In 2021 Derby were placed into administration and deducted 21 points, I am not saying the club isnt worth something but better dealing with an administrator than current owner
A football club entering administration goes way beyond what is good for the club though.
Many local businesses/companies will end up out of pocket if they were owed anything by the club, as the rules mean they are not guaranteed being paid.
As shit as it is for local businesses, quite a few clubs that go into administration often come out the other side better off for it.
Palace, Derby, Southampton, Bournemouth, Luton are some that were seriously struggling but came out the other side.
And others, including us way back when Hulyer owned us and the HMRC placed us in admin. As I recall, it was an anxious time hoping we could find a buyer though, which although highly likely these days is never guaranteed. I don't think we got a points deduction either, 12 being automatic now on entering admin, so not exactly better off in that regard.
It's usually enforced as a last resort to stop the club going out of business and is seldom an option favoured by the owner, who stands to get little back of his outlay. Confident fans will always site examples as you have in making it out to be a desirable outcome, but less high profile clubs have failed, Bury the most recent exception I can think of, Aldershot another in 1992.
Edit - I forgot Wigan, who got relegated after their points deduction but have enjoyed mixed fortunes since.
We've never been in administration.
It didn't exist in 1984.
Well spotted 🙄 My bad, as they say these days. Well the HMRC took us to court trying to wind us up then. End result, Hulyer was desperate to find a buyer to rescue the distressed club as he couldn't pay them off, his ship failing to come in on time!
Just shows you how bad football finances have got when a 7k a week cap is considered a hindrance.
The cap is kind of irrelevant right now anyway because no player in their right mind will sign for them when they're not even paying their current players wages.
In 2021 Derby were placed into administration and deducted 21 points, I am not saying the club isnt worth something but better dealing with an administrator than current owner
A football club entering administration goes way beyond what is good for the club though.
Many local businesses/companies will end up out of pocket if they were owed anything by the club, as the rules mean they are not guaranteed being paid.
As shit as it is for local businesses, quite a few clubs that go into administration often come out the other side better off for it.
Palace, Derby, Southampton, Bournemouth, Luton are some that were seriously struggling but came out the other side.
And others, including Wigan who got relegated following their points deduction but have enjoyed mixed fortunes since.
Always an anxious time hoping to find a buyer though, which although highly likely these days is never guaranteed. 12 points is the automatic deduction now for entering admin, so not exactly better off in that regard.
It's usually enforced as a last resort to stop the club going out of business and is seldom an option favoured by the owner, who stands to get little back of his outlay. Confident fans will always site examples as you have in making it out to be a desirable outcome, but less high profile clubs have failed, Bury the most recent exception I can think of, Aldershot another in 1992.
The deferred element of that rule (something along the lines of: go into admin before end of March and you take the points hit immediately otherwise you wait until season's end. If you've already been relegated the penalty is held over to next year otherwise it's applied in the current season ... and if that then drops you into the relegation zone then tough titties) was brought in after Leeds took the piss when they got relegated from the Championship.
If I recall correctly that had to get favourable results on the last day but they were away to Ipswich and lost. They pulled the pin on administration about 10 minutes before the end of the game.
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https://www.thestar.co.uk/sport/football/sheffield-wednesday/sheffield-wednesday-transfer-restrictions-embargo-5185602
The cap is kind of irrelevant right now anyway because no player in their right mind will sign for them when they're not even paying their current players wages.
If I recall correctly that had to get favourable results on the last day but they were away to Ipswich and lost. They pulled the pin on administration about 10 minutes before the end of the game.