I meant what I said and I said what I meant. MLS will be a top league in the World by 2022 one-hund

Discussion in 'MLS: Commissioner - You be The Don' started by triplet1, Nov 29, 2012.

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  1. song219

    song219 BigSoccer Supporter

    Apr 5, 2004
    La Norte
    Club:
    DC United
    Nat'l Team:
    Vanuatu
    Didn't MLS just register the net address? ;)
     
  2. HailtotheKing

    HailtotheKing Member+

    San Antonio FC
    United States
    Dec 1, 2008
    TEXAS
    Club:
    San Antonio Scorpions FC
    Nat'l Team:
    United States
    The Portsmouth players that went months without their wages would kindly like you to get a grip on reality.
     
  3. deejay

    deejay Member+

    Feb 14, 2000
    Tarpon Springs, FL
    Club:
    Jorge Wilstermann
    Nat'l Team:
    Bolivia
    I think it's fair to say that the current MLS is one of the most stable leagues in the world. Here's a better metric than bankruptcy. When has an MLS player not been paid his salary on time?
     
  4. El Naranja

    El Naranja Member+

    Sep 5, 2006
    Alief
    Club:
    Houston Dynamo
    Nat'l Team:
    United States
    Hell, even during Contraction people still got paid on time. Or, I should say no one ever came out and said they didn't get paid.
     
  5. ceezmad

    ceezmad Member+

    Mar 4, 2010
    Chicago
    Club:
    Chicago Red Stars
    Nat'l Team:
    United States
    That is the plus if having "one owner" paying all the players, the only issue MLS could face is if one owner/operators has financial issues and is not able to make his cash call to MLS HQ, I assume MLS would pay all the salaries regardless and then threaten the owner/operator with losing his franchise agreement and having the league take over the day to day operations of the team (like the NHL and NBA have done for some teams, buying out the investors).
     
  6. JasonMa

    JasonMa Member+

    Mar 20, 2000
    Arvada, CO
    Club:
    Colorado Rapids
    Nat'l Team:
    United States
    Isn't that essentially what happened with Horowitz and the Miami Fusion?
     
  7. sidefootsitter

    sidefootsitter Member+

    Oct 14, 2004
    Ain't much of a salary, however.
     
  8. ceezmad

    ceezmad Member+

    Mar 4, 2010
    Chicago
    Club:
    Chicago Red Stars
    Nat'l Team:
    United States
    Well total for the 19 teams wage bill is pretty decent; more than say Honduras and Indonesia where some clubs are having issues.

    I believe that at least the top 18/20 players per team get paid by the league (not sure how the DP payments work legally, probably the operator pays the League and the League pays the player), so MLS HQ salary payment is around 70 million per year if I remember correctly.

    I think so, not sure about the details behind Tampa and Miami.
     
  9. deejay

    deejay Member+

    Feb 14, 2000
    Tarpon Springs, FL
    Club:
    Jorge Wilstermann
    Nat'l Team:
    Bolivia
    As compared to the very top leagues, yes. However, MLS pays quite well compared to some very established and talented leagues in South America. The highest paid Chilean player gets 34k a month, the highest paid Colombian 56k a month. Riquelme, the highest paid in Argentina, got 1.25 million last year. There are differences in those lists, for instance the second best paid Colombian actually earned 30% percent less, while in Argentina there are quite a few players close in salary to Riquelme. I couldn't get much of a list of lowest salaries. I only found that in Colombia there are professional first division players being paid as low as 600 a month. The highest monthly club wage bill in Chile is 440k. So looking at that list you've got to think that MLS would be an attractive destination to those players.
     
  10. chapka

    chapka Member+

    May 18, 2004
    Haverford, PA
    Club:
    Philadelphia Union
    Nat'l Team:
    United States
    Hell, there are leagues in Europe that have lower wage bills than MLS. Last time ESPN surveyed team wages, there were La Liga teams with lower average salaries than the Galaxy, and even if you leave the cap-busting Galaxy and Red Bulls out of the equation, threre's not much of a gap between MLS and the SPL. I don't know what player wages are like in Belgium, or Cyprus, or Estonia, or the Allsvenskan, but I'm guessing they're closer to Scotland than they are to England.
     
