Football's Magic Money Tree

This Forum is the main messageboard to discuss all things Claret and Blue and beyond
Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Fri Nov 20, 2020 10:16 pm

This is almost laughable, Coventry City - owned by SISU, are complaining to the press that the government is letting football down, by excluding elite football from it's winter sports bailout. Of course the government's role in all this has been pathetic too - from the Mail

'You have abandoned us': Coventry City accuse Government of leaving struggling clubs to fend for themselves after they awarded £300m to sport but ignored the EFL where clubs are on the brink
- Coventry City chief executive launched impassioned plea to ministers for cash
- Football clubs believe government should be part of the solution to the financial crisis that has gripped the sport since fans were banned from grounds in March
- Ministers insist the Premier League must support the EFL and a deal is needed
- MPs have written to the Premier League and EFL accusing them of 'squabbling'
By CHARLIE WALKER FOR MAILONLINE

PUBLISHED: 16:58, 20 November 2020 | UPDATED: 19:22, 20 November 2020

Coventry City has hit out at the government after Culture Secretary Oliver Dowden announced a £300 million rescue package for sports affected by a ban on spectators, but ignored the EFL.

Football league clubs are furious with government over what they see as a lack of support and double standards after ministers banned them - and other sports - from allowing fans back into grounds over coronavirus fears.

Clubs have sunk further and further into debt, while audiences returned to theatres, cinemas and other venues, before the latest national lockdown closed all outlets in November.

The government approach over spectators has hit professional sport hard, but now there is at least some relief for other disciplines, including rugby, which will receive £135m.

Announcing the Winter Sports Survival Package on Thursday, Culture Secretary Oliver Dowden said: 'We promised to stand by sports when we had to postpone fans returning. We are doing just that by delivering another £300 million on top of existing business support schemes.'

But those words prompted a passionate response from Dave Boddy, chief executive at Championship club, Coventry City.

'The evidence shows that the government is not doing everything that it can and instead is putting its head in the sand and hoping for the Premier League to provide the support for the EFL Clubs instead.

'Coventry City believes this is wrong, and the Government should treat football as it is treating other sports and provide the support to ensure it survives during this crisis and while the Government does not allow fans to return.

'The nation’s sport is football and it is being left to fend for itself, despite it being the most significant sport in this country for its economic, social and community impact and the number of supporters it would normally have going through turnstiles.'

The government backtracked on a pledge to pilot a return of fans in October as infection rates rose, concerned by the number of football matches and the volume of spectators, compared to other events.

And it has insisted that high-level professional football has the resources to look after itself and has refused to step in to bail out the EFL.

Ministers believe the Premier League and EFL should reach an agreement over a bail out, a point reinforced by the Digital Culture, Media and Sport Committee on Friday, which wrote to the both organisations urging them to stop 'squabbling'.

So far, no deal between the Premier League and EFL has been agreed.

The latest proposal was to provide £20m in grants and £30m in loans for League One and Two clubs, but the EFL has pushed back fearful of taking on more debt and asked for £50m in one pot of grants.

The solution for Championship clubs is less clear, but the Premier League suggested last week that it would provide a £200m loan facility repayable from the annual solidarity payments.

Sportsmail understands that these proposals may be broadly acceptable to government, but negotiations continue.

Meanwhile, there is anger within the game with ministers accused of overlooking the national sport and a belief that the politicians at DCMS and those in the cabinet do not understand the value of football to local communities.

'The Premier League and the EFL are watched and enjoyed by billions of fans around the world, a great advert for our game and our country,' added Boddy. 'Now, when football is in need, it is being abandoned by the Government.'

The Premier League, and many EFL clubs, feel ministers have not properly acknowledged the level of support the top-tier already provides.

The Premier League points out that last year, the total payments from the top tier to the EFL amounted to £409m, which includes parachute money, contributions to community schemes, for relegated clubs and funds for academies among other items.

Included in that sum are solidarity payments totalling £110m to EFL clubs, including £4.65m each year to Championship sides.

It also needles football clubs that they do a lot of work for their local areas and feel government does not factor this into its considerations.

Sportsmail reported on Friday that EFL clubs have delivered 640,000 meals and food parcels to people needing help during the pandemic.

Premier League sides have been busy too, supporting hundreds of thousands of people with meals, through community activities and fitness programmes, distributing PPE and calling isolated people.

'We are the first people to be asked to help out and the last to be offered any support,' Lee Hoos, chief executive of Queens Park Rangers told Sportsmail, neatly summing up a common view among chief execuitves and owners.

However, ministers feelhave supported elite football. Sports minister Nigel Huddlestone told Parliament on Thursday that the total spending on football amounted to £1.5 billion when furlough and other support schemes were taken into account.

And MPs on the DCMS committee, which interviewed both Premier League chief executive Richard Masters and EFL chairman Rick Parry last week, has lashed out at both organisations over the ongoing financial crisis.

The committee chairman, MP Julian Knight, wrote to Parry and Masters in stark terms accusing the organisations of 'squabbling' and lacking leadership.

'We are disappointed that you have not yet come to an agreement that will ensure the survival of football clubs through the current pandemic,' said Knight.

'There is enough money in the game to save football clubs but we are beginning to doubt whether there is enough leadership to make that happen. We urge you to stop squabbling and come to an agreement.

'Fans have been waiting too long. We expect, and the fans deserve, better.'

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Fri Nov 20, 2020 11:04 pm

almost certainly not the first time this has happened to a football club - Manchester United have been subject to a concerted cyber attack

https://www.bt.com/sport/news/2020/nove ... ber-attack

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Sat Nov 21, 2020 2:32 pm

Rangers have announced their 2019/20 Financial results (but not released the accounts yet - as is now becoming the norm)

Club statement
https://www.rangers.co.uk/article/annua ... iAbwnX8Eff

2020 Annual report https://assets.ctfassets.net/39646iezdd ... s_2020.pdf

@KieranMaguire has a look
https://twitter.com/KieranMaguire/statu ... 0175219714

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Sat Nov 21, 2020 2:58 pm

The Scoreboard colums from the Financial Times with a feature on why Ryan Reynolds has bought Wrexham

Ryan Reynolds’s viral content play at Wrexham football club
SAMUEL AGINI NOVEMBER 21, 2020

“Nothing says I’m thinking about you and your horse, as much as Ifor Williams trailers,” intoned Ryan Reynolds this week in what starts as a surprising advert.

Then the Deadpool actor reveals he is promoting the little-known Welsh company that makes farmyard transportation as it is the team sponsor of Wrexham football club.

And Reynolds and Rob McElhenney, the creator of US sitcom It’s Always Sunny In Philadelphia had just won approval for their proposed acquisition of the Welsh side that plays in the fifth division of English football.

The unlikely narrative was swallowed up by global media. Wrexham supporters told BBC Radio they expect to fly up the divisions as a result of the £2m the Hollywood pair have pledged to invest into the club. And the new owners’ rib-tickling video to announce the takeover went viral — as they surely intended.

Plenty of US investors have flooded into football in recent years, attracted by the huge worldwide interest in the sport and its multibillion-dollar broadcasting deals.

These huge TV contracts rarely trickle down to Wrexham’s level. When Texas millionaire Kent Teague poured his fortune into lower league side Leyton Orient two years ago, he told the FT that he fully expected to lose money, but that the investment was mainly for him to have fun.

By contrast, Reynolds and McElhenney’s takeover, brokered by New York-based Inner Circle Sports, appears to be a serious attempt to make money.

The pair are tapping into the insatiable appetite for media content in a different way. The men have begun filming a documentary about their trip into football club ownership.

This follows the likes of Tottenham Hotspur, Leeds United and Sunderland, which have been the focus of major behind-the-scenes shows in recent years. Apple has backed Ted Lasso, a sitcom about a hapless American coach at a fictional English football club — a show inspired by a promotional video that went viral.

Wrexham AFC takeover: couldn’t have scripted it © Simon Stacpoole/Mark Leech Sports Photography/Getty
As Bloomberg’s Alex Webb explains, a Netflix-style series on Wrexham could make enough cash for the new owners to recoup their investment, while ensuring the club turns a tidy profit. The free media earned by the takeover is further brand building for Reynolds and McElhenney, a boost for whatever comedic project they move on to next.

Perhaps the deal is a win-win for all concerned. Yet such a plan puts the cart before the horse, the show ahead of the football. If the team doesn’t achieve as much success on the pitch as the Wrexham documentary does off it, fans will not see the funny side.

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Sat Nov 21, 2020 11:40 pm

An absolutely fascinating "Groundsmen" podcast from Are You Not Entertained - talking first about the Wrexham takeover and the maths around it and the documentary making it a self financed proposition - it is about the story, then moves onto a discussion about how data is the key for rights owners, looking at what the NBA did with it's season passes and then a discussion as to where is the right place to invest in sport. It then moves onto a discussion about the in-play betting which is developing massively in the US at the moment due to recent legal changes

https://podcasts.apple.com/it/podcast/a ... 0499316877

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Sun Nov 22, 2020 12:17 am

The vultures are at the door

I must confess that I am a little surprised that all the Serie A clubs appear to heave agreed to a Private Equity deal for a share of their commercial operations - times must be very tight for them financially, they have never previously agreed on anything - from SportsProMedia

Serie A accepts CVC-led €1.7bn bid to move closer to private equity investment
Tax and legal aspects of deal still to be finalised before transaction goes through.

Posted: November 20 2020By: Sam Carp

- Serie A clubs unanimously agree to sell 10% stake in media business to private equity consortium
- Deal will reportedly see CVC hold half the group’s shares, Advent 40% and FSI the remainder
- Contract to run for at least six years, according to Reuters, with investors getting final say over unit’s CEO

A private equity consortium led by CVC Capital Partners is a step closer to acquiring a stake in Serie A’s new media business after Italy’s top-flight soccer clubs agreed to accept the group’s €1.7 billion (US$2 billion) offer.

The two parties have been in exclusive negotiations since October over a deal that will give CVC, Advent International and state-backed Italian fund FSI a ten per cent stake in a new company that will manage Serie A’s media rights.

The 20 Serie A clubs have now voted unanimously in favour of the financial terms of the proposal, but Reuters reports there are still some tax and legal aspects that need to be finalised before the deal can close.

Speaking to Bloomberg, Serie A president Paolo Dal Pino described the deal as “a turning point” for the Italian soccer industry and said the investment will enable the league to “reaffirm Serie A’s brand worldwide”.

Under the deal, according to the Financial Times (FT), CVC will own half of the consortium’s stake, Advent 40 per cent and FSI the remainder.

The terms of the agreement will see the consortium retain its stake for at least six years, according to Reuters, which added that the private equity group will also have final say over the choice of the newly created media company’s chief executive, with Serie A having a majority of one seat on the board.

The FT reported last week that talks had become complicated as CVC and Advent moved to insert a ‘breakaway’ clause in order to protect their investment if a rival European super league is launched, something that Dal Pino said Serie A would not agree to.

In any case, the deal will provide much-needed revenue for Italy’s top soccer competition, which has suffered €600 million (US$707 million) losses as a result of the Covid-19 pandemic, according to Dal Pino.

The agreement also comes ahead of Serie A’s next domestic media rights tender. The league’s current three-year deal with pay-TV broadcaster Sky and sports streaming subscription service DAZN, worth €973 million (US$1.14 billion) annually, expires at the end of the 2020/21 season.

It was previously reported by Milano Finanza that CVC’s group could look to sell Serie A’s domestic rights to the Amazon Prime streaming service if its bid proved successful.

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Sun Nov 22, 2020 12:21 am

Meanwhile in France and as predicted the French Ligue are in talks with Canal+ about taking over their domestic rights that Mediapro have stopped paying for in an effort to renegotiate their 4 year year deal which still as 45 months to run - from SportsProMedia

Report: Ligue 1 rights could return to Canal+
LFP in talks with French pay-TV network amid Mediapro dispute.

Posted: November 20 2020By: Tom Bassam

- Mediapro seeking to reduce 2020/21 Ligue 1 and Ligue 2 rights fee by 25%
- Canal+ is unlikely to match Mediapro’s €814m a year terms

The Professional Football League (LFP) could turn to French pay-TV broadcast giant Canal+ if Mediapro’s Ligue 1 and Ligue 2 domestic broadcast partnerships collapse over a pay dispute, according to RMC Sport.

The Spanish-based media agency has failed to pay the second €172 million (US$202 million) instalment of its €814 million (US$951 million) per season rights deal for top-flight Ligue 1 and second-tier Ligue 2 rights. That payment was due at the start of October and its next is scheduled for 5th December.

The LFP had to take out a bank loan to cover the payments to its clubs and has referred the matter to the Parisian commercial court. Mediapro, for its part, has reiterated its commitment to the four-year contract, saying it wants to renegotiate the terms for this season because of the impact of the Covid-19 pandemic.

Mediapro is asking the LFP for a 25 per cent reduction in its rights bill for the 2020/21 season, but has reportedly offered to extend the contract by two more seasons as a sign of its commitment to Ligue 1.

According to L'Equipe, Mediapro's offer to the LFP is to reduce its fee by between €170 million (US$201 million) and €200 million (US$237 million) for this season whilst extending the contract until the end of the 2024/25 campaign for the annual sum of €814 million (US$951 million), thus guaranteeing the LFP some added financial security.

Marc Senechal, Mediapro’s legal representative, must submit an interim report to the commercial court of Nanterre in early December to protect his client’s rights contract.

According to RMC Sport, discussions between the LFP and Canal +, which was previously Ligue 1’s main broadcaster and now holds a smaller package of rights, have been taking place over several days in regard to partial or total takeover of Mediapro’s contracts.

The LFP would purportedly like an agreement with Canal+ to be made quickly, but are yet to agree a fee, whilst a speedy resolution also suits Mediapro.

