La Liga revealed on Tuesday the salary limits for the 42 clubs across Spain's top two divisions, with Barcelona hit the hardest by the coronavirus pandemic.
The majority of clubs will have to reduce spending across the 2020-21 season but not have to knock more off their wage bill than Barca, who have had almost ?300m reduced from their limit.
At the start of last season, Bar?a's limit was fixed at ?671m but for the current campaign it has been reduced to ?382m.
Real Madrid and Atletico Madrid must also make cutbacks but not as much as Bar?a. Madrid's limit has dropped from ?641m to ?468.5m and Atletico's has fallen ?131.8m to ?252.7m.
What I don't understand is why our salary cup is almost 90m less than Real Madrid's, is that mostly driven by the loss of our expected revenue (vs. average transfer income for the past three years)? If so, how is our expected income so much less than Real Madrid's as the published number don't suggest so? Yes we are potentially losing all of the matchday revenue for the entire season and our sponsorship revenue is taking a dip, but Real Madrid is facing the same issues, aren't they? Matchday portion they receive a bit less than us but not that much less.
Real Madrid didn't even cut wages.
Things Tusquets says don't sound insignificant
Absolutely true, the club is in a really dire situation financially and without much cash to pay the salaries and expenses. We sort of saw that coming, with the shrinking net income every season leading up to last season before COVID struck, the club let the expenses balloon so much to the point that even though our revenue was growing steadfastly prior to COVID and among the highest if not the highest in Europe, it was being outpaced by the growth of expenses. The fact that we are relying on so much matchday and certain components of the commercial revenue (such as visits to the museum and stores etc.) is alarming.
I know debt-wise we are really bad, what I don't understand is cash-wise how come other clubs such as Real Madrid and many others are faring pretty well. I mean they also lost 200m or so from matchday and reduced commercial revenue but they didn't have this sort of crisis with regard to cash on hand.