Valencia have closed the accounts with major losses of €65m according to Diario AS.
Los Che were scheduled to make losses as it was, but the club had hoped to raise money from player sales before the 1st of July deadline. With the transfer market relatively still however, their three star assets Carlos Soler, Goncalo Guedes and Jose Gaya remain at the club.
The report states that their current payroll amounts to around €100m, which vastly outweighs their capacity to pay their players within the financial rules. As it stands, La Liga are likely to impose limits of under €50m.
Such is their plight that the renewal of Giorgi Mammardashvili, a relatively cheap contract that has been agreed for some time, cannot be registered.
Only the sale of Daniel Wass and bonus payments from Ferran Torres (€5m) and Rodrigo Moreno have brought any income to the club and it appears that new manager Gennaro Gattuso will be working on a shoestring budget next season. If things get off to a bad start under the Italian with a significantly weaker squad, there is little stopping Valencia from being involved in a relegation battle next season.