Earlier this month Maxime Saada, president of Canal+, described Mediapro's rights deal as “untenable” and warned the LFP that the broadcaster would not ride in to the rescue. RMC reports that Canal+ considers that Ligue 1’s rights have been devalued this season and will not match the fee previously agreed with Mediapro.

Teléfoot, Mediapro’s new €25.90 (US$30) a month pay-TV offering, which also airs most live Ligue 1 and Ligue 2 games, as well as Uefa Champions League matches, was launched back in August.

Mediapro is targeting 3.5 million Teléfoot subscribers, but has thus far only brought in 600,000 paying customers.

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Sun Nov 22, 2020 12:31 am

AS we deal with the prospect of new Investors/owners in our club and the fact that candidates must first clear the Premier Leagues Owners and Directors test - the same test Newcastle Saudi's suitors walked away from (and is now the subject of legal arbitration proceedings) this is a timely opinion piece from SportsBusiness.com about the need for strong governance and forensic due diligence of new investors

Why sport needs strong governance and forensic due diligence in dealing with investors
Kevin McCullagh and Kevin Roberts
November 18, 2020

- Some investments in sports properties have failed to deliver
- Difficult to set global standards for investors but not impossible to regulate at a regional level
- Full transparency is needed to ensure fairness as ‘a fundamental obligation towards fans’

The $2.475bn (€2.093bn) acquisition of the MLB’s New York Mets by hedge fund billionaire Steven Cohen, the continuing interest of Private Equity firms in sports properties including Italy’s Serie A football league, and the $1.5bn Initial Public Offering (IPO) of data company Genius Sports through a Special Purpose Acquisition company (SPAC), combine to suggest that, despite the impact of Covid-19, sport remains an attractive proposition for investors.

But while the majority of sports acquisitions and investments may deliver the win-win which is the aim of every good deal, a number of high profile cases show that, after the initial euphoria subsides, deals can and do go bad.

In the English Football League, the acquisition of Wigan Athletic by Hong Kong-based Au Yeung and its near immediate entry into receivership, and the financial collapse and the ultimate liquidation of Bury FC and Macclesfield Town are among the most recent, but they are not alone.

Sports businesses, whether clubs, leagues, agencies, or service providers, are attractive for a range of reasons. But while most investment decisions are taken for sound commercial reasons, some sports properties, notably football clubs, have been seen as ‘trophy assets’ acquired by investors less committed or able to sustain them.

These failures give rise to fundamental questions about the way that potential investors are screened, levels of due diligence on both sides of the deal and the governance framework within which they are conducted.

Kevin McCullagh put some of the key questions to Luca Ferrari, partner and global head of sports at law firm Withersworldwide.


What are the main reasons investments in sport go wrong? Are there structural weaknesses in the sports industry that leave it exposed?

When it comes to clubs, one thing that comes to mind is the difference between sports in the US and in the rest of the world. The US has single-entity model, where the league owns the business and owners of clubs buy into a centralised, usually well-managed championship. The American system, unlike the pyramidal European system, does not involve relegation and promotion, and having been historically granted exemption from the antitrust legislation – the NBA, NFL and other US professional sports leagues are legally defined as a single entity rather than a group of independent companies – they can impose salary caps and drafting rules, which reduce competition between clubs and likewise the risk of bidding wars leading to overspending on salaries and transfers.

Investors in European football face a much higher risk. They cannot impose salary caps and have no equivalent of the NCAA college system or the draft, which means they have to bear the cost of developing and competing for talent themselves. Most importantly, with the exception of a few powerhouses, European football clubs are always at risk of relegation, which, despite some financial protection from leagues, means a near disastrous hit to revenues. Therefore, deep pockets, resilience, and quick learning are the keys to mastering an investment in European football.

Investing in agencies presents different issues because these are relationship businesses. Sports marketing agencies are built largely on a network of personal interaction. A new investment may introduce new finance and marketing skills and other business synergies but success ultimately rests on people, their skills and reputation. One should not underestimate the ‘human factor’ and the empathy needed to run these kinds of businesses.

Talent management agencies are even more deeply rooted in highly personal relationships. No matter how much better advice may be, as a result of investment, or how much wider the range of services becomes, client retention will depend heavily on the loyalty of the agent(s) whose portfolio has been acquired. It is easier to buy a stable of talent than to retain and develop them after the individuals who built it have cashed in. So a key piece of advice is to make a thorough assessment of the human factor and, ideally, to invest into an agency where the founders maintain a significant earn-out interest as well as a reputational stake.

More generally, buying into a sports property, especially a football club, is definitely not the typical private equity investment. It is rather one that will need a dose of personal involvement, the ability to build an emotional connection with the history, place and people that are part of the club’s identity. But here comes the hardest challenge: the owner must be and feel like a fan, but act as a businessman. If you are not able to keep a cold mind and draw on a dose of optimism the day after you’ve lost a crucial game or when the table position starts looking ominous, you should not put you money in this sport.


Asian investment in European football has been particularly problematic, as evidenced by the Wigan Athletic case, Bellagraph Nova Group’s attempt to buy Newcastle United, and the failure of LD Sports’ involvement with Southampton. Are there dynamics at play that make Asian investments into European sports especially risky?

Yes, and I think it may be a cultural issue and a matter of expectations. Of course, it depends on where the Asian investor is from. For example, I am not sure, bar exceptions, Chinese investors understand the sentimental bond that underpins a Club’s competitive and commercial value. Grasping that factor is key to creating the kind of chemistry that enables and empowers the society a club depends on, from fans to local authorities, from vendors to sponsors, from the warehouseman to the top management. And of course, it needs a lot of patience, planning and consistency to develop a steady and lucrative trade, be it in players, sponsorships, or media rights.


Investor interest in sport has ticked up during the Covid-19 period, as sports properties have struggled for cash and investors have sensed bargains. What should any sports property that is being approached by a would-be investor or is seeking investment be doing to make sure that their future investment partners are right for them?

That depends on individual situations. If the property is looking for someone to relieve them of an unsustainable (financial) burden I doubt they will be too choosy. If they are looking for a partner to continue building the club’s fortunes they should be frank about how difficult it is to make money from a sports property, make sure there is a shared, long-term plan and commitment, be honest about weaknesses in management, and open to hand over the reins as and where needed.


Who can and should take charge of managing and regulating investments into sports properties and at what level must this be addressed?

Given that clubs operate in an international marketplace, there should be an international set of rules, ensuring only clean money is invested by reputable investors. The ultimate beneficial owner and origin of funds should always be disclosed and scrutinised. Probably the best way to accomplish this on an equal, international level, is for the international sports governing body to set the rules, impose them on national governing bodies and task them with their application while maintaining the power to intervene where enforcement fails or doesn’t meet set standards.

I have always been sceptical about the utility, effectiveness and, ultimately, the legality of more dirigiste-interventionist rules like Uefa’s Financial Fair Play. While I believe FFP is necessary and effective in ensuring fulfilment of financial obligations across European football, the break-even rule should be revised beyond the changes made in the wake of the pandemic, to allow larger deficits, provided they are fully backed by adequate security and owners’ refinancing obligations. This would give a chance to clubs from less wealthy national markets to reduce the gap with the European powerhouses.


What controls and regulations exist to govern investments in sports properties and do they adequately protect sports properties and investors? If not, what do you think needs to change?

In principle, the EPL ‘Owners and Directors Test’ goes in the right direction and is probably the most stringent test in football. But I have some reservations. The test could be more transparent, and the requirements should be set out more clearly. If you leave too much space for discretion, there is room for political rather than legal criteria to set in. We are all aware of the face-washing and diplomatic motives of some government-led investments in sports. But you either prohibit, for example, direct or indirect football club ownership by sovereign funds, or football must leave it to politics and international law and diplomacy to judge and impose embargoes.


Do you think there should be a global regulatory framework that governs football club ownership, or other types of sports industry investment? And who should – or could – govern this?

It is probably difficult to set global standards, but not impossible to act at regional level, comprising the relevant competitive market, like Europe in the case of football. Such regulatory framework could be promoted by Uefa, but it would need eventually to be freely adopted and adapted by the single leagues to reduce – if not entirely avoid – the risk of antitrust claims.


Third-party investment funds can conceal the identities of the ultimate beneficial owners. Should this be allowed in football club ownership, or other sports investments?

Football club ownerships need to be fully transparent, in my view. The need to ensure genuine and fair competition between clubs is a fundamental obligation towards the fans and ensures the sport’s credibility.

FactualFrank
Posts: 25445
Joined: Sat Mar 26, 2016 12:46 am
Been Liked: 6930 times
Has Liked: 11660 times
Location: Leeds

Re: Football's Magic Money Tree

Post by FactualFrank » Sun Nov 22, 2020 12:47 am

Chester Perry, does that mean I should steer clear of anything related?

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Sun Nov 22, 2020 12:49 am

This is interesting form John WallStreet at Sportico - talking about the financial impact that a 2nd Lockdown (Shelter in Place in US vernacular) could have on the big 4 US sports and their franchise values - remembering that:

1- there has been a run to sport Investment for Private Equity and of course all those SPAC's that have been created to invest in sports
2 - a number of American sports franchise owners also own football clubs in Europe and particularly the Premier League - think Arsenal, Liverpool and Manchester United, all these clubs that are facing huge income deficits from the lack of Matchday Income, TV rebates and sponsorship deferrals, Fulham are in a similar position, with Tottenham are also affected by the fact that their business model is reliant on the NFL games at their stadium.

the longer Covid persists and government actions remain ineffective the more likely it is that these organisations will suffer. particularly if the status quo continues into a 3rd season

https://www.sportico.com/business/comme ... 234616730/

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Sun Nov 22, 2020 12:50 am

FactualFrank wrote:
Sun Nov 22, 2020 12:47 am
Chester Perry, does that mean I should steer clear of anything related?
sorry Frank not following the line of thought - it is getting late

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Mon Nov 23, 2020 3:41 pm

Spurs announce their 2019/20 Financial results several months early so they can put pressure on the government to allow fans back into grounds citing a potential irrecoverable loss of £150n if it does not happen

Official statement https://www.tottenhamhotspur.com/news/2 ... june-2020/

five year review https://www.tottenhamhotspur.com/media/ ... -table.pdf

nothing at Companies House yet but should appear here https://find-and-update.company-informa ... ng-history

@kieranMaguire has a look https://twitter.com/KieranMaguire/statu ... 9329811456

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Mon Nov 23, 2020 3:48 pm

Chester Perry wrote:
Mon Oct 26, 2020 9:00 pm
Celtic announce their 2019/20 financial results

press statement http://www.celticfc.net/news/18682

full financial report (note these are not the full accounts - there is nothing lodged at Companies House and unlikely to be for some time yet (history suggests February next year) https://cdn.celticfc.net/assets/downloa ... cement.pdf

@KieranMaguire has a swift peek

https://twitter.com/KieranMaguire/statu ... 2578852864
@SwissRamble does his thing with Celtic's 2019/20 Financial results

https://twitter.com/SwissRamble/status/ ... 5069410304

and here is his abbreviated chart for those how do not have time for tht long thread

https://twitter.com/SwissRamble/status/ ... 0993976321

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Mon Nov 23, 2020 4:10 pm

Interesting piece from ESPN about International scouting during Covid

Diary of a scout: How COVID-19 has impacted the search for new talent

Football is largely back in various forms across the globe, but the COVID-19 pandemic continues to disrupt how things normally operate in the sport. Club scouts in particular have been hugely affected as they are used to travelling to games to watch players and, while live matches have returned, scouting is far from being back to normal.

Tor-Kristian Karlsen

Tor-Kristian Karlsen is a Norwegian football scout and executive and is the former chief executive and sporting director at AS Monaco. He will write regularly for ESPN on the business of soccer and the process of scouting.

Although some clubs started sending their scouts to games again around August/September as travel restrictions relaxed and access was allowed for scouting purposes (though sadly not for fans), this has largely stopped again. The pandemic has caused many last-minute cancellations and changes, leaving some scouts stranded in their hotels for several nights.

Watching players online has always been an option through such platforms as InstatScout or WyScout, but COVID-19 has changed the world and football scouts are having to adjust.

As Europe finds itself amid the second wave and lockdowns have been implemented across various countries, ESPN talked to a number of top scouts -- who spoke under the condition of anonymity because of the sensitive nature of their work -- to find out the "new normal" for them.

Monday: Rest and recharge
Under normal circumstances the first day of the week would typically be spent on the road, either crossing European borders in a car or negotiating time-consuming air travel. Now, however, it's often the most convenient time for scouts to take a day off and clear their mind after two marathon days in front of the TV/computer screen watching games. Of course, there's also the opportunity to type up their findings from the weekend and planning for the week ahead too.

"Monday is generally the day of the week with the fewest relevant games. Sure, some of the bigger leagues play games in the evening, but it's not something we prioritise massively. We usually already know all the players inside out and if a new player or a youngster makes a debut, or something similarly interesting happens, we can catch up with the games online later in the week. Monday night is my preferred night off, the way things are now." -- The chief scout of a European club in the Champions League.

Tuesday: Planning and games
The proper starting point of the week for many scouts as a congested fixture program, with games coming thick and fast, means that Tuesday -- often with league and European games aplenty -- is about spending time in front of the TV for the scouts.

How the coronavirus will change soccer: Cheaper transfer fees, swap deals and takeovers
First up, though, is going through last week's work and observations with the wider scouting/recruitment team before setting sights on the days ahead. Right now this assumes extra importance as clubs are in the "detection phase" ahead of the January transfer window. It's common to have lots of names brought up in meetings, where they will bounce ideas around with their team and narrow down a shortlist in December. Like the rest of society, the use of video conferencing tools like Zoom or Skype for these meetings is booming.

"We usually spend the first few hours going through the European scene, exchanging notes and observations from the games at the weekend. Then after lunch, obviously with the time difference in mind, we connect with our two South America based scouts and there's the same drill there; we go through names, abilities and performances. Usually, the session finishes off with the South Americans flagging up players from their part of the world for us to study before we regroup and offer feedback next week." -- Chief scout.

