26CornerBlitz Posted December 12, 2017 Share Posted December 12, 2017 (edited) Edited December 12, 2017 by 26CornerBlitz Link to comment Share on other sites More sharing options...
klos63 Posted December 13, 2017 Share Posted December 13, 2017 That's a pretty typical yearly increase. Link to comment Share on other sites More sharing options...
Big Turk Posted December 13, 2017 Share Posted December 13, 2017 7 minutes ago, klos63 said: That's a pretty typical yearly increase. Pretty much...will be interesting to see what happens if networks refuse to pay what they have been and push for decreases in next TV contract bidding... Link to comment Share on other sites More sharing options...
NoSaint Posted December 13, 2017 Share Posted December 13, 2017 14 minutes ago, matter2003 said: Pretty much...will be interesting to see what happens if networks refuse to pay what they have been and push for decreases in next TV contract bidding... One of the streaming services signed at a large increase this week. We will see on the tv front. Link to comment Share on other sites More sharing options...
BigDingus Posted December 13, 2017 Share Posted December 13, 2017 (edited) I'd be interested to see how much profit the Bills take in each year and where it comes from. As the cap keeps going up, it seems like smaller markets should find it harder & harder to compete, as they don't take in nearly as much revenue as the big city teams do. I know there's revenue sharing, and the TV deals are extremely lucrative, but how does a team like Buffalo with a small market & fanbase afford to spend so much money on players in the future when it hits $200 million and above? Once they spend that much, how much is there left over for all the other costs of operations, coaching staff, scouts, front office personnel, trainers, regular employees, upkeep costs, stadium maintenance, property tax, facilities, marketing, etc.? Maybe NFL teams like us, the Titans, the Jags, or New Orleans make more money than I realize, but it still seems like eventually we won't be able to keep pace. Edit: Well, I just looked into a tiny bit of it, and the Bills are dead last in terms of operating profit, and 2nd to last in total yearly revenue (we bring it $352 million yearly, netting $53 million in profit). Sadly, we're also valued at dead last at $1.6 billion, just under the Lions at $1.7 billion Increasing the cap $7-10 million a year is going to quickly eat into that, as I know there's a minimum you HAVE to spend towards the cap each season. Even teams with smaller markets are pulling in more than us. https://www.forbes.com/nfl-valuations/list/#tab:overall Edited December 13, 2017 by BigDingus Link to comment Share on other sites More sharing options...
klos63 Posted December 13, 2017 Share Posted December 13, 2017 6 hours ago, BigDingus said: I'd be interested to see how much profit the Bills take in each year and where it comes from. As the cap keeps going up, it seems like smaller markets should find it harder & harder to compete, as they don't take in nearly as much revenue as the big city teams do. I know there's revenue sharing, and the TV deals are extremely lucrative, but how does a team like Buffalo with a small market & fanbase afford to spend so much money on players in the future when it hits $200 million and above? Once they spend that much, how much is there left over for all the other costs of operations, coaching staff, scouts, front office personnel, trainers, regular employees, upkeep costs, stadium maintenance, property tax, facilities, marketing, etc.? Maybe NFL teams like us, the Titans, the Jags, or New Orleans make more money than I realize, but it still seems like eventually we won't be able to keep pace. Edit: Well, I just looked into a tiny bit of it, and the Bills are dead last in terms of operating profit, and 2nd to last in total yearly revenue (we bring it $352 million yearly, netting $53 million in profit). Sadly, we're also valued at dead last at $1.6 billion, just under the Lions at $1.7 billion Increasing the cap $7-10 million a year is going to quickly eat into that, as I know there's a minimum you HAVE to spend towards the cap each season. Even teams with smaller markets are pulling in more than us. https://www.forbes.com/nfl-valuations/list/#tab:overall The reason the cap increases is because revenue increases, there's a correlation between the two. I'm not sure that this makes our situation worse. Link to comment Share on other sites More sharing options...
