Football's Magic Money Tree

[Chester Perry]

an all of that in Saudi is rather different - though just as engineered to the way things are done in the MLS whose members are trying to initiate a seismic change of their own

With Messi in the U.S. and World Cup to follow, MLS owners debate roster rule changes
https://archive.is/FmCla

[Chester Perry]

It is that time of year again - as we prepare for another Premier LEague season the stories about blocking of illegal streams and piracy are presented not so much as a deterrent but rather as a way of encouraging subscriptions to licensed broadcasters, by highlighting those organisations that are behind the services - This from The Times

there is no doubt that it is getting harder to find a reliable stream, and it feels inevitable that on these shores a free to access stream will become extremely difficult to find

Premier League football’s fight against TV piracy
With broadcasters losing billions of pounds a year to tech-savvy criminal networks, new weapons are needed in the war against an “industry killer”
https://archive.is/GFlMn

[GodIsADeeJay81]

NFL legend Tom Brady becomes co-owner of Birmingham City

https://www.dailymail.co.uk/sport/footb ... -club.html

[Chester Perry]

NFL legend Tom Brady becomes co-owner of Birmingham City

https://www.dailymail.co.uk/sport/footb ... -club.html

That was expected I understand - bit more famous than JJ Watt, but will he do even half the leg work that the Watt family have done in raising the profile of our club - their efforts have been huge

[Chester Perry]

On a related note

A thought provoking column in the Guardian by Jason Stockwood chair of Grimsby Town

Manchester City’s ownership tests the values and connection of a fanbase
The team my father-in-law supports are unrecognisable from the one he followed as a child: is it still the same football club?
https://www.theguardian.com/football/bl ... -a-fanbase
https://archive.is/ktUqh

Martin Cloake with a new blog for The Football Fan follows up that JAson Stockwood Column very will with this piece - as always he is thoughtful and articulate

The enduring nature of a football club
Thoughts on the connection between fans and clubs as a new season gets under way
https://martincloake.substack.com/p/the ... a-football
https://archive.is/6gJBI

[Chester Perry]

Before Elon Musk decide to trash is $43 billion investment in social media i used to be able to keep up with this kind of data thanks to @CIESsportsintel - hopefully he will see sense at some point.

The Guardian with a report about the level of private investment companies in European football, I assume that our club is one such club, though as of today there has been no money actually put into the club - though recent spending may suggest that some monies have been returned to the club

Private capital funds 35% of clubs in Europe’s top leagues, research shows
Chelsea, Milan and Newcastle owned entirely by private capital
Most investors want to ‘crystalise’ returns within a decade
https://twitter.com/i/flow/login?redire ... portsintel
https://archive.is/9WDQj

The source report can be found here - https://files.pitchbook.com/website/fil ... otball.pdf

[Chester Perry]

I have to say, given the history of the owner, that this story does not come as a great surprise if it is true


Nottingham Forest owe MILLIONS in overdue payments to players and agents, with legal action being considered if they don't settle the debts imminently
Nottingham Forest owe millions of pounds to players in overdue payments
They also owe money to agents, and legal action is being considered
The club could face serious ramifications if the debts aren't settled quickly
https://www.dailymail.co.uk/sport/footb ... ently.html

[Vegas Claret]

That was expected I understand - bit more famous than JJ Watt, but will he do even half the leg work that the Watt family have done in raising the profile of our club - their efforts have been huge

given our unprecedented summer spend do you reckon JJ has helped manage to attract the investment he was brought in to find ? (according to him)

[Chester Perry]

given our unprecedented summer spend do you reckon JJ has helped manage to attract the investment he was brought in to find ? (according to him)

We still don't know if any money has been loaned/repaid to the club - certainly there has not been a capital injection - that would involve the issue of shares. Equally we do not know the value of the factoring of TV monies or the new credit/loan agreement that saw charges against specific properties under the clubs ownership.

The arrival of the new director, may the result of a significant investment in ALK/VSL (maybe even the initial step of a proposed takeover - in the vein of what the 49ers investment arm did at Leeds) or it could just be the bringing on bard of a specialist to strengthen the board.

As ever with ALK/VSL little is ever revealed to the supporters and/or shareholders

[Vegas Claret]

We still don't know if any money has been loaned/repaid to the club - certainly there has not been a capital injection - that would involve the issue of shares. Equally we do not know the value of the factoring of TV monies or the new credit/loan agreement that saw charges against specific properties under the clubs ownership.

The arrival of the new director, may the result of a significant investment in ALK/VSL (maybe even the initial step of a proposed takeover - in the vein of what the 49ers investment arm did at Leeds) or it could just be the bringing on bard of a specialist to strengthen the board.

