Finances

BluesGM · Guru

Finances

BryceBruins · BRHL2 Co-Commish

Id be interested to see the cap figure of each team added to your study.

A quick glance shows that teams with high cap figures need playoffs to make money. Which I think is good, for the most part.

BluesGM · Guru

the teams, with the exception of Detroit, were around the 40-46 million dollar range.... Detroit was making money with a 54 million dollar payroll.... however, some teams were around the 50-53 and still losing money....

but wouldn't you think that being up at the top would influence people to come to games more? i had two games at home after winning four in a row, yet only managed 90% attendance at best (including a game against atlanta).... there isn't any star player attraction in sths like there was in fhl

Ianintheam · Senior Member

BluesGM wrote:

the teams, with the exception of Detroit, were around the 40-46 million dollar range.... Detroit was making money with a 54 million dollar payroll.... however, some teams were around the 50-53 and still losing money....

I'm just awesome. Nuff Said

BluesGM · Guru

I updated my research to include the pro payroll and average attendance... maybe it's not the payroll making the biggest difference but the amount of attendance.... i find it odd that Buffalo who lead the league are not getting as many fans into the stadium (despite having cheaper ticket prices) than last place Ottawa

I think that the fact that the big teams don't sell out every night like they used to... Buffalo were able to charge $50 a ticket and still sellout almost every game making a bucketload... now averaging 15,467 per game means that star power is not recognized in STHS....

Rumpy · Senior Member

I think we should leave the settings as is. The UFA in this league is already out of control and having teams losing money instead of making 20 M each season will hopefully create a more realistic UFA process and make trading for cash that much more valueable

PhoenixGM · Guru

It is perfect the way it is.

Teams who have budgeted well (ie not spent to the cap) will make money even if they don't have a great season. That is fair.

Teams who have spent to the cap need playoffs to make money, which is the way it should be.

Financial responsibility is very important in this league, as it is in the NHL.

Beauty.

Hawks_G · Guru

I don't know Steve, shouldn't star players and success drive attendance.

Buffalo has an all star squad and is the champs. Should they lose money?
Atlanta has Heatley, Kovalchuk, Chara, Miller and a Mark Cubanesque owner. Shouldn't their revenue reflect that?
Chicago has Thornton, Lecavalier, Frolov, Horton, Green, Markov, Backstrom, and that isn't enough to break even? We lose $5 million dollars with that line up. Champs, then Finalists, and you can't break even.

What do you consider fiscal responsibility? I call it putting the best team on the ice under the cap. I could put Lecavalier on waivers and start making money because obviously your record has no effect on finances. Star players have no effect on finances.

The system isn't a beauty if it doesn't reward success in any way. If all the system does is reward you for a low payroll, then all teams should strive to suck.

PhoenixGM · Guru

Hawks_G wrote:

I don't know Steve, shouldn't star players and success drive attendance.

Buffalo has an all star squad and is the champs. Should they lose money?
Atlanta has Heatley, Kovalchuk, Chara, Miller and a Mark Cubanesque owner. Shouldn't their revenue reflect that?
Chicago has Thornton, Lecavalier, Frolov, Horton, Green, Markov, Backstrom, and that isn't enough to break even? We lose $5 million dollars with that line up. Champs, then Finalists, and you can't break even.

What do you consider fiscal responsibility? I call it putting the best team on the ice under the cap. I could put Lecavalier on waivers and start making money because obviously your record has no effect on finances. Star players have no effect on finances.

The system isn't a beauty if it doesn't reward success in any way. If all the system does is reward you for a low payroll, then all teams should strive to suck.

So what do you propose?

Do we turn up finances, then everyone makes money, and those who were already making money will be just rolling in it. I doubt that is the solution.

What I like about the way it is now, is that it is not easy to make money. Teams have to keep an eye on their finances. That is the beauty. Teams who are spending to the cap will need to make sure that their team is winning and that their ticket prices are optimized to fill the seats and also make the most of the ticket sales.

Maybe there is a problem with how the sim determines attendance, but I don't think the problem is on where the slider is for finances.

Hawks_G · Guru

And don't get me wrong, I like the idea that teams have to be fiscally responsible. But looking at the few examples that I made, those teams are top tier teams, competing for the cup year after year, and when those teams have top end talent, the attendance and finances should dictate it.

NHL before the cap...teams like NYR, DET, PHI and on and on would make boatloads of cash by being competitive and put some marquee names on the rink.

I do not know what the solution is, but teams with tons of stars make money because people go and watch.

Do Pittsburgh and Washington make money in the NHL right now? Of course, because they are competitive and have teams worth watching. Our financial structure (Which oddly seemed that FHL did a better job than STHS in some respects) should reward teams for being fiscally responsible but also reward teams for putting a solid team on the ice for those fans to watch.

Someone should detail this thread in the STHS forum and see what they say.

Anaheim GM · Guru

Hawks_G wrote:
Do Pittsburgh and Washington make money in the NHL right now? Of course, because they are competitive and have teams worth watching. Our financial structure (Which oddly seemed that FHL did a better job than STHS in some respects) should reward teams for being fiscally responsible but also reward teams for putting a solid team on the ice for those fans to watch.

Or you would just be Toronto, do none of the above and still make a ton of money.

Predsgm · Guru

"Or you would just be Toronto, do none of the above and still make a ton of money."

i have to admit.. i just agreed with the last comment.... they can make money and sell out but the team doesnt care.. they are the richest franchise in the nhl.. and last playoffs was 4 yrs ago.. and will be longer...

so perhaps if a vote is taken by the BOD... it might be a close race... but i think the finances should stay as is.

BluesGM · Guru

the main problem i find with the finances is that STHS depends more upon the payroll rather than star power and positions in standings... there is no doubt in my mind that teams like chicago, atlanta and buffalo should be selling out every game with the rosters they have... however, sths depends more on the payroll, as many of you know, the finances in the BRHL have been asked to be lowered as the cap of 42 million mean that every team will pretty much make money (19 out of 30, with three teams losing less than one million and a few others losing just over 1 mill, while some teams making a maximum of 15 million)...

the problem is attendance... the teams that should attract the big crowds aren't, raising the finances should not be considered (even though I was the one proposing it) as all it would do is allow teams to break even and let the teams currently earning money to make more... i think what needs to be done has to be done with STHS program, finding a way to increase attendance for teams doing well and those who have star power on their teams...

PhoenixGM · Guru

BluesGM wrote:

the main problem i find with the finances is that STHS depends more upon the payroll rather than star power and positions in standings... there is no doubt in my mind that teams like chicago, atlanta and buffalo should be selling out every game with the rosters they have... however, sths depends more on the payroll, as many of you know, the finances in the BRHL have been asked to be lowered as the cap of 42 million mean that every team will pretty much make money (19 out of 30, with three teams losing less than one million and a few others losing just over 1 mill, while some teams making a maximum of 15 million)...

the problem is attendance... the teams that should attract the big crowds aren't, raising the finances should not be considered (even though I was the one proposing it) as all it would do is allow teams to break even and let the teams currently earning money to make more... i think what needs to be done has to be done with STHS program, finding a way to increase attendance for teams doing well and those who have star power on their teams...

EXACTLY

Eric_Isles · BRHL2 Co-Commish

I think Gareth summed it up pretty well.

Regardless, Bryce and I are always willing to pay for tasks and help when it is needed around the league. Keep that in mind for some extra money.

Activity doesn't hurt either.