nucci Posted December 13, 2017 Share Posted December 13, 2017 6 hours ago, BigDingus said: I'd be interested to see how much profit the Bills take in each year and where it comes from. As the cap keeps going up, it seems like smaller markets should find it harder & harder to compete, as they don't take in nearly as much revenue as the big city teams do. I know there's revenue sharing, and the TV deals are extremely lucrative, but how does a team like Buffalo with a small market & fanbase afford to spend so much money on players in the future when it hits $200 million and above? Once they spend that much, how much is there left over for all the other costs of operations, coaching staff, scouts, front office personnel, trainers, regular employees, upkeep costs, stadium maintenance, property tax, facilities, marketing, etc.? Maybe NFL teams like us, the Titans, the Jags, or New Orleans make more money than I realize, but it still seems like eventually we won't be able to keep pace. Edit: Well, I just looked into a tiny bit of it, and the Bills are dead last in terms of operating profit, and 2nd to last in total yearly revenue (we bring it $352 million yearly, netting $53 million in profit). Sadly, we're also valued at dead last at $1.6 billion, just under the Lions at $1.7 billion Increasing the cap $7-10 million a year is going to quickly eat into that, as I know there's a minimum you HAVE to spend towards the cap each season. Even teams with smaller markets are pulling in more than us. https://www.forbes.com/nfl-valuations/list/#tab:overall I thought all the money problems went away when Pegulas bought the team? Link to comment Share on other sites More sharing options...
26CornerBlitz Posted December 13, 2017 Author Share Posted December 13, 2017 Rapoport: NFL salary cap projected to rise to as much as $178 million (0:53) Link to comment Share on other sites More sharing options...
Big Turk Posted December 13, 2017 Share Posted December 13, 2017 7 hours ago, BigDingus said: I'd be interested to see how much profit the Bills take in each year and where it comes from. As the cap keeps going up, it seems like smaller markets should find it harder & harder to compete, as they don't take in nearly as much revenue as the big city teams do. I know there's revenue sharing, and the TV deals are extremely lucrative, but how does a team like Buffalo with a small market & fanbase afford to spend so much money on players in the future when it hits $200 million and above? Once they spend that much, how much is there left over for all the other costs of operations, coaching staff, scouts, front office personnel, trainers, regular employees, upkeep costs, stadium maintenance, property tax, facilities, marketing, etc.? Maybe NFL teams like us, the Titans, the Jags, or New Orleans make more money than I realize, but it still seems like eventually we won't be able to keep pace. Edit: Well, I just looked into a tiny bit of it, and the Bills are dead last in terms of operating profit, and 2nd to last in total yearly revenue (we bring it $352 million yearly, netting $53 million in profit). Sadly, we're also valued at dead last at $1.6 billion, just under the Lions at $1.7 billion Increasing the cap $7-10 million a year is going to quickly eat into that, as I know there's a minimum you HAVE to spend towards the cap each season. Even teams with smaller markets are pulling in more than us. https://www.forbes.com/nfl-valuations/list/#tab:overall You need to raelly do a lot of reading to understand how all of this works. You are pretty clueless Link to comment Share on other sites More sharing options...
Magox Posted December 13, 2017 Share Posted December 13, 2017 Assuming we don't retain TT, doesn't that give us nearly $50 M in cap space for 2018? Link to comment Share on other sites More sharing options...
LABILLBACKER Posted December 13, 2017 Share Posted December 13, 2017 All I know it's 11M more to invest in a damn qb. 1 Link to comment Share on other sites More sharing options...
26CornerBlitz Posted December 13, 2017 Author Share Posted December 13, 2017 Just now, LABILLBACKER said: All I know it's 11M more to invest in a damn qb. I hope they draft a QB in the 1st who'll be reasonably cost controlled for the next five seasons. 2 Link to comment Share on other sites More sharing options...
Bray Wyatt Posted December 13, 2017 Share Posted December 13, 2017 so what does this mean for our cap space for next year? Link to comment Share on other sites More sharing options...
ddaryl Posted December 13, 2017 Share Posted December 13, 2017 (edited) We're not last in revenue or operating income and were mid way on debt ratio %. As one of the smallest markets in the NFL we show up and there are so many Bill fans that have moved out of the area it would be interesting to see how many NFL SUnday ticket purchases are from Bills fans All this while missing the playoffs for 18 years.. Imagine we will move up th elist a chunk when the wins and playoffs starting rolling back in regulalry Edited December 13, 2017 by ddaryl 1 Link to comment Share on other sites More sharing options...
