League One side Milton Keynes Dons finds itself in the center of attention for all the wrong reasons as the recent publishing of its financial statement shows the club's future in huge jeopardy.
The club is on the end of massive online criticism as the recent issuing of its financial report of 2020 revealed that the club owes a total amount of £12.3 million to its stadium owner Stadium MK.
Following their recent promotion to League One in the 2020/21 season, the club is paying around £114 in wages for every £100 of income, averaging a weekly wage of £2,400. Their wage expense has increased by 17% due to the promotion to League One, issuing an expense of £43500 a month in the 19/20 season.
The situation doesn't get any better as the club has signed players for £410,000 in the 2019/20 season whereas, their sales were only £123,000, one-third of their recruiting expense.
MK Don's income went up by 10%, which could have been a better figure, was stagnated by the recent global pandemic situation. The football club claimed £1/2 million from the furlough scheme for a period to 30 June 2020.
Over the period, the club has faced a £16 million loss which, although technically declares them insolvent, but should see them get off the hook as the losses will be underwritten by loans from the owners.
What actions are EFL going to take on MK Dons' ''less-than-ideal'' approach toward their club finance is yet to be announced as most probable point deduction is very likely to take place for the club ahead of the 21/22 season.
MK Dons have an operating loss of £63,000 per week in the 2019/20 season, slightly lower than the previous season in League Two where they conceded £77,690 worth of losses each week.
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