If you want to scout the best talent, having a team based across the globe is key. It's been practically impossible to travel, let alone access games outside Europe, since early March, so having somebody "on the ground" is proving an even greater advantage now.

Wednesday: Games, games, games
Nowadays this is another heavily loaded day of televised games with a routine that doesn't differ too much from the days preceding or following. However, some clubs are taking extra care to follow up with their remotely based scouts, for work and mental health, and that midweek is a fitting day to check in for an extra hour or so.

"Some of our locally based scouts are still able to pop in physically to take part in meetings or just grab a coffee. Those who work for us abroad are kind of stuck now. We've decided against assigning them to go to games even though they might get access one way or the other. At this stage it's about personal safety and trying to restrict movements.

On the other hand, we can't demand of them to sit for hours in front of a monitor watching games from their own countries or those neighbouring. They already know all the players well and having them watch the same talents over and over again will drive them insane. For that reason we try to involve them more by giving them new leagues and players to watch. Either myself or the chief scout calls them personally once or twice a week. Even if we live far apart, they're still a part of our team." -- A European sporting director.

Thursday: Rest day
Many clubs encourage their scouting staff to take a clean break from football at least one day each week. Given that weekends are so busy, Thursday is a good option if Monday doesn't work out.

"I know that busy days will come, so I try to make sure there's a day or two off to spend doing other stuff or be with friends or family. I demand a lot from my scouting staff; I can call and text them around the clock. In just a few weeks we'll be approaching the next transfer window and things will be even more hectic." -- Sporting director.

Friday: A final catchup and an eye on Ligue 2
In non-pandemic times, Friday is spent travelling but that has been replaced by the week's second opportunity for a digital catch-up. After a few hours of reviewing the work from the previous few days and setting out a plan for the next, some sign off the day by following a Ligue 2 match -- the second division in French football -- unmissable for scouting purposes for most European top league clubs.

Ligue 2 is the best option to spot up-and-coming talent, according to most scouts, given that their normal go-to of youth football has been severely curtailed in the pandemic. UEFA has cancelled its youth national team competitions and many tournaments further afield have been similarly affected, while those that are still running are generally not available on TV.

So the focus now is geared towards senior football and what is available on TV, although the pandemic has forced clubs to give youth players already on the books more of a chance in first-team.

"At first it was a relief to spend more time at home, but when the borders and stadiums opened in July and August I really enjoyed getting back into it. Now that everything is closing down again it's just frustrating. The travelling has become a lifestyle to me. I miss it!" -- An international scout with 10 years' experience.

Saturday/Sunday: Full steam ahead
While logistical shortcomings used to prevent scouts from physically attending more than a game or two per day over a weekend, the wealth of live TV games now allows for an action-packed itinerary from the comfort of one's own home.

"Of course, games can be watched whenever you want online, but I enjoy the novelty of being able to watch games with a professional eye on TV while the result is still unknown. My main priority is assessing players and reporting on their pros and cons, make no mistake about that, but having the added suspense of seeing live footage is generally a boost to me. It does make it slightly more exciting to check out a player in a live game, rather than already knowing that he came off after 68 minutes when catching up a few days later.

"I usually start off with a Dutch game around lunchtime; then Germany in the afternoon. In the evening there's often an interesting Ligue 1 game to pick up. Three games in a day is enough for me. After all you don't want to overdo it and lose focus.

"Nothing beats being at the stadium though -- neither from the experience of a fan nor being a scout who wants to pick up as many details as possible. Perhaps TV and streams give you 80% of the total picture, but there's still something missing if you're not there." -- An international scout.

But as the world adapts to COVID-19, so will clubs. The recruitment side of many organisations have been working reasonably well in spite of the adverse circumstances, and may lead to some changes when things return to normal.

"We already had a comprehensive database from previous live scouting, which means that we haven't been as impeded as we thought. The online tools have also helped us organise ourselves well and delegate the work efficiently.

"We've attended fewer games this year, like everybody else, but actually our conclusion is that we travelled too much without purpose before the pandemic. Now our work is more targeted." -- Sporting director.

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Mon Nov 23, 2020 4:14 pm

The Football Today Podcast looks at the Premier Leagues proposal for international transfers post Brexit

https://www.footballtodaypodcast.com/po ... -transfers

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Mon Nov 23, 2020 7:59 pm

Chester Perry wrote:
Mon Oct 19, 2020 10:49 am
The guys at SportsProMedia are at it again with another in depth and lengthy series, this time looking at the world in 2022 - Part one has been out for a while now - I had been wondering why there was such a gap between instalments, but there is an awful lot to take in and each installment takes quite a bit of time to read.

Part 1 The world in 2022 : Future-proofing your business
https://www.sportspromedia.com/from-the ... -drl-zwift

Part 2 The world in 2022 : Why you need a newly fluid business model
https://www.sportspromedia.com/from-the ... p-strategy
It has been a while but here is Part 3 of SportProMedia's series looking into the near future for sport

Part 3 The world in 2022 : Margins too tight to mention
https://www.sportspromedia.com/from-the ... oeconomics

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Mon Nov 23, 2020 10:55 pm

Martin Samuel hits the nail on the head in regard to the recent whines from All the Champions League clubs re Package A in the Domestic TV rights - The Saturday 12:30 slot - in the Mail - Klopp being the last of the managers to do so at the weekend

MARTIN SAMUEL: The £900m TV problem Jurgen Klopp refuses to see... it is disingenuous not to acknowledge football's half of the bargain in kick-off times row
Jurgen Klopp is frustrated by short turnarounds and early kick-off times
Liverpool boss has squad beset with injuries and hit out at TV scheduling
But 'Package A' was bought by BT Sport for £900million in bidding war
Broadcasters need value for money that the clubs end up benefiting from
By MARTIN SAMUEL - SPORT FOR THE DAILY MAIL

PUBLISHED: 22:30, 23 November 2020 | UPDATED: 22:38, 23 November 2020

Here is the problem. It is called Package A. And it is worth £900million.

That was the price, ball park, paid by BT Sport in the last domestic rights negotiations for 32 Premier League games each season, kicking off at 12.30pm on a Saturday.

It was a hard-fought bidding war with Sky and the contract runs until the end of the 2021-22 campaign. And, no, Covid-19 and a truncated season were not envisaged when pen went to paper. But that doesn’t make the contract invalid.

All clubs agreed to the sale —even those, like Liverpool, who may have suspected they would have Wednesday night commitments in Europe. So while much of what Jurgen Klopp said about kick-off times makes perfect sense, one question has not been answered.

Where’s the money?

For if BT Sport are to sacrifice Package A for the remainder of the 2020-21 season — broadcast rights which they bought in good faith — it would appear they are owed roughly £300m.

Split 20 ways, that’s £15m per club, always providing the broadcasters don’t consider it a contractual breach and sue for a rebate on next year as well. In which case, double it.

Yet managers never talk about this rather significant complication. Klopp spoke after the win over Leicester as if this was television’s decision to make. It isn’t. It’s football’s. They sell these packages, seven of them, and invite tenders. Highest wins. And the guys at the very top of the game — the owners, not the employees — cannot believe the revenue football is generating.

That’s why they’re here. You don’t notice American venture capitalists, Russian oligarchs and sovereign wealth funds hanging around other sports, do you? They follow the money.

And English football money is off the charts. Why? Because someone pays £900m, just for Package A.

So while it is very possible to have sympathy for Klopp because he is at the sharp end of serious injuries and aching legs, it is not merely — as he puts it — ‘a decision on a desk in an office’ to apply change.

That’s a glib interpretation of what is financing his industry. If he wants the broadcasters to understand a coach’s predicament, coaches need to understand theirs.

As it stands, football has sold television a product and that product is no longer working satisfactorily for football — so football expects television to come up with a solution.

Sorry, but that’s not how it works.

‘If you don’t start talking to BT then we’re all done,’ Klopp told Sky reporter Geoff Shreeves. ‘Sky and BT have to talk.’

Actually, they’re rivals. They negotiate on picks because they have to, but Sky are not in the business of easing BT Sport’s pain, and vice versa.

The company that BT Sport outbid for Package A was almost certainly Sky. It was Sky’s interest that would have pushed the selling price to £9.375m per match.

Think about that. To move just one fixture — say Brighton v Liverpool this weekend — could cost close on £10m in rebates. And that’s Liverpool’s bill, surely, because it’s not Brighton who are objecting.

Yes, compromises could have been made with foresight. Excluding clubs with European fixtures on Wednesday from Package A kick-offs could be a straightforward one. Yet the right time to do that would have been in 2018 when the deal was struck, but the clubs did not push for it. Why? Because it wouldn’t be worth £900m.

Any club in Europa League action is already excluded, because they play Thursday. Remove two of the four Champions League teams, too, and that wipes out the bulk of the interesting fixtures.

Take this weekend. Out of Package A contention would be Brighton v Liverpool, Manchester City v Burnley, Chelsea v Tottenham and Arsenal v Wolves. In other words, five of the big six.

The previous UEFA match week, such an arrangement would have ruled out half the programme including the games involving Manchester United, Chelsea, Tottenham and Arsenal.

There would have been one spicy fixture, Manchester City v Liverpool, but that would be bagged for Sunday afternoon. So the 12.30 Saturday options would have been — Brighton v Burnley, Southampton v Newcastle, Crystal Palace v Leeds and West Ham v Fulham. Some reasonable games in an open season, but who’s paying £900m?

Equally, TV people know their audiences. A marquee match at a less attractive kick-off time would also affect the selling price.

Klopp’s points are valid. Covid has complicated the world. Yet, for an intelligent man, it is disingenuous not to acknowledge football’s half of the bargain.

‘If someone tells me again about contracts, I’ll go really nuts,’ he told Shreeves, ‘because these contracts aren’t made for a Covid season. We all have to adapt. Everything’s changed but the contract with the broadcasters is still, “We have this, so we keep this”. What? Everything changed, the whole world changed.’

Indeed it did. Except the £900m. No mention of that changing, so one presumes football still expects and needs BT Sport to pay the full amount for Package A. Maybe that’s why it’s a broadcaster problem.

How to continue banking their money without delivering the product. That would be a problem for anybody.

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Mon Nov 23, 2020 11:06 pm

The Telegraph are reporting that West Brom are the subject of an American takeover bid - significantly this is the 2nd Chinese owned club in the Premier League that has American suitors (Southampton being the other). Equally as significant would be the level of influence American owners would exert with ownership already and Manchester United, Liverpool, Arsenal, Crystal Palace. Fulham - Aston Villa and Leeds have Americans with a significant shareholding and of course our own club is the subject of interest to an American bid

West Bromwich Albion hold talks with American consortium over £150m takeover
JOHN PERCY NOVEMBER 23, 2020

West Bromwich Albion have held talks with an American consortium over a potential £150 million takeover.

Albion’s controlling shareholder Guochuan Lai is understood to have turned down an offer earlier this year, but negotiations remain open with the party over either a full takeover or a minority stake of up to 15 per cent.

It is understood that the American consortium have an advisor with vast experience of the Premier League, and the group are weighing up another bid if the price drops.

Lai, who is based in China, would consider a sale of around £150 million but that figure is viewed as too high while the club’s Premier League future is in the balance.

West Brom are yet to win since promotion from the Championship and the consortium could wait until later in the season when the club’s position becomes clearer.

A stake of around 15 per cent has also been discussed with Albion’s chief executive Xu Ke, who is based at the club’s training ground and reports to Lai. Sources suggest that other parties have shown interest and held initial talks over the past 12 months.

It is also claimed that Lai’s demands for £150 million are based on the fact he paid around £200 million to buy the club from former chairman Jeremy Peace in September 2016. Albion declined to comment on Monday.

Albion’s current ownership have drawn criticism from some supporters over a perceived lack of investment since completing their takeover. Slaven Bilic, the head coach, was given a transfer budget of around £20 million after achieving promotion at The Hawthorns, with the amount severely impacted by Covid-19.

Meanwhile, West Brom have written to the Football Association for clarity over the controversial refereeing decisions in their 1-0 defeat by Manchester United on Saturday. West Brom were furious after official David Coote overturned his initial decision to award the visiting team a penalty when Bruno Fernandes appeared to foul Conor Gallagher in the area.

Albion also claim Gallagher was fouled in the build-up to United’s penalty, which was given for a handball by defender Darnell Furlong.

Fernandes was ordered to take his penalty a second time after goalkeeper Sam Johnstone was adjudged to have come off his line. United return to league action on Saturday with a home game against Sheffield United.

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Mon Nov 23, 2020 11:12 pm

The battle between agents and the reforms that FIFA are looking to implement (with support from global players union FIFAPRO) takes an interesting twist as agents use their most famous clients to challenge FIFA's right to make money from their image

https://twitter.com/tariqpanja/status/1 ... 1961135105

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Mon Nov 23, 2020 11:19 pm

Well this took a little longer to raise it's head than expected - news that the Government is prepared to let up to 4000 fans into games as of Dec 2nd was greeted with relief by many, yet that number is far from an economic viability for all Premier League clubs - remember all those EFL clubs that lost money in the trials with 1000 fans - this from the Mail - I am still waiting for people to challenge the sporting integrity of Fans being allowed in some games and not others when it is now clear that results/performances are affected by the presence of fans

Not so fast! Premier League clubs may REJECT chance to bring back fans due to fears they'd lose money hosting small crowds - while they are also concerned over the absence of a roadmap towards stadiums returning to full capacity
READ: Live sport is back! Fans will be allowed into stadiums from December 2
But Premier League clubs may opt not to let fans back in due to money fears
All 20 clubs would lose significant sums even with 4,000 fans back at grounds
Most of the 20 clubs operate at break-even figure of at least 10,000 ticket sales
By MATT HUGHES FOR THE DAILY MAIL

PUBLISHED: 22:30, 23 November 2020 | UPDATED: 23:07, 23 November 2020

Premier League clubs could reject the chance to welcome fans back into their grounds next week due to concerns over cost and the absence of a roadmap towards full capacity crowds.