26CornerBlitz Posted December 13, 2017 Author Share Posted December 13, 2017 5 minutes ago, Bray Wyatt said: so what does this mean for our cap space for next year? A little more than $40M as things are now: http://www.spotrac.com/nfl/buffalo-bills/cap/2018/ 1 Link to comment Share on other sites More sharing options...
Magox Posted December 13, 2017 Share Posted December 13, 2017 22 minutes ago, 26CornerBlitz said: A little more than $40M as things are now: http://www.spotrac.com/nfl/buffalo-bills/cap/2018/ So if we don't retain TT, then I think it moves to $50M. Also, does this take into account with the potential projected $178M total? Link to comment Share on other sites More sharing options...
26CornerBlitz Posted December 13, 2017 Author Share Posted December 13, 2017 Just now, Magox said: So if we don't retain TT, then I think it moves to $50M. Also, does this take into account with the potential projected $178M total? They have it at $176M split down the middle. We'll see where it actually lands. Link to comment Share on other sites More sharing options...
Magox Posted December 13, 2017 Share Posted December 13, 2017 Of course, we have to see what we do with a potential FA QB. Kyle Williams, Lorenzo, replacing J. Matthews and Gaines. I do believe that what Dunkirk said would make sense, they try to get Kyle to a discount but I doubt he goes for it. Gaines I'm hoping they can get for below $8m a year. Lorenzo I hope they can get for about $3M. Link to comment Share on other sites More sharing options...
26CornerBlitz Posted December 13, 2017 Author Share Posted December 13, 2017 Just now, Magox said: Of course, we have to see what we do with a potential FA QB. Kyle Williams, Lorenzo, replacing J. Matthews and Gaines. I do believe that what Dunkirk said would make sense, they try to get Kyle to a discount but I doubt he goes for it. Gaines I'm hoping they can get for below $8m a year. Lorenzo I hope they can get for about $3M. Lorenzo is already under contract for 2018. Link to comment Share on other sites More sharing options...
Magox Posted December 13, 2017 Share Posted December 13, 2017 2 minutes ago, 26CornerBlitz said: Lorenzo is already under contract for 2018. That's good to hear. I don't want him starting but in a special teams role and some spot duty pass rushing he will be serviceable. Link to comment Share on other sites More sharing options...
Bray Wyatt Posted December 13, 2017 Share Posted December 13, 2017 1 hour ago, 26CornerBlitz said: A little more than $40M as things are now: http://www.spotrac.com/nfl/buffalo-bills/cap/2018/ And thats with 18mill in dead cap too, so we look to be set up pretty good for the future Link to comment Share on other sites More sharing options...
Jamie Muellers Ghost Posted December 13, 2017 Share Posted December 13, 2017 What does trading/releasing Glenn give back to the cap next season ? Link to comment Share on other sites More sharing options...
26CornerBlitz Posted December 13, 2017 Author Share Posted December 13, 2017 3 minutes ago, Jamie Muellers Ghost said: What does trading/releasing Glenn give back to the cap next season ? http://www.spotrac.com/nfl/buffalo-bills/cordy-glenn-9851/ 1 Link to comment Share on other sites More sharing options...
section122 Posted December 13, 2017 Share Posted December 13, 2017 12 hours ago, BigDingus said: I'd be interested to see how much profit the Bills take in each year and where it comes from. As the cap keeps going up, it seems like smaller markets should find it harder & harder to compete, as they don't take in nearly as much revenue as the big city teams do. I know there's revenue sharing, and the TV deals are extremely lucrative, but how does a team like Buffalo with a small market & fanbase afford to spend so much money on players in the future when it hits $200 million and above? Once they spend that much, how much is there left over for all the other costs of operations, coaching staff, scouts, front office personnel, trainers, regular employees, upkeep costs, stadium maintenance, property tax, facilities, marketing, etc.? Maybe NFL teams like us, the Titans, the Jags, or New Orleans make more money than I realize, but it still seems like eventually we won't be able to keep pace. Edit: Well, I just looked into a tiny bit of it, and the Bills are dead last in terms of operating profit, and 2nd to last in total yearly revenue (we bring it $352 million yearly, netting $53 million in profit). Sadly, we're also valued at dead last at $1.6 billion, just under the Lions at $1.7 billion Increasing the cap $7-10 million a year is going to quickly eat into that, as I know there's a minimum you HAVE to spend towards the cap each season. Even teams with smaller markets are pulling in more than us. https://www.forbes.com/nfl-valuations/list/#tab:overall The salary cap is "paid" to each team or at least that is my understanding. Player salaries are paid by league revenue. All other costs associated with a team (travel, coaching, up front siging bonus money, etc...) are the responsibility of the team. Link to comment Share on other sites More sharing options...
