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FFP discriminates against clubs like Bournemouth

Kieran Maguire of the Price of Football takes an in depth look at the finances of AFC Bournemouth after they paid a negotiated fine to the EFL for breaching financial fair play rules: Every breath you take

The issue in relation to the EFL fine arose when the club was in the Championship in 2014/15, with a £30.4 million wage bill. This meant that Bournemouth spent £237 in wages for every £100 in income. He notes, 'The club presently have good control over wages, paying out just £52.42 in wages for every £100 of income, which is lower than the Premier League average.'

Maguire argues, 'FFP discriminates against smaller clubs (such as Bournemouth) who have less ground capacity than others and also against all clubs that are not in receipt of parachute payments.'

Maguire comments, 'AFCB’s owner, Maxim Demin, remains a mystery. He’s certainly put his hand in his pocket and loaned the club about £35 million. Demin’s ownership is via a company called A.F.C.B Enterprises in the British Virgin Islands. The club’s other shareholder, US based Peak6 Football Holdings are owed a further £19 million. Both these loans are interest free, unlike those of the battery powered device salesmen at West Ham, who have charged the club over £14 million in interest since they took over the club. Demin’s motives are unclear, but whilst he continues to support the club, and is keen to allow it to expand via a stadium expansion, fans probably don’t care too much.'

He concludes, 'The claims that the club somehow cheated their way to promotion in 2014/15 are excessive and unwarranted. They were fairly open about their ambitions, and spent money well, unlike the approach taken by Aston Villa in 2016/17.'

'Bournemouth were promoted to the Premier League because they played the best football in the division that season. Spending money a bit excessively by FFP purposes certainly helped their recruitment, but it didn’t give them a competitive advantage over many "bigger" clubs in the division and those in receipt of parachute payments, it merely reduced the advantage those clubs had over The Cherries.'

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