Sportsmail has been told that while their operating costs vary, all 20 top-flight clubs would lose significant sums if they admitted even the maximum number of 4,000 fans that the Government announced on Monday — a limit that is unlikely to be permitted in large areas of the country.

The Premier League defied the Government in September by cancelling planned test events due to unhappiness at a Downing Street-imposed capacity cap of 1,000, which they deemed uneconomic, and some of their clubs could do so again.

It is understood that most of the 20 clubs operate at a break-even figure of at least 10,000 ticket sales. That number is likely to be higher over the next few months, given the additional safety costs of ensuring a Covid-secure environment at grounds.

Manchester United released a statement on Monday night welcoming the Government's announcement and emphasising the club 'are ready to welcome fans back to Old Trafford as soon as it is safe to do so'. But the Premier League were candid in spelling out their concerns.

A statement read: 'Fans have been greatly missed at Premier League matches and therefore we welcome the Prime Minister's announcement regarding the return of supporters for the first time since March, albeit in small numbers.

'Our ambition remains to work with Government to increase attendance to more substantial levels. Until this can be done, many fans will be unable to attend games and our clubs will continue to operate matches at a loss.'

In addition to the considerable cost, there are also concerns about the absence of detail from Government over how clubs could eventually move to bigger capacities.

This issue has been encapsulated by the apparent lack of involvement from the Sports Technology Industry Group — an independent team of health and technology experts who have been working on high-tech solutions to facilitate a return to full stadiums. The Premier League statement added: 'Our priority continues to be the agreement of a roadmap, with DCMS and the Sports Technology and Innovation Group, for pilot events that can help our clubs quickly scale up to larger capacities in line with the Sports Ground Safety Authority's Covid-secure guidelines and beyond.

'Premier League clubs have a proven track record of achieving high-biosecurity standards and we believe we can play a significant role in the Government's rapid turnaround testing initiative.'

The clubs will wait until the Government publish details of the revamped regional tier system — which will determine how many fans can attend events in different areas of the country — before confirming individual positions.

In consultation with local safety advisory groups, the clubs have been working towards occupancy rates of between 25 and 33 per cent when fans are permitted to return. The Premier League insist social distancing can be maintained at those levels.

But the Government's attendance figure on Monday was far more modest, with a maximum of 4,000 fans to be allowed at outdoor events in the lowest-risk areas from December 2, 2,000 in Tier 2 and none in Tier 3.

The RFU are yet to decide whether they will seek to admit fans to the final of the Autumn Nations Cup at Twickenham on December 5, with a maximum of 2,000 likely to be permitted as London will almost certainly be in Tier 2 or Tier 3.

RFU chief executive Bill Sweeney has said crowds of 25,000 are needed at the 80,000-capacity stadium to make it viable, although in the Premiership that figure is understood to be around 4,000.

The EFL are more enthusiastic about the announcement, which will provide a potential lifetime to several clubs in League One and League Two.

While the issue of sporting integrity has been raised due to fans being allowed to attend games only in certain areas of the country, there is no serious opposition to turnstiles being re-opened next week where it is permitted.

'The EFL welcome the decision to allow the return of supporters when the national lockdown ends next week,' said an EFL spokesperson. 'We now look forward to the re-opening of some EFL club stadiums as we finally welcome back fans.'

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Mon Nov 23, 2020 11:26 pm

Chester Perry wrote:
Mon Nov 23, 2020 11:12 pm
The battle between agents and the reforms that FIFA are looking to implement (with support from global players union FIFAPRO) takes an interesting twist as agents use their most famous clients to challenge FIFA's right to make money from their image

https://twitter.com/tariqpanja/status/1 ... 1961135105
Meanwhile the Agents themselves are readying themselves for a big backslapping party in Dubai - 2020 has been a long year that has felt longer, but the notion of having an Agent of the century ard only a 5th of the way through it is a negotiation to far - though if past awards are anything to go by there is only one real contender

https://twitter.com/tariqpanja/status/1 ... 3253408770

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Mon Nov 23, 2020 11:32 pm

Chester Perry wrote:
Mon Nov 23, 2020 3:41 pm
Spurs announce their 2019/20 Financial results several months early so they can put pressure on the government to allow fans back into grounds citing a potential irrecoverable loss of £150m if it does not happen

Official statement https://www.tottenhamhotspur.com/news/2 ... june-2020/

five year review https://www.tottenhamhotspur.com/media/ ... -table.pdf

nothing at Companies House yet but should appear here https://find-and-update.company-informa ... ng-history

@kieranMaguire has a look https://twitter.com/KieranMaguire/statu ... 9329811456
Tottenham have now posted their Annual Report which includes their consolidated 2019/20 financial results on their website

- it can be found here - https://www.tottenhamhotspur.com/media/ ... e-2020.pdf

just look at those match receipts £94.5m for a season with 5 league games played after lockdown so no match revenue - I think that puts them above Manchester United and Arsenal now with that stadium

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Tue Nov 24, 2020 12:13 am

Sheffield United's owners add a 4th club to the stable - https://twitter.com/SheffieldUnited/sta ... 4901478402

The number of clubs doing this is now ridiculous it needs to be brought to an end, though I suspect that both bidders for our club would like to do something similar

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Tue Nov 24, 2020 10:39 am

So this tweet got me a bit fired up this morning - and as you all know I quite like Andy Holt and the way he goes about things

https://twitter.com/AndyhHolt/status/13 ... 0554682371

What this contains is the public misconception of what the Premier League has and underlines just how poorly Richard MAsters has acted in getting the message across

So let's take a look at what Andy says. what the EFL (and DCMS/Government) are looking for and what the Premier League actually saved from Project restart

So Andy, yes Richard Masters did say without it the Premier League would lose over £1 billion - comprising £760m TV Rebate, £160m lost matchday tickets (not sure if this includes hospitality and concessions) and over £100m (probably substantially more) in sponsorship rebate and commercial Income losses

https://www.ft.com/content/1a7fe759-910 ... a584857df2

The EFL have always had the figure of £250m in mind for a rebate that goes back to the DCMS hearing in May

Project restart did happen so the worst picture scenario didn't happen however the Premier League saw:
- circa £350m in TV rebates (about half of which was paid immediately and half to be spread over this season and next)
- £160m in Matchday ticketing Income losses
- significant commercial Income losses and sponsorship Income rebate (lets guess at north of £80m)
- add in the PPTV/China TV loss of £160m
- remember that the Premier League advanced £125m to the EFL and ensured the EFL have had no reduction on solidarity and EPPP payments.

That adds up to roughly £800m of losses even with Project restart (advance not included), if you combine that with the £250m the EFL are demanding then you have passed the £1bn the Premier League would have lost without restarting - essentially the EFL want the majority of the saving that the Premier League made from Project restart - which is nuts from a business perspective.

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Tue Nov 24, 2020 10:59 am

Missed this earlier in the month from Linklaters - Sporting Links blog - examining if football is seriously considering a return to the financial markets and if so will SPAC's be the vehicle for doing so - personally think SPACS will only be involved on the purchase/reversal of the big clubs in Europe - different in the USA where franchise values for MLS are already greater than bottom half Premier League clubs even though they are yet to make substantial profits

5th November 2020 Mark Warren - Jeffrey Cohen - Pierre-Emmanuel Perais - Tom Thorne
Sports M&A - Sports Finance - Interaction of sports - Sports regulation and governance - Prudential regulatory measures

Return of the SPAC: Are football clubs going (back) to the stock market?

Stock markets this year, most notably in the U.S., have been boosted by the return of special purpose acquisition companies (SPACs) as a popular means to fundraise public M&A and bring private companies onto the public markets. Having seen an uptick in fundraising by SPACs since 2017, previous records have been shattered in 2020 as more than $36 billion had been raised on Wall Street as of mid-September. This comes at a time when football clubs and leagues are looking for investors and financiers to help steer their balance sheets through the Covid-19 pandemic. It is no longer only high-net-worth individuals and private equity funds looking to invest in football.

What is a SPAC?
A SPAC, also sometimes known as a “blank check company”, is a newly incorporated company with no business or material assets at such time that it is listed on the stock market. Investors are relying on the SPAC’s management to seek out an attractive target and negotiate satisfactory acquisition terms that will lead to the SPAC’s shareholders owning an attractive newly-listed public company. The shareholders of a potential target can be persuaded to have their company acquired by a SPAC in order for their company to be listed without the level of regulatory hurdles and marketing burden involved in the traditional route to the stock market for a company: completing an IPO.

Typically in the U.S., when a SPAC is listed on the stock market, each unit acquired by shareholders as part of the IPO comprises an ordinary share (typically priced at $10 per share) and a warrant redeemable to acquire a further share (or fraction of a share) for an agreed price (typically one-third or one-half of a share at $11.50 per share). The net proceeds of the IPO will be held in a trust account and only available to:

- fund future acquisitions of one or more target companies by the SPAC; or
- redeem the shares held by any SPAC shareholder that disapproves of a proposed acquisition by the SPAC, such redemption occurring upon completion of that acquisition; or
- redeem all shares of the SPAC if it fails to complete an acquisition within the completion window set out in its prospectus (typically 18 or 24 months from the date of the IPO).

The SPAC’s prospectus may set out investment criteria that indicate the likely industry sectors and size of its targets and the SPAC will be required to acquire a business (or businesses) worth at least 80% of the net value of the trust account. But while the SPAC’s management will have broad discretion in selecting its target, and there is a catalogue of risks involved in any SPAC investment, the SPAC has strings attached to protect shareholders. The SPAC is normally required, under the terms set out in the prospectus and/or applicable laws and regulations, to obtain sufficient shareholder approval for a proposed acquisition.

Following an acquisition, although it is the SPAC that has acquired the target company, the identity of the SPAC will typically be replaced by that of the target. The SPAC entity will be recognised as the public listed company representing the target. For this reason, the acquisition is also known as a De-SPAC transaction.

The acquisition: remaining listed on the stock market
Any potential acquisition by a SPAC will be governed by:

- the rules of the relevant stock market where that SPAC is listed (and where the target company will be listed post-acquisition);
- the requirements for regulatory approval by the governmental regulator of that stock market;
- the securities laws applicable to that stock market (and any other jurisdiction where the shares may be marketed to investors); and
- the company law and constitutional documents applicable to that SPAC and the target company.

An acquisition by a SPAC listed on the New York Stock Exchange (NYSE) will, therefore, be principally subject to the rules of the NYSE, the regulatory approval of the U.S. Securities and Exchange Commission (SEC) and the securities laws under U.S. federal law and the State of New York (as well as other “blue skies” state laws depending on the states in which the SPAC IPO is conducted). This will involve the filing of a proxy statement (in most cases) and a Form 8-K with the SEC, which will serve as the key listing document in place of the registration statement (such as a Form S-1) that would have been filed with the SEC if the target company was listed by way of a traditional IPO.

Equally a SPAC listed on the Main Market of the London Stock Exchange (LSE) will be principally subject to the rules of the LSE, the regulatory approval of the U.K. Financial Conduct Authority (FCA) and the securities laws under English law (including EU securities laws incorporated into English law). Listing rules governing a reverse takeover may also be applicable for SPACs listed on either the Main Market of the LSE or the Alternative Investment Market (AIM). The application of such listing rules would lead to the suspension of the listing of the SPAC’s shares once the potential acquisition is announced, the cancellation of the listing upon completion of the acquisition and the need to re-apply for the post-acquisition company to be listed (including publishing a prospectus or listing document, as applicable).

These suspension rules are often cited as the reason for a SPAC market not having developed in London as it has in New York. Historically, the difficulties faced in having a SPAC listed on the LSE have seen “Euro SPACs” launched on alternative European stock markets, typically Euronext. Euronext Amsterdam has a reverse listings policy that requires a document to be published with prescribed details regarding the acquisition.

The consequence of these distinctions is that no two SPACs will necessarily follow exactly the same process for launching the SPAC or completing its intended De-SPAC transaction. Any sponsor launching a SPAC and any football club approached as a SPAC target will be manoeuvring through a complex legal process.

Few clubs remain on the stock market
There was a time when many European football clubs, particularly English clubs, were listed on the stock market, with Tottenham Hotspur having been the first in 1983. The number has reduced significantly over the past 20 years. Many current English Premier League (EPL) clubs have been de-listed either due to a private takeover or financial difficulties, including Leicester City (2002), Chelsea (2003), Leeds United (2004), Aston Villa (2006), Manchester City (2007), Newcastle United (2007), Sheffield United (2009), Southampton (2009), Tottenham Hotspur (2012) and Arsenal (2018). This shift has been reflected by the cessation of the STOXX Europe Football index in August this year.

But prominent examples of listed football clubs remain across Europe. Manchester United (ticker: MANU, market: NYSE) is a particularly notable example, having been de-listed from the LSE in 2005 as part of the takeover by the Glazer family before being listed on the NYSE in 2012. Other examples include Juventus (JUVE, Borsa Italiana), Borussia Dortmund (BVB, Frankfurt Stock Exchange), Ajax (AJAX, Euronext Amsterdam), Olympique Lyonnais (OLG, Euronext Paris), Celtic (CCP, AIM) and Benfica (SLBEN, Euronext Lisbon).

Life in the public eye
Overseeing a football club that is a listed company involves additional responsibilities and expectations compared to privately-owned clubs. Whereas ambiguous interactions with the press may have once been a convenient way of maintaining confidentiality, misleading the financial markets is not an option for listed companies. Rules applicable to disclosure of price sensitive information will be triggered when the club decides that the head coach is due to be fired. A disclosure to investors about the club’s transfer budget may rile up the club’s fans to bemoan their club’s lack of aspiration.

