Finance expert Kieran Maguire has now revealed how much money Rob McElhenney and Ryan Reynolds lost on their way to National League promotion last year.
Wrexham’s season in the National League last term was record-breaking for so many reasons.
The Red Dragons accumulated a staggering 111 points on their way to promotion back to League Two, a level they last played at in 2008.
It was an incredible campaign for everyone associated with the club and their achievements were celebrated by their newly found global fanbase.
Unlike most sides who have conquered the fifth tier of English football, Wrexham were able to flex their newly found riches by spending big to achieve their dream of reaching the football league.
While their National League rivals had to scrape the bottom of the barrel for signings, Phil Parkinson’s side were able to boast a wage budget that most League One clubs would have been proud of.
Aside from smashing the division’s transfer record to sign Ollie Palmer for £300,000 from AFC Wimbledon in January 2022, the club signed the majority of their players on free transfers but paid them ridiculous amounts.
For instance, defensive pairing Ben Tozer and Aaron Hayden were rumoured to be earning £3,000 per week while star striker Paul Mullin earned a reported £4,500 a week.
At National League level, boasting a wage budget that high wasn’t sustainable and it is no surprise that Wrexham lost money during that period.
Kieran Maguire reveals how much Wrexham lost on their way to promotion
Speaking on the Price Is Football Podcast, Kieran Maguire unveiled information from their most recent accounts that went up to June 2022 and revealed how much Wrexham had lost.
He said: “They lost £3 million in 2021/22 and that’s despite having the big sponsors, their commercial income went through the roof because of aviation, gin and TikTok as opposed to the local greengrocers or car mechanic company who were sponsoring the shirts.
“So, they had a lot more money coming in, but they were losing money. They spent £1.2 million on player signings, which is the record in the history of the national league. The two owners had put in between them £3.7 million in loans, so that was of June 2022 – I suspect they’d put in significant amounts before that.
Is this a concern for Wrexham?
Wrexham went down the route of flexing their financial muscles to achieve success and although it worked, it did come at a cost.
While the average wage of a player at National League level is a reported £1,000 per week, Ryan Reynolds and Rob McElhenney were paying their players far more than that.
It isn’t a concern that Wrexham have lost money at the moment. They are transforming into a global brand and are earning money from sponsorships.
Also, the majority of other clubs in the Football League have posted a loss in recent times. It’s just the harsh reality of modern-day football as many will gamble at the lottery of reaching the Premier League and once they come unstuck, financial peril ensues.
Wrexham will hope to achieve consecutive promotions at the end of this current campaign to continue their rise up the divisions.