Tag Archives: gap

Increasingly Widening Financial Gap below Top Clubs

A UEFA research indicates that the financial gap between top clubs and the rest clubs are widening increasingly under the effects of sponsorship. The supervising organization of the ally publishes the massive “European Club Footballing Landscape”, including various financial analysis and impacts of football teams.

The research concentrate on financial conditions on top-division football clubs, revealing a year-on-year income growth of 9.5 percent for the 2016 fiscal year, 6 percent higher than previous two years. In spite of soaring wages of footballers from 2010, the operation profits of the club reached the highest points in the records of its history. Viewing from their scale, revenue of football clubs come from various directions. Sponsorship contracts and commercial activities’ revenue account for 55 percent of total revenues of European top 12 football clubs, like England’s big six, Barcelona and Real Madrid, Bayern and Dortmund, PSG, Juventus; the proportion of this kind of revenue is up to two times of those of top-division clubs from 2010 to 2016. Components of their revenue are as follows: 19 percent from domestic TV Contracts, 13 percent from UEFA prize, 10 percent from spectators and solidarity from leagues.

At the same time, first-class football teams of the top 30 largest teams in six fierce television markets like England and Italy have grasped colossal profits from domestic compacts and sponsors. In addition, three percent of profit comes from prize and solidarity payments.

On the contrary, football clubs not included into football clubs mentioned above depend on revenues for prize and solidarity payments, which account for more than 50 percent of their total income. Only 20 percent from TV series and 30 percent from sponsorship deals; more than 40 percent revenues of first-class European football clubs are derived from domestic televisions and commercial activities.

The research revealed that the financial gap among these two kinds of football clubs are widening day by day. Only the biggest football clubs involved in full range of international media profiles of top leagues.

In six years from 2010 to 2016, football clubs of Premier League experienced the growth at the highest speed. In addition, there are also other findings besides above analysis. The top six market countries get 11 times revenue more the combined 48 countries.

According to news from 20 football clubs of Premier League, these football clubs benefits more than other clubs from the other small leagues.

Now let’s look at a report about Liverpool defender Jon Flanagan, a defender of Liverpool. For assaulting his girl friend, he was sentenced to unpaid work and 12-month community order.

In early days of this month, the 25-year-old defender was pleaded guilty for assaulting Rachael Wall in an overt action. On Friday, Dec. 22, he kicked Rachael Wall, a partner of him in football in Duke Street.

After the hearing in January, he was given unconditional bail. Before the pre-sentence report was written, there was adjourned. For his bad behavior, he was brought to the court and he have to receive the negative sequences of his poor action.