In the same vein, financial performance and financial reporting cannot be peripheral topics. It becomes a core obligation for the football club. Shareholders and potential investors will require detailed quarterly or half-yearly financial reporting and access to club executives for a quarterly or half-yearly call, depending where listed. Whereas the club’s annual general meeting was once a quaint event for fans to heckle the club board, it is now a corporate executive event. Importantly the club’s executive personnel must consist of those with the credibility and persona to adequately communicate with investors and the stock market. Points in the league table and trophies in the cabinet will be assessed alongside the club’s share price.

Running a listed company brings another new dimension to club stewardship: dividends. When clubs are under private ownership, the board (handpicked by the owners) has wide discretion to choose an appropriate sum and convenient timing to pay dividends. As a listed company, dividend per share will be a new metric for club executives to accommodate. Whereas a club may still attract investors with a dividend policy that does not entail regular dividends, that will inevitably reduce the pool of potential shareholders. Those demands must be balanced against fan demands for reinvestment in the club.

The opening pitch
A SPAC, RedBall Acquisition Corp. (RedBall), is reportedly seeking to acquire a minority stake in Fenway Sports Group (FSG), the owner of EPL club Liverpool FC. FSG also owns Major League Baseball (MLB) franchise the Boston Red Sox, NASCAR team Roush Fenway Racing and regional sports television network New England Sports Network, among other sports and media businesses. Therefore, if such a transaction were to complete, it would not leave Liverpool FC itself as the listed company. But FSG would be obliged to report on the operations of the reigning EPL champions as one of the many businesses comprising the newly-listed sports conglomerate.

SPACs rely on convincing investors of their board’s expertise to acquire the right target. What has made RedBall especially noteworthy is its co-founders, Gerry Cardinale and Billy Beane. They hold numerous roles in sports ownership and management, including with MLB franchises the New York Yankees and the Oakland Athletics, French Ligue 2 club Toulouse FC, Dutch Eredivisie club AZ Alkmaar and English Championship club Barnsley FC. Beane is renowned for his use of statistical analysis in baseball decision-making, which was depicted in the 2011 movie Moneyball (based on Michael Lewis’ 2003 book). RedBall’s board also includes Richard Scudamore, Chief Executive of the EPL from 1999 to 2019.

RedBall is thought to be the first SPAC focused specifically on investments in the sports sector. Listed on the NYSE, it raised $575 million this August towards any potential acquisition.

Comment
Liverpool FC and RedBall may not be the last example of mooted tie-ups between European football clubs and SPACs. The various factors weighing on any proposed acquisition will include the ability to obtain league approval for new owners and directors, eliminating conflicts of interest with existing investments and any potential need for antitrust clearance. Each European football league will also have different dynamics as to how it responds to new owners.

But there is now plenty of dry powder in the hands of SPAC managers and they are up against the clock to use it. The public markets may now be another potential buyer whenever speculation arises regarding another European football club changing hands. The stock market has the deepest pockets amongst all of the potential suitors.

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Tue Nov 24, 2020 11:06 am

This is a surprising twist on the return of fans from next week - particularly when you consider the Covid protocols - from the Telegraph

EFL clubs may struggle to welcome back fans because 'stadium safety officers are still on furlough'
Rick Parry, the league's chairman, says Government announcement that up to 4,000 fans can return has caught many of its members by surprise

By Tom Morgan, SPORTS NEWS CORRESPONDENT 24 November 2020 • 9:30am

Stadium safety officers are still on furlough at many clubs because English Football League teams had ruled out a return of fans until the New Year.

Rick Parry, the league's chairman, admitted the Government announcement that up to 4,000 fans can return had caught many of its members by surprise.

However, despite potential staffing issues at an unspecified number of clubs, he said the decision was a "very, very welcome start" for the cash-strapped competition.

As disclosed by Telegraph Sport, the league is open to moving any fixtures from Tuesday to Wednesday next week to allow fans back at the earliest opportunity.

But clubs must avoid "rushing into this and tripping over", he said. "Some clubs will still have safety officers on furlough," Parry told Radio 4's Today programme. "It's taken everybody a little bit by surprise. We weren't really expecting anything before Christmas.

"There's a lot of work to do quite quickly and it's really important that we get this right. It's not a case of rushing into this and tripping over. It's a case of being measured, getting it right."

As well as EFL matches, Manchester United's Champions League tie against PSG will be the first top match to welcome back fans next Wednesday if the city escapes new tier three restrictions.

The Government, meanwhile, will come under sustained pressure to loosen restrictions even further as both Twickenham and Wembley still face significant losses ahead of major fixtures in February.

However, Parry says the sporting sector should be celebrating a major breakthrough after the Prime Minister announced that all major outdoor stadiums in tier one areas can welcome a maximum of 4,000 spectators from Dec 2.

"If we get 4,000 at League Two level, that will be very, very welcome," he said. "And it's great news for fans and the clubs. Fans have been frustrated, they're missing their football so it's something to celebrate for fans, not just for the clubs. League Two, it can be a very, very welcome lifeline... all being well is just the very start."

Outdoor capacities will be brought down to 2,000 in tier two, but indoor venues will be allowed up to 1,000 fans in both. In all cases smaller venues will be limited to 50 per cent capacity should the limit exceed half of seats available.

Football and rugby crowds remain effectively banned in tier three areas, however, as the Government eventually introduces a new "drive-in only" rule, which may only benefit some racecourses and motor-racing circuits.

"We need the detail," says Parry of plans to move EFL matches from Tuesday to Wednesday so they can get fans back in at the earliest opportunity. "Clearly we have a number of games taking place on the first of December. In theory, we will be as flexible as we can, if they can be moved to the 2nd, but we don't know which clubs are going to be in which tier yet. We won't know that until Thursday. We will need all the necessary permissions from the safety advisory groups. We will need to know that this is done properly so I think it's one step at a time."

Only home fans will be allowed inside stadiums under the current rules, which prompted Gary Neville whether clubs in tier three regions were being put at an unfair disadvantage.

Arsenal are also awaiting a Government decision on the tier facing London ahead of their Europa League tie against Rapid Vienna at the Emirates the following evening.

The Government had been keen to ease resentment in sport after arts venues such as the London Palladium, Albert Hall and O2 were given permission to sell tickets for up to 5,000 spectators last month. Fans groups and clubs successfully argued outdoor sporting venues were less risky for the virus than indoor arts venues.

"Now we've just got to prove it," Parry said. "And we've got to make sure that the clubs, and the fans, all behave responsibly. The pilots were extraordinarily successful in every respect."

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Wed Nov 25, 2020 1:49 pm

Interesting discussion on Managerial Appointments, Performance & When Things Go Wrong from the Dan and Omar show - featuring @FootballLaw

https://www.youtube.com/watch?v=X6n89EyFDfI

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Wed Nov 25, 2020 1:56 pm

Chester Perry wrote:
Fri Nov 20, 2020 5:42 pm
Episode 2 of this miniseries "For a better Football" from Supporters Direct Europe this episode with FIFPRO's Head of Global Policy, Alexander Bielefeld

Youtube https://www.youtube.com/watch?v=BABOgGd ... e=youtu.be

Spotify https://open.spotify.com/episode/0hb5W7 ... k0AM-Ij85g

Soundcloud https://soundcloud.com/sdeurope/fabf-mi ... -bielefeld
Episode 3 of the miniseries "For a better Football" from Supporters Direct Europe

SD Europe's Luke Cox is joined by Unsere Kurve's Ingo Petz & FC Playfair's Ron Merz, both of whom are apart of the German fan initiative, Zukunuft Profifussball (the future of professional football).

Topics discussed:
- The Zukunft Profifussball proposals
- 50+1 & democratic structures in football clubs
- The Bundesliga Task Force

Youtube https://www.youtube.com/watch?v=cxcpLU3Dp4k

Spotify https://open.spotify.com/episode/6oY0va6gp3twtMj8KT0aih

Soundcloud https://soundcloud.com/sdeurope/fabf-mi ... z-ron-merz

rufus lumley
Posts: 887
Joined: Thu Jan 21, 2016 6:22 pm
Been Liked: 225 times
Has Liked: 7 times
Location: standing like a clock on the shelf

Re: Football's Magic Money Tree

Post by rufus lumley » Thu Nov 26, 2020 4:45 pm

Getting withdrawal symptons no MMT news for over 24 hours.

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Thu Nov 26, 2020 5:42 pm

The Financial Times with a piece looking at why a private (European) League (wonderful phrasing) is dangerous - contains a number of graphs and charts so posting a link - it is free to view and essentially a summary of a good chunk of this thread from the last 3 years

https://www.ft.com/content/c986a6ff-d65 ... 2d1d9715a9

There is also this excellent twitter thread from the articles writer @MuradAhmend which adds more detail and associated material

https://twitter.com/muradahmed/status/1 ... 6050409472

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Thu Nov 26, 2020 5:58 pm

One of the things that hasn't been discussed yet about a return to football normality (probably for the 2021/22 season) is increased prices, we are first likely to see it in pay tv prices especially given that the owner of Sky (Comcast) has announced price increases across the board in the US next year.

https://www.theverge.com/2020/11/25/217 ... price-2021

I was only thinking about this earlier today, clubs have endured huge losses, and have the continuation of rebates across the rest of this broadcast deal cycle, new broadcast deals (about to go out to tender) are likely to see income levels stagnate at best and potentially drop by anything up to 20%. All clubs are trying to drum up additional; commercial revenue, but a number must surely be thinking of increasing matchday revenues/ticket prices given the many years that prices have been unchanged - it will not be popular but given the likely surge in interest and consequential demand for tickets in a post vaccine era it is not unlikely

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Thu Nov 26, 2020 6:03 pm

The vultures are at the door

following the apparent success in getting involved in Italy's Serie A and decreased value in recent sales of Bundesliga rights - Private Equity is now looking to get involved in the ownership overseas Broadcast rights of the Bundesliga - from SportsProMedia

Report: Bundesliga’s overseas media rights attracting private equity interest
Advent International and BC Partners eyeing minority stake in Bundesliga International.

Posted: November 25 2020 By: Sam Carp


- Bain Capital, CVC Capital Partners, General Atlantic and KKR & Co named as other potential bidders
- DFL reportedly to discuss whether to invite proposals at 7th December board meeting
- CVC and Advent saw €1.7bn Serie A offer accepted last week

Advent International and BC Partners are among a handful of private equity firms showing an interest in the Bundesliga’s international media rights, according to Bloomberg.

The news agency reports that the two companies have approached the German Football League (DFL) about potentially acquiring a minority stake in Bundesliga International, which handles overseas media rights sales for Germany’s top two soccer leagues.

Other potential bidders could include Bain Capital, CVC Capital Partners, General Atlantic and KKR & Co, according to Bloomberg, which added that there is no guarantee firm offers will materialise.

The DFL declined to comment when contacted by SportsPro.

The report comes a week after Italian soccer’s Serie A accepted a €1.7 billion (US$2 billion) offer from CVC, Advent and state-backed FSI for a ten per cent stake in a new company managing the competition’s media rights.

The value of the Bundesliga’s overseas media rights currently lags behind that of England’s Premier League and La Liga in Spain.

A report by Sponsors.de in September claimed that the DFL could see the amount it receives from its international broadcast contracts for the 2020/21 season fall by as much as 20 per cent from the €250 million (US$295 million) Bundesliga International brought in during the last campaign.

That came shortly after BeIN Sports, the Bundesliga’s previous broadcast partner in the Middle East and North Africa (MENA), chose not to renew its five-year, €200 million (US$236 million) rights deal with the league over piracy concerns.

Should the DFL choose to go down the private equity route, it would use the new investment to grow its brand globally, according to Bloomberg, which said that league officials will now discuss whether to invite proposals at a board meeting scheduled for 7th December.

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Thu Nov 26, 2020 8:42 pm

This looks like an interesting podcast - the Unofficial Partner Podcast talks to Luis Vincente

The blurb - Luis Vicente began his sports career as a lawyer working for toy car company, where his job was to haggle over the price of IP with well known Formula One teams. Then he became a football agent, with a player roster that included Luis Figo, Ronaldo and Andriy Shevchenko.
Since the mid 2000s however, Vicente main role has been to foster a culture of innovation within some of the most famous sport’s organisations in the world, from Real Madrid and Manchester City to Fifa and now, as Group CEO of Eleven Sport, the broadcast platform which forms part of Aser Ventures, the investment vehicle of Andrea Radrizzani, the owner of Leeds United.

With a CV like that, it’s perhaps inevitable that a conversation with Luis Vicente covers a great deal of ground, from the nature of innovation, the role of private equity and the business of model of football super agent Jorge Mendes.

https://www.unofficialpartner.com/podca ... is-vicente

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Thu Nov 26, 2020 8:45 pm

more podcasts - The Football Today Podcast asks: What impact will Mediapro’s row with Ligue 1 have on the broadcast rights market?

https://www.footballtodaypodcast.com/po ... ing-rights

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Thu Nov 26, 2020 8:52 pm

Chester Perry wrote:
Wed Nov 25, 2020 1:56 pm
Episode 3 of the miniseries "For a better Football" from Supporters Direct Europe

SD Europe's Luke Cox is joined by Unsere Kurve's Ingo Petz & FC Playfair's Ron Merz, both of whom are apart of the German fan initiative, Zukunuft Profifussball (the future of professional football).

Topics discussed:
- The Zukunft Profifussball proposals
- 50+1 & democratic structures in football clubs
- The Bundesliga Task Force

Youtube https://www.youtube.com/watch?v=cxcpLU3Dp4k

Spotify https://open.spotify.com/episode/6oY0va6gp3twtMj8KT0aih

Soundcloud https://soundcloud.com/sdeurope/fabf-mi ... z-ron-merz
Episode 4 of the miniseries "For a better Football" from Supporters Direct Europe

For the fourth episode of the For A Better Football podcast mini-series, SD Europe's Luke Cox is joined by Malmo FF CEO Niclas Carlnen and 1. FSV Mainz 05 Director Jan Lehmann. Both offer an insight into the running of professional member-run football clubs competing in the top divisions in their respective countries.