PABillsfan23 Posted December 13, 2017 Share Posted December 13, 2017 More room for Cousins Link to comment Share on other sites More sharing options...
section122 Posted December 13, 2017 Share Posted December 13, 2017 9 hours ago, klos63 said: The reason the cap increases is because revenue increases, there's a correlation between the two. I'm not sure that this makes our situation worse. Here is a better explanation for you klos since my last post was confusing. The Cap is determined through a complicated calculation system, which has changed with the latest extension of the CBA. The Cap is based on income that the teams earn during a League Year. Originally that "pot" was limited to what was known as Defined Gross Revenues (DGR), which consisted of the money earned from the national televison contract, ticket sales, and NFL merchandise sales. In 2006 the CBA was modified, and the "pot" was expanded to include total revenue. Thus, other sources of revenue, including such other items as naming rights and local advertising, were added. As was the case with the original DGR, the expanded revenue is divided equally amongst all 32 teams for purposes of calculating the salary cap. The newest edition of the CBA has a term, "All Revenues" (AR), which pretty much includes all revenue streams. The CBA spells ou the particulars over the course of about 10 pages, but in a nutshell the AR includes ticket sales, revenue from luxury box suites and premium seating, local and national broadcasting (TV/radio/Internet) royalties, concessions, parking, local advertising, stadium leasing, and merchadising. The AR is then divided into 3 distinct brackets: League Media (essentially revue from regular-season games), NFL Ventures/Post Season (self-explanatory) and Local (more or less revenue generated from preseason games). Now, fo r the part that you have been waiting for, the distibution of these revenues: Projected AR x CBA Percentage = Players Share of AR. This is called the Player Cost Amount. For 2011, that amount was $4,556,800,000 (roughly $142.4 M per team). Player Cost Amount minus Projected League wide Benefits = Amount Available for Player Salaries. For 2011, that amount was $3,852,000,000. Amount Available for Player Salaries / Number of Teams = Unadjusted Salary Cap per Team. For 2011, that amount was (3,852,000,000/32 =) $120.375 M. Link to comment Share on other sites More sharing options...
John from Riverside Posted December 13, 2017 Share Posted December 13, 2017 I would like to see Gaines come back Link to comment Share on other sites More sharing options...
OldTimeAFLGuy Posted December 13, 2017 Share Posted December 13, 2017 23 hours ago, 26CornerBlitz said: ...just about what Cousins will be looking for (COUGH)............ Link to comment Share on other sites More sharing options...
klos63 Posted December 13, 2017 Share Posted December 13, 2017 51 minutes ago, section122 said: Here is a better explanation for you klos since my last post was confusing. The Cap is determined through a complicated calculation system, which has changed with the latest extension of the CBA. The Cap is based on income that the teams earn during a League Year. Originally that "pot" was limited to what was known as Defined Gross Revenues (DGR), which consisted of the money earned from the national televison contract, ticket sales, and NFL merchandise sales. In 2006 the CBA was modified, and the "pot" was expanded to include total revenue. Thus, other sources of revenue, including such other items as naming rights and local advertising, were added. As was the case with the original DGR, the expanded revenue is divided equally amongst all 32 teams for purposes of calculating the salary cap. The newest edition of the CBA has a term, "All Revenues" (AR), which pretty much includes all revenue streams. The CBA spells ou the particulars over the course of about 10 pages, but in a nutshell the AR includes ticket sales, revenue from luxury box suites and premium seating, local and national broadcasting (TV/radio/Internet) royalties, concessions, parking, local advertising, stadium leasing, and merchadising. The AR is then divided into 3 distinct brackets: League Media (essentially revue from regular-season games), NFL Ventures/Post Season (self-explanatory) and Local (more or less revenue generated from preseason games). Now, fo r the part that you have been waiting for, the distibution of these revenues: Projected AR x CBA Percentage = Players Share of AR. This is called the Player Cost Amount. For 2011, that amount was $4,556,800,000 (roughly $142.4 M per team). Player Cost Amount minus Projected League wide Benefits = Amount Available for Player Salaries. For 2011, that amount was $3,852,000,000. Amount Available for Player Salaries / Number of Teams = Unadjusted Salary Cap per Team. For 2011, that amount was (3,852,000,000/32 =) $120.375 M. Interesting, so the revenue the Cowboys generate from their suites gets included? No wonder he wants Buffalo to move somewhere else, I wouldn't like that either. Link to comment Share on other sites More sharing options...
