OOTP Budget explained>it's as easy as 1-2-3-4!

[Sandgnats (Bill)]

Howdy all of PEBA land!
I have noticed that a few of you out there are puzzled at the 2009 budgets(as was I until a few days ago). I put together a spreadsheet and was preparing myself for the long and tedious task of figuring out the answer to this question:
How in the world does OOTP calculate our budgets?

I crunched a few numbers over 2007 & 2008 and noticed something incredibly simple and it holds water. Here it is, the big budget secret:

OOTP calculates your new budget by simply adding $100,000 to your previous years total revenue.

Let's look at 2 examples:

1. First example is the NJ Hitmen. Why? Because their budget increased a lot while winning 11 less games in 2008 compared to 2007. http://peba.allsimbaseball3.com/lgrepor ... eport.html
If you click on the above link, you will see their 2008 Revenue stream is made up of 4 things:
1) Gate Revenue $64,939,800
2) Playoff Revenue $ 5,060,980
3) Media Revenue $23,000,000
4) Merchandising Revenue $30,120,568
TOTAL REVENUE = $123,121,348
Simply add $100,000 to that Total Revenue # and we have their 2009 Budget of $123,221,348.

2. Second example is the Canton Longshoremen. Their budget dropped for the 2009 season despite trimming a lot of salary and improving their bottom line in 2008!
http://peba.allsimbaseball3.com/lgrepor ... eport.html
Just click on the above link and again, we will look at the Longshoremen's 4 revenue sources:
1) Gate Revenue $35,150,689
2) Playoff Revenue $ 0
3) Media Revenue $23,000,000
4) Merchandising Revenue $14,098,207
TOTAL REVENUE = $72,248,896
Again, simply add $100,000 to the TOTAL REVENUE and we instantly have their 2009 budget of $72,348,896.

Shockingly, your cash balance at the end of the year and your expenses have absolutely no effect on your budget for the next year!
Warning! This information only affects your budget! I am in no way advising you to ignore your end of the year balance! That balance is quite important in determining how much cash you will have on hand for the next season for signing players and personnel. Ending the year with a profit is extremely important to your success in PEBA. So, do not neglect your bottom line.

I'm simply explaining how your budget is determined and if you want to increase your budget, you need to increase your Total Revenue from the previous year's Total Revenue.

I wanted to share this knowledge with everyone to help plan your future and hopefully make you some extra cash!

Good luck in 2009!

[Hitmen]

I didn't realize this was a secret - I said in the other thread that the budget was based on actual revenue, not anticipated. Sorry, I would have explained in more detail if anyone had asked.

Now, I don't know how much revenue sharing in the future will affect this - I assume that whatever a team loses or gains in the revenue sharing model will be subtracted or added to those figures.

The cash account amount doesn't affect your budget, but does affect what is available to offer for signings.

[Hitmen]

I should also mention, for those of you who play solo leagues too, that the financial settings can be adjusted so that you either have access to the full revenue stream, as we do, or where the owner controls the budget, and you may get a budget that does not match your revenue stream.

[DanD]

I think your talk about the new budget talks are good. I like the thoughts about a 2:1 factor from top to bottom. The small budget teams have done a great job and should be rewarded.

[Hitmen]

Another key (for scout loving teams) as we move to OOTP9 - if you have a negative projected budget, you cannot put more than 50% of the league average scouting budget into your budget. And you cannot spend more than your "budget surplus" on scouting either. Those numbers are set during the preseason, so even if you dump off that high salaried player in June and decide to scout for next year and raise that budget, you can't.

[DanD]

I love it (mainly because of my cash surplus) and I hate the new rules. Listen up if you're in a cash crunch this year. Although as bad as it seems, you might have to take counter scouting tactics. I would weigh strongly on age versus performance. Also, you can export in the previous OOTP version you were using. Lastly, you can use SISA ratings. Its not easy, but it can be done.

[DanD]

Don't forget to use CPs to buy cash. Might be your smartest move this year. It only costs 40 cps for 1,000,000. Better start writing.