Youtube https://www.youtube.com/watch?v=zGoD3gYZzkI

Spotify https://open.spotify.com/episode/2Iyyij0yeMOE7DFooVLbIG

Soundcloud https://soundcloud.com/sdeurope/fabf-mi ... v-mainz-05

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Thu Nov 26, 2020 10:23 pm

Chester Perry wrote:
Fri Nov 20, 2020 11:04 pm
almost certainly not the first time this has happened to a football club - Manchester United have been subject to a concerted cyber attack

https://www.bt.com/sport/news/2020/nove ... ber-attack
Even though Manchester played down their cyber attack at the time - The Mail is claiming they are being held to ransom adn have not yet recovered control of their systems

EXCLUSIVE: Manchester United are being held to RANSOM for millions of pounds by cyberhackers who targeted club computer systems and are demanding cash not to release sensitive data
Hackers are demanding payment from Manchester United after a cyber attack
United have brought in a team of technical experts to contain the attack
United now face the option of having to pay up or risk seeing highly sensitive information about the club and its stars leaked into the public domain
It's unclear currently who the cyber criminals are or how much they want
United say potentially 'disastrous' attack will not impact match-day operations
A report revealed that 70 per cent of sports organisations had experienced cyber incidents in the previous year
Four female British athletes have naked pictures and videos stolen and posted online in widespread cyber attack
By CHRIS WHEELER FOR THE DAILY MAIL

PUBLISHED: 21:10, 26 November 2020 | UPDATED: 21:46, 26 November 2020

It said: 'The NCSC is aware of an incident affecting Manchester United Football Club and we are working with the organisation and partners to understand impact.'

The embarrassing lapse of security at one of the world's biggest sports clubs is believed to be far more serious than first feared.

United's network has been infected by ransomware – a computer virus - and they now face the option of having to pay up or risk seeing highly sensitive information about the club and its stars leaked into the public domain.

It's unclear who the criminals are or how much they want, but the NCSC revealed that in the last year an EFL club were hit with a £5m demand and the biggest single loss to a sports organisation from cyber crime was £4m.

United could also face fines of £9m, £18m or two per cent of their total annual worldwide turnover from the independent government body Information Commissioner's Office if the attack is found to have breached their fans' data protection – although the club on Thursday night reassured supporters that is not the case.

United also insist the attack will not impact match-day operations. The next home game is against Paris Saint-Germain in the Champions League on Wednesday night.

A statement on Thursday night read: 'Following the recent cyber attack on the club, our IT team and external experts secured our networks and have conducted forensic investigations.

'This attack was by nature disruptive, but we are not currently aware of any fan data being compromised.

'Critical systems required for matches to take place at Old Trafford remained secure and games have gone ahead as normal.

'The club will not be commenting on speculation regarding who may have been responsible for this attack or the motives behind it.'

The NCSC warned about the increased threat to the £37billion sports industry from cyber criminals in July, including the more remote possibility of being targeted by nation states such as Russia.

It revealed that the unknown EFL club received a £5m ransom demand after its systems were crippled. The club refused to pay up and were unable to operate their CCTV and stadium turnstiles, almost resulting in a match being postponed.

In another sting, the email of a Premier League managing director was hacked by criminals who narrowly failed to sabotage a transfer deal with a European club and divert the £1m fee into their own bank account.

When sensitive information from Manchester City's company emails was leaked in 2018, it led to a £9m fine for breaking Financial Fair Play rules and a two-year Champions League ban that was later overturned.

Warning of the specific threat to sports clubs, the NCSC said: 'The business impact of ransomware attacks can be disastrous.

'Since 2018, ransomware attacks have been growing in impact. The criminals carrying out the attacks are taking more time to analyse victim networks and understand the 'value' of the target organisation.

'Using network analysis and lateral movement within the victim's network, attackers try to ensure they have maximum impact on the victim organisation - potentially denying access to business-critical files and systems.

'Keep safe back-ups of important files. Even if you decide to pay the ransom, there is no guarantee that you will get access to your computer, or your files.'

The report revealed that 70 per cent of sports organisations had experienced cyber incidents in the previous year – double the average for UK businesses.

NCSC director of operations Paul Chichester said: 'Sport is a pillar of many of our lives and we're eagerly anticipating the return to full stadiums and a busy sporting calendar.

'While cyber security might not be an obvious consideration for the sports sector as it thinks about its return, our findings show the impact of cyber criminals cashing in on this industry is very real.

'I would urge sporting bodies to use this time to look at where they can improve their cyber security – doing so now will help protect them and millions of fans from the consequences of cyber crime.'
-----------------------------------------------------------------------------------------------------------------------------------------

SPORT'S CYBER-ATTACK PROBLEM
The UK's sports industry is now under near-constant cyber-attack, according to statistics from the Government's National Cyber Security Centre (NCSC), released this year.

United are the latest victims, with 70 per cent of sporting institutions, organisations and teams having suffered incidents of varying severity in the last 12 months - but they are the most high-profile.

The NCSC reported that one EFL club suffered a 'significant ransomware attack' which resulted in the loss of locally stored data in almost all of the club's computer systems and mobile phones. They say 'several servers were also affected, leaving the club unable to use their corporate email. The stadium CCTV and turnstiles were non-operational, which almost resulted in a fixture cancellation.'

An unnamed Premier League club came close to losing a £1m transfer fee after it was targeted, when a bank prevented the money from being stolen. One sports organisation, also unnamed, lost over £4m.

Last week, four British athletes have had intimate photographs and videos posted online in a cyber attack that has affected hundreds of female sports stars and celebrities.

'While cyber security might not be an obvious consideration for the sports sector as it thinks about its return, our findings show the impact of cyber criminals cashing in on this industry is very real,' said Paul Chichester, director of operations at the NCSC.

'I would urge sporting bodies to use this time to look at where they can improve their cyber security – doing so now will help protect them and millions of fans from the consequences of cyber crime.'

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Thu Nov 26, 2020 11:33 pm

a solid introduction to FIFA's insurance scheme for clubs when ther players are injured on international duty - this article is from linkedin.com

Injured on International Duty: A Beginners Guide to the FIFA Club Protection Programme
Published on November 24, 2020
i
Alex Harvey Associate, Sports Group at Sheridans

In what is arguably the most physically demanding football season in recent memory, it’s been reported that 14 out of 20 Premier League clubs had at least one of their players withdrawn from international duty over the most recent international break due to injury or Covid-19.

Liverpool’s Joe Gomez is just one high-profile example, with the young Centre Back now likely to miss a significant part of the 2020/21 season after picking up a serious knee injury in England training. Jürgen Klopp will certainly be relieved to hear that the next international break isn’t until March...

In these circumstances, it is worth taking a closer look at the FIFA Club Protection Programme; the insurance policy adopted by football's international governing body to cover the risk of players getting injured on international duty - particularly in the context of Covid-19.

What is the FIFA Club Protection Programme?

The FIFA Club Protection Programme is a policy which covers the injury risk of players who are released by their clubs to play international football. FIFA rightly recognises that clubs have to continue paying a player’s salary under their employment contract regardless of whether the player is injured, and it’s therefore only fair that clubs are compensated when a player is injured on international duty.

Scope of Protection

Clubs are only eligible to claim compensation under the FIFA Club Protection Programme where each of the following conditions are satisfied:

(i) a player suffers a temporary total disablement as a result of an “accident”;

(ii) the accident took place during the “operative time”; and

(iii) the injury prevents the player from playing for more than 28 consecutive days.

Which injuries are covered?

So, firstly, the injury must be serious enough to prevent the player from playing for more than 28 days. Minor knocks which keep a player out for a week or two won’t be covered. Nathan Ake, for example, suffered a hamstring injury in the Netherlands' recent 1-1 draw with Spain, but Man City are unlikely to be able to claim compensation because the injury probably isn’t serious enough to keep the player out for 4 weeks.

Secondly, the injury must have occurred during the “operative period”. The operative period is essentially the entire period in which the player is under the control of the respective member association (for example, The FA), including all matches, training, travelling and time spent away.

Lastly, the injury must have been caused by an “accident”. Under the policy, an “accident” is considered to have occurred where a player suffers “a bodily injury due to a sudden external force acting on his body” or “a specific sudden act of exertion at an identifiable time and place from which the football player suffers a bodily injury”.

The policy also specifically states that heart attacks and strokes will be considered "accidents".

Will absence as a result of Covid-19 be covered?

In short, no. Firstly, a player who contracts Covid-19 is unlikely to be out for the minimum 28 days required. Secondly, it is highly unlikely that catching Covid-19 would be considered an “accident” (as defined above). And lastly, “sickness” is expressly excluded from the scope of the FIFA Club Protection Programme - and Covid-19 would almost certainly be considered a “sickness”.

So whilst Liverpool may be able to claim compensation for the long-term injury suffered by Joe Gomez, they certainly won’t be able to claim compensation in respect of Mo Salah (who contracted Covid-19 whilst away in Egypt).

How much can clubs claim?

Clubs are compensated based on the player’s fixed salary, for a maximum of 365 days, calculated on a daily pro-rata basis up to a maximum of EUR 7.5m per injury. Importantly, compensation is not payable for the first 28 days of the injury.

A player’s “fixed salary” is the set amount of money paid in weekly or monthly instalments under the player’s employment contract - it does not include variable amounts such as signing on fees, image rights payments and performance bonuses etc.

No alt text provided for this image
So if a player earns EUR 50,000 per week and is injured for 6 months, the compensation would be calculated as follows:

· EUR 50,000 per week / 7 = a daily rate of EUR 7,142

· Number of days compensated = 152 (180 – 28)

· Total compensation due to club: EUR 1,085,584 (7,142 x 152)

It should also be noted that the Programme has an annual fund limit capped at EUR 80m. So if there are a significant number of large claims in one particular year, the pot could potentially run out.

Conclusion

With Covid-19 causing extreme fixture congestion in this condensed 2020/21 season, Mr Klopp recently warned that clubs will struggle to finish the season with eleven players if the scheduling isn’t fixed. With the European Championships still to come next summer, it’s likely to be a busy year for those administering the FIFA Club Protection Programme.

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Fri Nov 27, 2020 1:00 am

Interesting comments from Javier Tebas (as ever he is bery bullish about what he has done and in promoting his league) on the final day of the WFS Virtual Football Summit on Thursday - When reading this remember that La Liga enforces salary caps and Spanish law allows businesses to substantially cut wages without breach of contract in times such as the pandemic. - I personally think their bigger issue is maintaining value of broadcast deals in the next cycles, particularly overseas as there is likely to be consolidation around a few premium rights globally.

JAVIER TEBAS: "LA LIGA WILL COME OUT STRONGER THAN THE REST FINANCIALLY"

LaLiga President Javier Tebas closed the official Conference Programme of our second WFS LIVE yesterday in an in-depth Q&A session with WFS host David Garrido. Tebas reflected on the journey that LaLiga has been through since Covid-19 forced to pause all major sport competitions in March, and shared insight into the strategy and the logistics that enabled Spain's top tier to resume and finish successfully.

Tebas said that thanks to the long-term strategy established by the league seven years ago, focused on strengthening each and every club, LaLiga will be the most reinforced of all European competitions coming out of the pandemic from a financial perspective. Tebas mentioned that many small and medium-size Spanish clubs are showing profits despite Covid-19.

LaLiga President also shared his plans for the future in terms of allowing fans back into the stadiums. Tebas aims to have fans back beginning in January or February 2021, although he believes that in some areas of the country this would already be possible if it wasn't for the Spanish government's decision to re-open stadiums in the whole country at the same time. A decision that he is looking forward to discuss with the National Sports Council.

"In some regions of Spain such as the Canary Islands, the Balearic Islands or even Madrid, I think we could already have a percentage of fans back in venues. The Spanish Government wants to do this in the whole country at the same time, but this is something we need to discuss because it's going to be imposible. We can't have all stadiums closed just because some regions have more infections than others," he said.

LaLiga would be aiming to have stadiums at around 20 - 30 percent of their capacity by January or February. To see full stadiums, Tebas reckons we'll have to wait at least until next season.

Tebas also addressed some hot topics, like the Spanish Government's recent decision to ban clubs from signing sponsorship deals with betting companies, a decision that doesn't come in the best of times for Spanish clubs. "I think it wasn't the time to do this, even though it was the Government's will, and I also think that this should be regulated but not banned," he said.

President Tebas also spoke about the possibility of Lionel Messi leaving Barcelona next year. Tebas said he wants Messi to remain in LaLiga, since "having the best players and managers helps you grow in your strategies," but he claimed that players are not as important as having a strong brand and a good strategy. "We've closed a number of broadcasting deals since Cristiano Ronaldo left and no party has requested to pay less if Messi leaves," Tebas said.

Finally, asked about the European Super League that former Barcelona President José María Bartomeu committed to before resigning, Tebas dismissed these plans saying that there was "nothing". "We'll see what UEFA proposes. I know they are working on a good plan and let's see how it finishes. During the pandemic we all realised that UEFA and national leagues have a lot of common ground."

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Fri Nov 27, 2020 1:07 am

GameofthePeople.com with an article on what is likely to be a growth area for those wanting to work with clubs or players - Corporate Social Responsibility

Football and a new purpose: More than players, more than clubs
NOVEMBER 23, 2020NEIL FREDRIK JENSEN

MARCUS RASHFORD is one of the faces of 2020, a young footballer who urged the UK government to help children with school meals at a time when low-income families were being severely challenged. Rashford has become just as relevant to 2020 as Greta Thunberg was in 2018 when she led climate change protests.

His elevation to symbol for social change also set a new benchmark for footballers worldwide, introducing purpose to their role as highly-paid sports people. Increasingly, over the past few years, some football clubs and their fans have attempted to attach themselves to causes, initiatives and movements that try to use the power of football to underpin social, and occasionally, political, action.