OldTimeAFLGuy Posted December 13, 2017 Share Posted December 13, 2017 (edited) 6 minutes ago, klos63 said: Interesting, so the revenue the Cowboys generate from their suites gets included? No wonder he wants Buffalo to move somewhere else, I wouldn't like that either. ....true but look at it from the economy of scale and the corporate horsepower in a major market (Dallas) versus Buffalo.....we have a corporate 20 person suite in Buffalo......costs $75,000 per year......food and beverage in the suite runs about $1,500 per game or 12 grand for the season.....we provide limo bus transportation which is 8 grand per season....I'd bet a similar suite in Dallas would be $225-$250 grand a year and you could easily double the food and beverage expense.....if that was the tariff in Buffalo, we'd be out in a nanosecond as would many other suite holders we know.....now what??........... Edited December 13, 2017 by OldTimeAFLGuy Link to comment Share on other sites More sharing options...
K-9 Posted December 13, 2017 Share Posted December 13, 2017 15 minutes ago, klos63 said: Interesting, so the revenue the Cowboys generate from their suites gets included? No wonder he wants Buffalo to move somewhere else, I wouldn't like that either. Just to be clear though, suite and local revenues like sponsorships are not shared revenue. Jerry still keeps all of that. Link to comment Share on other sites More sharing options...
section122 Posted December 14, 2017 Share Posted December 14, 2017 1 hour ago, klos63 said: Interesting, so the revenue the Cowboys generate from their suites gets included? No wonder he wants Buffalo to move somewhere else, I wouldn't like that either. My understanding is that the salary cap is paid by the NFL to each team. There is a lot of revenue though that teams keep for themselves. I know sponsorships are one as Jerry Jones sued in the 90s. That's a good read for money that teams get to keep. So it would benefit Jones to have the Bills be more lucrative but he is also doing well on his own. Link to comment Share on other sites More sharing options...
nucci Posted December 14, 2017 Share Posted December 14, 2017 (edited) 52 minutes ago, section122 said: My understanding is that the salary cap is paid by the NFL to each team. There is a lot of revenue though that teams keep for themselves. I know sponsorships are one as Jerry Jones sued in the 90s. That's a good read for money that teams get to keep. So it would benefit Jones to have the Bills be more lucrative but he is also doing well on his own. The teams get revenue from a number of sources...obviously TV is the biggest but the league doesn't pay the teams the salary cap. The teams share revenues and keep some on their own but how much they spend on the cap is up to them. Also, I don't think revenue from suites is shared. it's kept by each team Edited December 14, 2017 by nucci Link to comment Share on other sites More sharing options...
section122 Posted December 14, 2017 Share Posted December 14, 2017 9 minutes ago, nucci said: The teams get revenue from a number of sources...obviously TV is the biggest but the league doesn't pay the teams the salary cap. The teams share revenues and keep some on their own but how much they spend on the cap is up to them. Also, I don't think revenue from suites is shared. it's kept by each team Hmmm I thought the revenue sharing number was used to set the salary cap? Link to comment Share on other sites More sharing options...
klos63 Posted December 14, 2017 Share Posted December 14, 2017 3 hours ago, K-9 said: Just to be clear though, suite and local revenues like sponsorships are not shared revenue. Jerry still keeps all of that. that's what I always thought. Link to comment Share on other sites More sharing options...
nucci Posted December 14, 2017 Share Posted December 14, 2017 7 hours ago, section122 said: Hmmm I thought the revenue sharing number was used to set the salary cap? The salary cap is based on league revenue...the players get a % of that.... Link to comment Share on other sites More sharing options...
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