  11. ceezmad

    ceezmad Member+

    Mar 4, 2010
    Chicago
    Club:
    Chicago Red Stars
    Nat'l Team:
    United States
    5,280,000.00

    That is just above the average MLS payroll, no wonder many Colombian players go abroad to Mexico and MLS.
     
  12. HailtotheKing

    HailtotheKing Member+

    San Antonio FC
    United States
    Dec 1, 2008
    TEXAS
    Club:
    San Antonio Scorpions FC
    Nat'l Team:
    United States
  13. sidefootsitter

    sidefootsitter Member+

    Oct 14, 2004
    I remember a while ago, before many of you joined, there was a gentleman (he doesn't post often these days if at all) who was deemed anti-Bobby Convey because he was flummoxed about interest in him from clubs like Tottenham and then not impressed with Bobby's eventual transfer to Reading.

    Another poster wrote in reply, "You're just jealous 'cos Bobby at ~ $400K/Y will be making more than you".

    The "anti-Bobby" poster then replied back, "Eh, he won't be". (and he was telling the truth too)

    In any case, the "mean" - 50% players make more/50% make less - wage in MLS is/was under $100K, which is about a League Two/Regional Liga (4th Tier) in England or Germany.

    Ho-hum.

    Top wages in Belgium are ~ $2M/Y at clubs like Anderlecht but there are obviously no DP's, so an average pay is closer to $300K-$400K or so.

    It's about $200K in Sweden, ~ $500K in the Netherlands, $2.5M in the EPL.

    That is correct.

    However, let's consider the economic wealth data.

    GDP per capita/nominal CIA -

    US - $48,400.

    Chile - $14,400

    Brazil - $12,400

    Mexico - $10,400

    Argentina - $10,400

    Costa Rica - $8,700

    Colombia - $7,200

    Peru - $6,000

    El Salvador - $3,700

    http://en.wikipedia.org/wiki/List_of_countries_by_GDP_(nominal)_per_capita
     
  14. HailtotheKing

    HailtotheKing Member+

    San Antonio FC
    United States
    Dec 1, 2008
    TEXAS
    Club:
    San Antonio Scorpions FC
    Nat'l Team:
    United States
    It's 90K when the outliers are excluded (both top and bottom). It's 162K when they are included.

    The median for the US is 50K
    http://www.nytimes.com/2012/09/13/us/us-incomes-dropped-last-year-census-bureau-says.html?_r=0

    Even taking the adjusted number, your damn near double your money in the MLS.

    Ho-hum.
     
  15. sidefootsitter

    sidefootsitter Member+

    Oct 14, 2004
    Double whose money?

    If it wasn't for the poorer European nations/leagues protecting their home grown - and in part to the Latinization of the US - MLS would struggle badly in the $50K-$250K African/South American labor market too. Recently, however, Sweden and Norway joined Belgium in virtually abandoning the non-EU rules and are giving MLS a serious run for both the Africans and the top US prospects.
     
  16. M

    M Member+

    Feb 18, 2000
    Via Ventisette
    I realize that you were presumably trying to "prove" leg_breaker wrong, but in terms of comparing the stability of the English model versus the US model, it doesn't prove a darned thing without comparing the number of lower division US teams that have disappeared or reorganized under Chapter 11 etc. After all, none of your listed teams have played above the third level in modern history.

    How is this comparison even remotely relevant given the four teams that have gone bankrupt in England?

    Three of that list got into financial difficulties largely because of stadium construction debts. It must be nice having local taxpayers to fleece for your stadium.
     
  17. deejay

    deejay Member+

    Feb 14, 2000
    Tarpon Springs, FL
    Club:
    Jorge Wilstermann
    Nat'l Team:
    Bolivia
    Or you could actually try living in those countries (like I have) and see how far your money goes in getting a good standard of living. For your info, Bogota is 25% cheaper than Seattle. Not much of a difference. You also won't be surrounded by masses of desperately poor people some of whom may well consider murder to get a bit of cash.

    So in essence, living in a stable country where you don't need to hire guards, where you're wife can get a much better paying job, where your kids can get quality schooling for free, where you never need to worry about getting paid four months late can make those extra 25% seem a bargain.
     
  18. sidefootsitter

    sidefootsitter Member+

    Oct 14, 2004
    Been there, done that.
     