The World Football Summit’s opening session on November 23 focused on “How to embed purpose in the fabric of football”, and suggested the role of professional footballers is changing. Young players are now realising they are not just on a “career journey” but also a “purpose journey”. They now want to be associated with good causes, either collectively or individually, such as charities, foundations and movements. Some players, such as Arsenal’s Héctor Bellerín, have succeeded in appearing far more interesting and thoughtful than someone who merely kicks a ball around.

Some might say that this is long overdue: the corporate world has, over the past 15 years, pushed young people towards their Corporate Social Responsibility (CSR) activities, as a means to improve the image of the firm and also to position their people as more rounded citizens. Indeed, some companies make it clear that careers are positively enhanced by a candidate’s company-endorsed extra-curricular activities.

The rise of CSR gathered momentum after the 2008 financial crisis, some might say to represent capitalist institutions as caring, sharing bodies of philanthropic people. It was easy to be sceptical when you visited a company’s website to see staff members feeding children in the developing world. And oh yes, what does the firm do? – it makes money in the capital markets.

Even today, the sentimental advertising of a leading bank, with horses running across green fields with a gushing soundtrack, defiantly portrays the organisation as anything other than what it is. Bankers, for example, were seen as overpaid and over-indulged and therefore, a little charity involvement would do their public persona no harm at all. Actually, even prior to this shift, bankers were incredibly generous (and competitive) when it came to donations.

It could be that football is late to the game, but it seems clear that CSR is becoming part of a club’s standard offering, and players – undoubtedly coached by their clubs or entourage – are now eager to be seen as the good guys with a good heart. A whole sub-industry will now spring up, with image or CSR consultants homing in on young footballers who can enhance their reputation in one foul swoop by backing a charity with hard cash and their time. Clubs are very proactive on growing their “brand”, which is not just developed through on-pitch success but also on its community presence, sponsorship appeal and ability to generate money.

Football is in the same category as the financial industry in that huge personal wealth can be accumulated in a relatively short time frame. The demographics are very different, though, but footballers seem to get more criticism for working in a highly-paid industry, perhaps because they are more likely to be working class individuals who might have a limited education and possibly a deprived background. There has always been some resentment about people from poor origins earning big money, as if there is a huge moral obligation attached to it. However, football is an industry fuelled by the continued patronage by spectators, who rarely demonstrate their dissatisfaction even though it is in their gift to do so.

Football clubs have responded to the way society has moved on and younger generations have a different, more inclusive attitude. Corporate success isn’t just built around economic returns, but also societal returns. Consumers are attracted to companies with a good CSR record, therefore football clubs and their employees are invariably judged by the way they interact, and put back, into their locality. This is not just about charities, it is also about inclusiveness and a diverse football portfolio, support for the community and how they treat their fans.

What has effectively happened is that the football world, which is now an identifiable industry group, is now evolving to acquire the same attributes as other corporate sectors. Often seen as an insular business, influenced only by other football people, football is now being shaped by club owners and by people that bring experience from marketing, legal firms, finance, the media and professional services. On top of that, intermediaries proliferate the industry, taking their slice of the cash.

As a representative at Ligue 1 club Marseille said: “Football does not have a good image, we need to work on that.” The process has started, the game will look very different in five years time. Marcus Rashford will not be the last player to make headlines for his actions away from the football pitch and pretty soon, Barcelona will not be the only football institution to claim it is “more than a club”.

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Fri Nov 27, 2020 1:16 am

We often here from Sean Dyche that Academy players need to go out on loan and learn to play the man's game - here in contrast is an article from TrainingGroundGuru.com on why Southampton have now almost completely stopped doing that, a change brought in by recent Director of football operations appointee Matt Crocker formerly of the FA

Matt Crocker: Why Southampton have moved away from loans system

WRITTEN BY SIMON AUSTIN — NOVEMBER 21, 2020

SOUTHAMPTON Director of Football Operations Matt Crocker says the club have ‘moved away’ from the loans system and will rarely send young players to other clubs.

As TGG has outlined before, the loans system has become a major industry in its own right, with many clubs employing specialist loan managers to manage the process.

However, Crocker, who moved to Southampton from the Football Association at the end of last year, says the system has not worked for his club.

“If you look over the last 10 years, our statistics tell us, in the main, that the players come through our Academy, train with the first team, join the first-team squad and then play for the first team,” he told The Athletic.

“Very rarely have we had successful players who have gone on loan and then come back. We have moved away from the loan system.

“On the odd occasion we will do loans, but that won’t be because an agent has said, ‘He’s 18 now and needs to go on loan’. That’s just ridiculous. I sometimes hear this suggestion they should be sent on loan to grow up.

“If we haven’t helped them grow up in the last 10 years at the Academy, then we haven’t done our job properly.

“There is no point in us sending an 18-year-old kid — no disrespect — to a League Two club if they don’t play similarly to us. I’m not sure what we would get out of that unless there is a specific, physical or mental reason for us to do that.

“Maybe a player does need to go and experience a different culture and environment or maybe just needs to spend some time away from his mum and dad to go and live independently. But in the main, we can do that here and keep a closer eye on them.”

Instead, Southampton will look to develop players in their own B team. Crocker was instrumental in the decision to re-brand the Under-23s as a B team, which was announced in September.

They will still play in Premier League 2, against other Category One U23 teams, but this will be more than a name change for Southampton, as the B team will:

- Use the same style of play, training methods and coaching as the first team, based on the SFC Playbook.
- Have training organised so as not to clash with the first team, enabling manager Ralph Hasenhüttl and his coaches to watch and actively participate in training sessions.
- Primarily play at AFC Totton, in order to get “regular experience of a stadium environment”.
- U18s coach Carl Martin is on a 12-month sabbatical with the first team, allowing him to take methods and approaches back into the Academy next year.

Crocker said: “Academies can be seen as a club within a club, and the biggest thing we wanted to do as a starting point was to connect the top of the academy with the first team.

“The one thing I wanted to look at was to create an environment where our young players can see they are one step away from the first team. From watching the U23s the previous season when I was at the FA, the style of play looked very different (to the first team).

“What that means is that you are not necessarily able to prepare the players to have the full toolkit, so when they do step up to train and play with the first team, they understand the style and system and what’s required of them physically, tactically and mentally.

“There was definitely a void between those two styles of play. I guess one of the big wins was to come in and really remove the under-23s from the academy and place it as a B team connected to the first team.”

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Fri Nov 27, 2020 11:21 pm

A couple of snippets of takeover talk from the Mail's Ahead of the Game column - featuring West Ham and Southampton

AHEAD OF THE GAME:
By MATT HUGHES FOR THE DAILY MAIL

PUBLISHED: 22:30, 27 November 2020 | UPDATED: 22:53, 27 November 2020

SULLIVAN'S WEST HAM DISCOUNT
David Sullivan is open to selling part of his stake in West Ham at a discount after failing to find a buyer willing to meet his £700million valuation.

The co-owner has let it be known he would accept around £100m for an initial sale of around 20 per cent to the right partner, with a view to selling all of his controlling interest of 51.5 per cent down the line.

Several American consortiums have expressed interest in West Ham, although they all remain a long way from matching Sullivan’s valuation.

Any deal is complicated by the contract covering West Ham’s move to the London Stadium four years ago, which includes a clause stating the Government are entitled to 20 per cent of any sale figure above £300m if there is an ownership change at the club before 2023.
--------------------------------------------------------------------------------------------------------------------------------------------------------

SALE STALLS AS SAINTS SOAR
The proposed takeover of Southampton has been delayed by their excellent form, with owner Gao Jisheng using the success of Ralph Hasenhuttl’s side in going top of the Premier League last month to raise the asking price.

As Sportsmail revealed in September, the Chinese businessman has entered into a period of exclusive negotiations with American businessman Joseph DaGrosa, who made it clear he was not willing to increase his offer on the basis of a handful of impressive results.

Gao remains eager to sell Saints, having taken out a £70m loan from MSD Capital to help with short-term financing issues last summer, although DaGrosa’s £200m bid is also reliant on borrowing.

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Fri Nov 27, 2020 11:26 pm

It appears that Barcelona's players have finally agreed a huge pay cut to meet La Liga's salary cap, I suspect that it is deferred payment of wages in reality - from the BBC

Barcelona to save 122m euros as players agree to wage cut
Last updated on3 hours ago3 hours ago.

Barcelona's players have agreed to wage cuts that will save the Spanish club 122m euros (£110m).

The 26-time La Liga champions have also agreed with their players to have about €50m (£45m) of variable payments deferred over a three-year period.

Their last accounts showed a 97m euros (£87m) loss while the net debt more than doubled to 488m euros (£438m).

"[This] will be a milestone of great importance to redirect the current economic situation," the club said.

In March, Barcelona's players agreed to take a 70% pay cut during the coronavirus pandemic and make additional contributions to ensure non-sporting staff received full wages.

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Fri Nov 27, 2020 11:45 pm

I never like the idea of a club selling it's ground to a 3rd party and then renting it back, no matter the economic need. Yeovil look like being the latest to do so, though they are taking a less usual route by selling it to the local council (which kind of underlines the importance of a football club to the economy and community wellbeing (the first time that this happened that I am aware of was Leeds and Elland Rd in the 1980's) -

https://www.bbc.co.uk/news/uk-england-somerset-55070683

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Sat Nov 28, 2020 12:09 am

I am far from happy to read things like this, but it is important to be aware of some of the ideas that pushed into discussions at the many events that now surround football - The thing I particularly picked up on was not the tweeks that leagues are playing with, but the notion that the World Cup should be played more often to remain relevant, is it a coincidence that the World Cup is such a significant part of FIFA's revenues and they have been keen on making sizeable income on a more regular basis - this from GameofthePeople.com

More winners, more frequently – football’s evolution
NOVEMBER 27, 2020 NEIL FREDRIK JENSEN

WOULD football, if it were invented today, position itself around nine-month league competitions and knockout tournaments that involve multiple rounds over half the year?

League formats, which began with the Football League in 1888, have largely remained unchanged for decades, although some have introduced phased structures where titles, relegation and European places are decided through play-off rounds.

The recent World Football Summit included a session that discussed this issue. “If sport was being reimagined today, there would be more winners,” said a representative from ESL Gaming. “Why wait a year to find out who wins a competition?”.

While some might agree that football has too much delayed gratification, the prospect of creating more winners in shorter timeframes plays to a generally-held view that younger generations have shorter attention spans.

Not everyone agrees with that stereotyping argument, but increasingly, the old model of very few genuinely successful teams each season could belong to the past. Increasingly, people look at competitions like Cricket’s Indian Premier League as an example of a successful fast-moving product designed for a specific audience.

One competition under scrutiny is the FIFA World Cup, which still runs every four years. “This needs to be more frequent to remain relevant,” said one panelist. Considering the World Cup’s cycle was formulated in the 1930s in a pre-technology, pre-globalisation era, the call to make the gaps between tournaments shorter, maybe two years, is not unreasonable.

With the pace of change and consumer behaviour faster than ever before, to maintain momentum and retain global interest, the World Cup may have to change as it comes under pressure from club football. The international calendar, as it stands, is overcrowded, but new inventions such as the UEFA Nations League have a very artificial feel to them. The governing bodies have certainly embraced the idea of quantity over quality in the past 20 years.

Domestic football leagues have often prided themselves on the “marathon, not a sprint” ethos. Football managers consider success in the league is what really constitutes achievement rather than cup competitions. But in keeping with the “football as experience” culture, fans want to be part of something that is dynamic and fast-moving. A 38-game programme is not necessarily fast-moving, it is often a test of sheer endurance and attrition.

However, two-stage league formats are not always successful, organisationally or financially. But one thing they do is keep more teams interested in the outcome and remove some of the dead rubber fixtures. Countries that have embarked on this type of structure include Belgium, Bulgaria and Poland, but the “big five” leagues have largely persisted with their long-form league programmes.

Are such formats still in the spirit of the game, or merely tipping the hat in the direction of what might be more practical from a business perspective? The United States not only favours “closed leagues” but also attempts to keep as many clubs interested for as long as possible. More interested clubs arguably means commercial stability.

Nobody is advocating a squash ladder arrangement where clubs bounce up and down the divisions on a monthly basis. Constant churn, variety of opposition, periodical success (and failure) and short-lived ups and downs make for a very system that would appeal to some people.

Would the game’s traditional demographic buy it? Doubtful. Would tomorrow’s audience warm to the prospect of intermittent joy and despair on a more regular basis? Possibly.

On the other hand, the Premier League would argue that its 20-team, 38-game offering is what makes it a compelling product, so change is not going to be swift. Closed leagues are another thing that won’t so easily be adopted in Europe and there would be considerable resistance to shift to an American sporting culture. But we live in strange times and as the world lurches from crisis to crisis, who knows what professional will look like in another decade?

