BuzzerBeater Forums

Expenses Revenue
Player Salaries: $ 100 766 Attendance: $ 142 810
Staff Salaries: $ 194 202 Merchandise: $ 52 165
Scouting: $ 10 000 TV Contract: $ 69 852
Total: $ 304 968 Total: $ 264 827
Typical Weekly Net Income: $ -40 141

Staff salaries what????
Oh my god, why?

What is your current bank balance?

Edit:
Also what staff do you have? As in what level of each staff, and what are each of their salaries.

After you post this I and others can recommend a course of action.

Last edited by Naker Virus at 4/26/2010 11:12:13 PM

Expenses Revenue
Player Salaries: $ 100 766 Attendance: $ 142 810
Staff Salaries: $ 194 202 Merchandise: $ 52 165
Scouting: $ 10 000 TV Contract: $ 69 852
Total: $ 304 968 Total: $ 264 827
Typical Weekly Net Income: $ -40 141

Staff salaries what????
Oh my god, why?

Holy... wow.

Dude, you need to release some staff ASAP and get yourself back into the black. You've been operating in an unsustainable budget for too long. How on earth did you hit 194k in staff salaries? For comparison's sake, the league average in Canada's II.3 is $89k.

If I were you I would release all the staff and just go with level 1 for a few weeks (that may mean training free throws and stamina for awhile) until you're in the positive. You may have to sell a player or two while you're at it. When you stabilize your economy re-invest in staff but do so at a more reasonable level. Anything totally over $80k is probably too high for you at this point. In Div III you should be looking to build a working economy and set yourself up for long term viability, not blowing all that cash on staff.

You're also not getting great value out of your stadium from the looks of it. Consider dropping some of those prices (I am guessing you recently raised them?) and investing in around eight luxury boxes (the luxury boxes are obviously more of a long term concern for now)

I would also like to add that I suggest he sells his 15k and 30k player and this will allow him to buy 4 or 5 cheaper players with about 7 or 8k salary which would result in a more balanced team that is still just as good and is a lot cheaper in salary.

Also he needs to be made aware that cutting staff he will need to pay a retrenchment package equal to a week's salary so if he is already in the red, he is looking at another 190k of costs in firing those trainers.

But I agree it has to be done. He should be back to making profit next week once he fires the trainers. (or a really expensive one)

To the OP:

Can you please post what your trainer levels are and what their salary is?

If he is already significantly under 500k then cutting staff alone won't get him back over the 500k line in time I don't think. I would recommend to him to put all of his players on sale, and he can always purchase a whole new team at a later date.

yeah, i don't see any way he can get around selling at least some of his players to dig out of that hole, especially with what he is going to have to eat in severance costs on his staff. he might get enough from the big guy to cover, but i'm not sure.

hang in there big ben. we'll help you get things straightened out. as much as it will stink to cut your guys loose, you can think of it as a whole new challenge to rebuild your team.

It depends on how far under -$500k he is. Let's assume he's just at the line.
He'll have $194k in severance to pay out, so let's put him at $694k in the red (insane!) after he releases staff.

Cutting his salary costs down to around $10k will put him at +$148k per week (he'll probably see a dip in his attendance and merch, so let's just put it at $125k per week).
In two weeks he'll be at a balance of -$444k, which means he's out of bankruptcy. He can get into the black four weeks later. So he probably doesn't NEED to sell a player.

That said, dumping his second best big man will probably result in around $1.2m in profit (and cut $15k off the expenses line) which would push him out of the red and into the black right away. He would then have a bit more flexibility to rebuild and get some reasonable staff to replace his current trainwreck. I think it's clear that Parker is his pride and joy, so I wouldn't cut him loose unless I absolutely needed to (although he's probably close to capping out soon). There's not point in scrapping all the assets on the team unless he has no choice at all.

The key here is for him to cut costs on staffing and find a way to get out of the bankruptcy zone ASAP without gutting the team entirely and screwing up long term goals. I think the best way to do that is to axe all the staff, sell off Frittelli and buy a decent but cheap trainee big man and three reasonably price level 3-4 staffers.

Last edited by chris902 at 4/27/2010 12:37:34 AM

No you didn't waste all this time for nothing. You've just been taught a very valuable lesson in economics and finance which you might find useful later on both in BB and in real life.

good point. my mind was automatically thinking "get out of the red immediately" rather than just get out of the -500k zone first.