aspirations and willingness to support the manager financially is without doubt questionable at best.

 

I would also doubt if Brown is on 20k per week but I guess you never know given the competition for his signature at the time.

Posted

Wouldn't dream of speculating how much they'll be on at Plymouth & Preston, but it may also explain how we managed to hold out for a fee for Clark & Hart.

Posted

Hearts can "afford to pay" those kinds of wages.

 

I'm glad we can't/don't though the level of the board's aspirations and willingness to support the manager financially is without doubt questionable at best.

 

I would also doubt if Brown is on 20k per week but I guess you never know given the competition for his signature at the time.

 

Only for about 2 seasons when their turnover to wage ratio sits at 95% odds or there about.

 

But if this is true we should get Mackie on a £10K per week contract and get him punted for big bucks in the summer. :thumbsup:

Posted

Only for about 2 seasons when their turnover to wage ratio sits at 95% odds or there about.

 

But if this is true we should get Mackie on a £10K per week contract and get him punted for big bucks in the summer. :thumbsup:

 

Hence why it was in inverted commas. It seems unsustainable.

Posted

This speculate to accumulate policy would only work if 2 things happened:

 

1)  We played an attractive style of football (or be precieved to) which utilised our players in there best positions allowing them to actually show what they can do (a la Hibs)

 

2) Get the subsequent media hype about how great our players are (again a la Hibs)

 

We wont get decent money for any of our players otherwise. We made the last 32 of the UEFA cup for fuck sake, and we only got a couple of hundred grand for one of our best defenders!!

 

Oh and getting contract renewals sorted out before 30th December might help too.

Posted

 

Oh and getting contract renewals sorted out before 30th December might help too.

 

Fully agree with that....

 

Based on my extensive experience in FM (;D), contracts should be sorted out at the start of the season.

Posted

Those figures would only suggest that a player is worth their 'net worth'. In the way that a business has a base net worth on the basis of its real wealth. However, if you sell your business it has other value based on goodwill accrued or brand power etc. These intangibles add value and cannot be discarded for a business, product or a football player.

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