The Premier League’s Profit and Sustainability rules are leading to a lot of clubs selling academy players, as they represent ‘pure profit’ on their balance sheet.
“A lot comes down to financial fair play and if clubs are able to sell their younger players now it gives them a lot of financial flexibility,” explains Khan.
“If they have come through the academy, it is total profit and gives them immediate funds. So underneath any kind of financial fair play, they suddenly have these funds available.
“In terms of risk mitigation, if the player goes on and develops into a superstar it gives them first rights on taking the player back.
“It makes a lot of sense for them in terms of being able to control the player’s future, in a way.
“There is also a benefit for the buying club. There is a bit of negotiating leverage because if there is a buy-back clause included then often the player will be sold for cheaper than they’re actually worth, which makes it appealing.”
There have also been cases of clubs buying a player back before selling again, something Aston Villa did this summer.
The Villans sold striker Cameron Archer to Sheffield United in January but brought him back to Villa Park because of a clause that, reportedly, saw them obliged to purchase him for a cut-price fee if the Blades were relegated.
Villa parted with the 22-year-old again less than a month later, this time selling him to newly promoted Southampton for £15m.
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