  19. deejay

    deejay Member+

    Feb 14, 2000
    Tarpon Springs, FL
    Club:
    Jorge Wilstermann
    Nat'l Team:
    Bolivia
    Well it apparently didn't take that GDP per capita can only tell you how poor or rich the average person is in the country. So maids may be a heck of a lot cheaper in Honduras but a Toyota Camry, laptops, etc are a good bit more expensive. My brother law in Bolivia is a successful doctor and he earns nearly exactly what I do ( a good bit more than the median MLS player) but his house, clothes and car are not better than mine. He can easily pay for a maid and he doesn't have to budget to eat out but that's about it.
     
  20. ceezmad

    ceezmad Member+

    Mar 4, 2010
    Chicago
    Club:
    Chicago Red Stars
    Nat'l Team:
    United States
    Ask the people of Bridgeview Illinois, better them than the FIRE I guess.

    I should send them a thank you note. :p
     
  21. triplet1

    triplet1 BigSoccer Supporter

    Jul 25, 2006
    For those interested, there is some very good data on SPL finances through the year ending 2010 here:

    http://pwc.blogs.com/files/22nd-afr-spr11.pdf

    According to PWC, the average SPL club wage bill for the year ending 2010 was GBP 8.75M -- about $14.2M.

    Of course, UEFA's data indicates that the SPL during this time had some of the greatest disparity in wages of any league in Europe, so the "average" is somewhat misleading. If you look at the teams perhaps most comparable to an average MLS team in terms of revenue -- Hearts, Hibs and Aberdeen -- they had wage bills of GBP 9.1M, 4.8M and 4.6M respectively. (See page 10). That's $14.8M, $7.8M and $7.5M.

    It should be noted Hearts wages exceeded their revenues during this period, hardly a good thing, but Hibs and Aberdeen had wages to turnover ratios in the 60s, which is pretty good these days. Hibs revenue was $12.5M, while Aberdeen was $11.4M, again, slightly lower than a mid level MLS club.

    So even if you toss out the two giants, clubs with revenues closest to MLS teams -- less than many MLS teams probably -- still have payrolls well about MLS' salary cap. In fact, even if you look at the smaller clubs, only Hamilton had a payroll under $4.5M.

    I'm not sure they are getting value for that money, but at least in 2010 the payrolls were higher.
     
  22. ceezmad

    ceezmad Member+

    Mar 4, 2010
    Chicago
    Club:
    Chicago Red Stars
    Nat'l Team:
    United States
    I wonder if a good way to get better value for their money the SPL could get rid of all International player limitations.

    10 Million could go a long way in a totally open market (then again again they are in the EU so all EU players already count as local players).
     
  23. triplet1

    triplet1 BigSoccer Supporter

    Jul 25, 2006
    The need to do something. Six clubs reported a pre-tax loss and four clubs have dangerous wages/turnover ratios. Even 70% (St. Johnstone) can be problematic if a club is carrying debt, and St. Johnstone did indeed post a pre-tax loss. You'll see the same thing in Everton's recently reported loss -- although Everton's wages were 75% of turnover, even had they reduced it to 70% they still would have shown a loss of about GBP 2M.

    http://www.guardian.co.uk/football/2013/jan/03/everton-annual-report-loss-wage-bill
     
  24. sidefootsitter

    sidefootsitter Member+

    Oct 14, 2004
    They can't, being part of the UK and all.

    However, it's fairly unlikely that much arbitrage can be had there anyway. Small Euro/non-UK leagues - from the ex-communist East Europeans to the smaller EU nations - with different labor laws fill the non-EU quota. The remaining differences are mostly due to the fact that a Norwegian prefers to make $200K in Norway rather than in Scotland, the German will prefer to stay in Bundesliga II, etc.

    The only way for SPL to increase its revenues is to make deeper runs in the UEFA Cups, for which they'll need to improve their coaching and the style of play.
     
  25. ceezmad

    ceezmad Member+

    Mar 4, 2010
    Chicago
    Club:
    Chicago Red Stars
    Nat'l Team:
    United States
    Well I was not talking about the revenues but the costs.

    Isn't the Restrictions on foreign players a rule by the English FA?

    Or is that a government rule?

    I mean if the SPL could get rid of player restrictions and hire a bunch of cheap Africans, South Americans wouldn't that reduce their costs?

    Now you maybe right and it is the UK government and their visa requirements that limits this.
     

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