Manchester United transfer truth is about to emerge ahead of key window date

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The worst-case scenario around Manchester United's summer transfer window appears to have eased for now. Defeat to Tottenham in the Europa League final in Bilbao had fans fearing a bargain basement window, so the intent shown in trying to put together deals totalling £120million in the first week of business is encouraging.

Missing out on European football left a £100million blackhole in the club's budget for next season, but their position with regards to the Premier League's Profit and Sustainability rules (PSR) is better than expected, as shown by the desire to sign Matheus Cunha and Bryan Mbeumo before the June 30 cut-off for the latest accounts to be submitted.

That date acted as a second transfer deadline last summer, with clubs close to a breach desperately trying to sell academy graduates to ease concerns about a points deduction. Newcastle, Aston Villa, Chelsea, and Everton all cashed in, often trading with each other.

United won't need to be part of that murky merry-go-round this month. Instead, the focus is on spending and the financial results posted on Friday for the first three months of 2025 hinted at an improving picture.

Revenues were up, costs were down, and the situation looked an awful lot rosier than Sir Jim Ratcliffe had made it sound back in March, when he told people the club was going to run out of money by the end of the year.

The club's financial crisis has been boosted by the 25% reduction in wages amongst the first-team squad for failing to qualify for the Champions League, which will carry over into next season. Savings are also being realised on the 250 or so staff made redundant last year, with a further 200 losing their jobs this year.

That offers a better financial outlook at Old Trafford, but club bosses are still preaching caution. They talk of "disciplined" spending in this window and a desire to ensure costs continue to fall, building a stronger foundation for the club's long-term financial health.

There are a couple of other factors at play in this window, and they are linked. Firstly, as Ratcliffe confirmed in that round of interviews in March, United will spend around £89million in transfer fee instalments this window, naming Andre Onana, Casemiro, Antony, Jadon Sancho and Rasmus Hojlund as players who would cost money this summer, with fees still due to their former clubs.

That kind of credit card dealing isn't unusual now, but United have taken it to extremes, with more than £300million owed on players they have 'signed' in recent windows. They took the same approach in the deal for Cunha, splitting his £62.5million release clause over three instalments.

They are likely to continue to pursue that approach, given that cash reserves are one area where the business is continuing to struggle. Any sales might boost that figure, but the March 31 accounts showed cash available was down to £73.2million, a fall of £22.5million in those three months.

While there is a revolving credit facility United can call on, as of March 31, it had an outstanding balance of £210million and a limit of £300million, so it doesn't add much to the pile.

That's why this window promises to be a fascinating one for United. In theory, their financial position is better than expected, and sales can boost the funds available to them. But they are also constrained about how much cash they can actually spend.

So, as the club pushes ahead with plans to revamp Amorim's squad, expect more negotiations in which the focus isn't necessarily on the fee but on its structure and how long United will have to pay it off.

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