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Sat Nov 28, 2020 12:21 am

Chester Perry wrote:
Mon Nov 23, 2020 3:41 pm
Spurs announce their 2019/20 Financial results several months early so they can put pressure on the government to allow fans back into grounds citing a potential irrecoverable loss of £150n if it does not happen

Official statement https://www.tottenhamhotspur.com/news/2 ... june-2020/

five year review https://www.tottenhamhotspur.com/media/ ... -table.pdf

nothing at Companies House yet but should appear here https://find-and-update.company-informa ... ng-history

@kieranMaguire has a look https://twitter.com/KieranMaguire/statu ... 9329811456
Chester Perry wrote:
Mon Nov 23, 2020 11:32 pm
Tottenham have now posted their Annual Report which includes their consolidated 2019/20 financial results on their website

- it can be found here - https://www.tottenhamhotspur.com/media/ ... e-2020.pdf

just look at those match receipts £94.5m for a season with 5 league games played after lockdown so no match revenue - I think that puts them above Manchester United and Arsenal now with that stadium
@SwissRamble has a look at Spurs 2019/20 Financial results in great detail and not just because he is a gooner

https://twitter.com/SwissRamble/status/ ... 7163893766

and if you are short of time here are his summary sheets

https://twitter.com/SwissRamble/status/ ... 6930618368

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Sat Nov 28, 2020 12:36 am

Chester Perry wrote:
Fri Nov 20, 2020 10:58 am
Episode 2 of the Football Uncovered Podcast looks at the madness of Leeds, once again with the contributions of @SportingIntel

https://podcasts.google.com/feed/aHR0cH ... IDBAF&ep=6

It provides a salutary lesson to those who believe we should borrow money to get to the proverbial "next level"

Also another example of why the Ownership tests for the Premier League are so stringent (and why the EFL should be the same)
Episode 3 of the Football Uncovered Podcast looks at the crazy times at Portsmouth - not all new owners are good owners - as usual it features significant input from @SportingIntel

https://podcasts.google.com/feed/aHR0cH ... IBhAF&ep=6

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Sat Nov 28, 2020 1:23 am

Goal.com Spanish site is reporting that debts at Atletico Madrid have risen to Euro 999m according to as yet unpublished accounts

Atleti closed last season with profits, but increased their debt
es
Ruben Uría - Last updated 23 Nov 2020

The club's liability will increase to 999 million, depending on the accounts to which Goal has had access
According to the accounts he has provided to the club to its shareholders and to which Goal has had access, pending the approval of the general meeting of shareholders of December, Atletico Madrid closed its economic balance of the 2019-20 season with a profit of 1.8 million euros. As for the net amount of turnover, Atletico Madrid will close the 2019-20 season with 325.3 million euros,while in the previous financial year its numbers were 357.6. In other words, Atleti's turnover has fallen by just over 32 million euros. The red-white table will present income according to the 2019-20 academic year with the following breakdown:

- Sports revenue: 100 million euros
- Revenue from subscribers and members: 40 million euros
- Advertising revenue: 77.8 million euros
- Revenue from broadcasts: TV 123 million euros
- Proceeds from the provision of services: 2.5 million euros
- Atletico entered 100 million euros for competitions

As for the amount per competition, Atletico Madrid closed last season with 100.5 million euros, about 7 million euros less than in the 2018-19 campaign. The breakdown of the revenue from competitions would correspond to 8.7 million euros per League, nothing compared to the Copa del Rey (fell to a second B in the first round), 6 million euros for friendly and up to 85 million for revenues belonging to UEFA competitions, i.e. champions league revenue. They have also stopped earning the 4.5 million euros that were received last year, on the occasion of the European Super Cup.

The club's liability goes up to 999 million euros
As for the club's liability, it should be noted that, as was easy to have anticipated, the debt has grown. Atletico Madrid expects its non-current liability, as of 30 June 2020, to be about 517 million euros, while its current liabilities would go to 482 "kilos", which would remain a total liability of 999 million euros, when in 2019 that figure was 980 million. That is, the club's debt has increased by 19 million euros.

Gil Marín, Ofer and Cerezo dominate the club's shareholding
About the club's shareholding, there are no significant changes and everything stays the same. Miguel Angel Gil Marín, CEO of the club, maintains control of the shares representative of sad's dominant share capital, with 46.48% of the shares. On the other hand, 'Quantum Pacific Management', owned by tycoon Idan Ofer, holds 32% of the shares, while Enrique Cerezo holds 15.21% of the shares, of which up to 12% belong to the company 'VideoMercury Films'.

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Sat Nov 28, 2020 1:32 am

Chester Perry wrote:
Thu Nov 26, 2020 8:45 pm
more podcasts - The Football Today Podcast asks: What impact will Mediapro’s row with Ligue 1 have on the broadcast rights market?

https://www.footballtodaypodcast.com/po ... ing-rights
If you have listened to this then the latest action from Mediapro is starting to smell of reall desperation - from SportsBusiness.com

Mediapro ‘launches counter legal move’ against Canal Plus in Ligue 1 wrangle
Martin Ross - November 27, 2020

The Mediapro agency and production group has launched counter legal action against Canal Plus, it has emerged, accusing the French pay-television broadcaster of an “abuse of a dominant position” and “abusive and unfair practices”.

At the centre of the dispute is the failure of Mediapro and Canal Plus to agree terms on distribution of the former’s Téléfoot subscription service, which showcases matches from French football’s Ligue 1 and 2.

Mediapro last week issued a subpoena at Paris’ commercial court, seeking damages and interest, an anonymous source “close to the matter” told AFP.

Canal Plus, which declined to comment when contacted by the news agency, initiated its own legal move in September over what it claims was ‘unequal’ treatment meted out by Mediapro in carriage talks. After an initial hearing on September 24, the Nanterre commercial court referred the matter to the city’s high court but no date for a hearing has been communicated.

Distribution deals for Téléfoot, which launched in August on the back of Mediapro’s rights deals running from 2020-21 to 2023-24, have been negotiated with French telcos Orange, Free, Bouygues Telecom and Altice.

However, an accord with Canal Plus has not been negotiated with the pay-television broadcaster claiming it has been subject to “unequal treatment” in negotiations.

In 2018, Mediapro defeated Canal Plus in the tender to acquire the Ligue 1 rights, securing live rights to eight Ligue 1 fixtures per matchweek for €780m ($930m) per season.

However, after Mediapro’s failure to meet its €172m instalment on October 5, the Professional Football League (LFP) served formal notice on the company to settle its outstanding invoice for the domestic broadcast rights to the country’s top two leagues.

Mediapro has said that it wants to rediscuss the terms of the contract given the sizeable effect that the Covid-19 pandemic has had on its Téléfoot service, including low subscriber numbers, a dramatic fall in advertising and the closure of bars and restaurants that would be showing matches.

Jaume Roures, Mediapro’s chief executive, said last month that Téléfoot has “around 600,000 subscribers”. Mediapro has set a long-term target of 3.5 million subscribers in order to become profitable.

A second instalment – also for €172m – is due to be paid to the league on December 5.

A process of mediation between Mediapro and the LFP remains ongoing after Mediapro took its case to the Nanterre commercial court.

It was reported earlier this week by L’Équipe that Canal Plus is ready to pay around €700m per season for all the Ligue 1 rights, made up of a fixed sum of €600m and then bonus payments linked to subscriptions.

Canal Plus currently holds exclusive rights to two top-pick matches per matchweek in a deal worth €330m per season, from 2020-21 to 2023-24. Telco Free also holds a package of near-live rights in a deal worth an annual sum of €50m.

The league has so far borrowed €120m to bridge the gap left by Mediapro’s non-payment and is said to be willing to borrow more should the agency fail to pay its second instalment. This would add to the €224m it borrowed from the French government in May to alleviate the economic effects of Covid-19 on French football clubs.

Mediapro also holds rights to the second-tier Ligue 2 in a contract worth €34m per year.

Canal Plus sublicensed its rights to two Ligue 1 matches per matchday from pay-television broadcaster beIN Sports for the 2020-21 to 2023-24 cycle as part of a wide-ranging distribution and sublicensing agreement.

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Sat Nov 28, 2020 1:38 am

Italy's Serie B copies it's counterparts in Serie A by launching a media company to sell it's rights - it is difficult to make out but there is a suggestion tha tis may be in partnership with DAZN, who have been negotiating some enterprising deals to maintain their content around the world of late - this from SportsBusiness

Serie B approves formation of new broadcast rights company
SportBusiness Staff - November 27, 2020

Lega Serie B, the organising body for the second tier of Italian club football, has unanimously approved the formation of a new media company that will manage the sale and marketing of television rights for the competition.

Specific details of the company, which was approved during a videoconference assembly yesterday (Thursday), were not disclosed but the development would see Serie B follow the lead of the top-tier Serie A, which recently paved the way to form its own company to sell the league’s media rights.

Lega Serie B recently revised guidelines for the marketing of its broadcast rights for the 2021-24 cycle.

Streaming service DAZN is currently Serie B’s main rights-holder for the three seasons from 2018-19 to 2020-21. DAZN holds rights for all 472 Serie B matches per season, with 428 shown on an exclusive basis. The agreement includes multi-platform rights for all play-off matches.

DAZN is currently paying around €22m ($26.3m) per season for the rights, plus a bonus based on subscriber numbers. State broadcaster Rai holds free-to-air rights for live coverage of a match every Friday night over the same three-season window in a deal reported to be worth €3m per season. Rai also holds the free-to-air highlights and radio rights.

Serie B clubs have also voted to expand the league from 20 teams to 21 from the 2021-22 season. Three teams will be promoted to Serie A, with three to be relegated to Serie C instead of the current four. Nineteen clubs voted on the proposal, with only Salernitana voting against the expansion.

The meeting also discussed the potential addition of video assistant referees (VAR) to Serie B. Although Fifa has authorised the introduction and costs have been approved by clubs, it was decided that VAR would only be used for the end-of-season play-offs as the ongoing Covid-19 pandemic cannot ensure the sufficient number of officials for each match.

The approval of Serie B’s new media company comes after Lega Serie A, the organising body of Italy’s top flight, last week accepted an offer from private equity companies including CVC Capital Partners for a 10-per-cent stake in a new entity that will manage its media-rights business.

The proposal is worth €1.7bn ($2bn) and also involves fellow private equity firm Advent International and Italy’s state-backed investor Fondo Strategico Italiano. Following ratification of the contracts, the media-rights company will be able to proceed with the Serie A’s sale of domestic rights for the next cycle.

Chester Perry
Posts: 19167
Joined: Thu Jun 02, 2016 11:06 am
Been Liked: 3114 times
Has Liked: 481 times

Re: Football's Magic Money Tree

Post by Chester Perry » Sat Nov 28, 2020 1:44 am

Chester Perry wrote:
Mon Nov 23, 2020 11:06 pm
The Telegraph are reporting that West Brom are the subject of an American takeover bid - significantly this is the 2nd Chinese owned club in the Premier League that has American suitors (Southampton being the other). Equally as significant would be the level of influence American owners would exert with ownership already and Manchester United, Liverpool, Arsenal, Crystal Palace. Fulham - Aston Villa and Leeds have Americans with a significant shareholding and of course our own club is the subject of interest to an American bid

West Bromwich Albion hold talks with American consortium over £150m takeover
JOHN PERCY NOVEMBER 23, 2020

West Bromwich Albion have held talks with an American consortium over a potential £150 million takeover.

Albion’s controlling shareholder Guochuan Lai is understood to have turned down an offer earlier this year, but negotiations remain open with the party over either a full takeover or a minority stake of up to 15 per cent.

It is understood that the American consortium have an advisor with vast experience of the Premier League, and the group are weighing up another bid if the price drops.

Lai, who is based in China, would consider a sale of around £150 million but that figure is viewed as too high while the club’s Premier League future is in the balance.

West Brom are yet to win since promotion from the Championship and the consortium could wait until later in the season when the club’s position becomes clearer.

A stake of around 15 per cent has also been discussed with Albion’s chief executive Xu Ke, who is based at the club’s training ground and reports to Lai. Sources suggest that other parties have shown interest and held initial talks over the past 12 months.

It is also claimed that Lai’s demands for £150 million are based on the fact he paid around £200 million to buy the club from former chairman Jeremy Peace in September 2016. Albion declined to comment on Monday.

Albion’s current ownership have drawn criticism from some supporters over a perceived lack of investment since completing their takeover. Slaven Bilic, the head coach, was given a transfer budget of around £20 million after achieving promotion at The Hawthorns, with the amount severely impacted by Covid-19.

Meanwhile, West Brom have written to the Football Association for clarity over the controversial refereeing decisions in their 1-0 defeat by Manchester United on Saturday. West Brom were furious after official David Coote overturned his initial decision to award the visiting team a penalty when Bruno Fernandes appeared to foul Conor Gallagher in the area.

Albion also claim Gallagher was fouled in the build-up to United’s penalty, which was given for a handball by defender Darnell Furlong.

Fernandes was ordered to take his penalty a second time after goalkeeper Sam Johnstone was adjudged to have come off his line. United return to league action on Saturday with a home game against Sheffield United.
The Mail are reporting that there are up to 6 bidders for West Brom

West Brom the subject of possible takeover interest from up to SIX parties... but the effects of the coronavirus pandemic means under-fire owner Guochuan Lai may struggle to get his £150m asking price
West Brom are the subject of takeover interest from up to six different parties
Current owner Guochuan Lai wants £150m but will struggle to achieve that
The Chinese businessman will likely take lower offer after coronavirus effects
By TOM COLLOMOSSE FOR MAILONLINE

PUBLISHED: 00:30, 28 November 2020 | UPDATED: 00:31, 28 November 2020

West Brom are the subject of possible takeover interest from up to six parties but owner Guochuan Lai may struggle to achieve his £150million asking price for the club.

Sportsmail understands Albion have already held talks with at least three of the groups, two of which are based in the United States, and discussions are ongoing.

Lai bought the club from Jeremy Peace for about £200m in 2016 but the effects of the coronavirus pandemic means he is highly unlikely to recoup that outlay. To conclude a deal, Lai may have to accept a fee closer to the £100m mark.

The Chinese businessman’s aim is for Albion to be self-sufficient, meaning they had a transfer budget of only about £25m – plus whatever could be recouped from sales – during the last window, following promotion from the Championship.

That has caused tension behind the scenes, with boss Slaven Bilic desperate for improved funds to give his side a better chance of survival. Albion have yet to win this season and have collected only three points from their opening nine matches, ahead of their vital clash with fellow strugglers Sheffield United at The Hawthorns.

Bilic’s position looked vulnerable before the international break but his side performed very well against Tottenham and Manchester United, despite the narrow defeats. Even so, the next two games – both winnable home fixtures against the Blades and Crystal Palace – look pivotal for their prospects.

Bilic said: ‘A win would have a massive psychological effect. It's the same for them and it is worth more than three points in this situation.

‘It gives you everything if you look at the bigger picture: it gives you big momentum, big motivation. Now is the time to do it and that's why we are talking about such a big game for both sides.’

Post Reply