As ever with ALK/VSL little is ever revealed to the supporters and/or shareholders

ok cheers, I know you'll keep us all up to date

[Chester Perry]

The Guardian with a piece about the cost of going to the match, particularly in the higher reaches of the game, and the alternatives

How to be a football fan without breaking the bank
As the new Premier League season nears, here are ways for supporters of all divisions to save money
https://www.theguardian.com/money/2023/ ... save-money
https://archive.is/qFesV

[Chester Perry]

The Soothsayer Claire Enders predicted all these extended deals years ago, (think USA, Nordics, Mena) so for the Premier League clubs to consider such domestically with real values falling over the last 3 cycles and further worries about the current economic climate and subscriber numbers are threatened by alternatives (including illegal streaming) continue to affect revenues

from The Times

Top-flight clubs seek longer, more lucrative TV deals
Plus: Teams want restrictions on social media updates from matches and problems mount for Chelsea
https://archive.is/WushD

[Chester Perry]

A great article from Jonathan Wilson in the Guardian that draws out the enthralling memories of our season in the Championship (though really the last 3 times we have been at that level have been great)

Cherish the Championship, its competitive nature offers football as it should be
League is packed with clubs recalling past glories and desperate to escape it but success shouldn’t just be for the moneyed elite
https://www.theguardian.com/football/bl ... -should-be
https://archive.is/gAgui

[Chester Perry]

Rally Interesting Tifo Football Podcast about football finances - there is an early section on what should be considered in analysing a clubs finances which is really helpful

Inside the finances of football
https://podcasts.apple.com/gb/podcast/i ... 0623624853

[Chester Perry]

Following recent rulings (and a fine) from UEFA in which Chelsea's new owners shopped themselves over the practises of the previous owner - it seems that they did the same to the Premier League and the FA - misdemeanors which are still being investigated and assessed

Premier League investigators probe Chelsea payments to offshore companies
The Premier League has power to dock points or heavily fine Chelsea amid interrogation of millions paid to around six offshore companies
https://12ft.io/proxy?ref=&q=https://ww ... -offshore/

[Chester Perry]

Following recent rulings (and a fine) from UEFA in which Chelsea's new owners shopped themselves over the practises of the previous owner - it seems that they did the same to the Premier League and the FA - misdemeanors which are still being investigated and assessed

Premier League investigators probe Chelsea payments to offshore companies
The Premier League has power to dock points or heavily fine Chelsea amid interrogation of millions paid to around six offshore companies
https://12ft.io/proxy?ref=&q=https://ww ... -offshore/

The Times with their take on the same story

Chelsea investigated over payments to offshore companies
Premier League investigation comes after new owners self-reported the club regarding a number of financial transactions made during Roman Abramovich era
https://archive.is/en9iL

[Chester Perry]

I have been suggesting for a while that there are likely to be complications from the natural interactions various investment groups/Private Equity etc have external to football but then begins to raise eyebrows once a number of them get into football - this piece in the Telegraph highlights the issue but doesn't confront it - choosing to instead point at the fact that the Premier League will determine fair value on a shirt sponsorship deal with a newly formed business that Chelsea owners have close ties with - The elephant in the room being Silver Lake who own 18% of CFG and who are also involved in this new enterprise

Premier League will decide on value of Chelsea's shirt sponsorship
https://12ft.io/proxy?q=https%3A%2F%2Fw ... agement%2F

[Chester Perry]

The Guardian with an opinion piece about how America's relationship with football is developing - there is reference to this threads long running theme of 'the vultures are at the door'

American Revolution: will the power of US money change soccer forever?
https://www.theguardian.com/football/20 ... er-forever
https://archive.is/I9izo

[Chester Perry]

There are those on this board who take issue with my posts about the cost of going to the match at our club - there have been price rises for each of the last 3 seasons, and they show no sign of abating going forward. Now with a huge demand, season ticket sales have been capped, memberships introduced for priority ticketing and dynamic pricing introduced for hospitality seating - If demand continues to surge, I expect the season ticket cap to be reduced, membership being compulsory for the purchase of a match ticket and potentially dynamic pricing in certain areas of the ground for those match tickets.

Many have argued are prices are relatively cheap in comparison with our fellow Premier League (even Championship clubs), which is true but no real defence given the local economy. The desire is to attract more high spending occasional match goers - 'legacy' fans are great for providing the atmosphere and ensuring the clubs survival in challenging periods but they do not bring in the income that is desired.

The problem is that those same 'legacy fans' are part of the actual product on sale to the tourist match goer and the global TV audience - the problem is they are not treated as such and certainly not respected as such by clubs and the games authorities and media partners - Here Martin Cloake draws attention to the issue in the last blog from 'The Football Fan

If a crowd makes no noise in the stadium, is it really there?
The case for matchgoing regulars, and why a little more kindness may not go amiss. *This post also contains house music.
https://martincloake.substack.com/p/if- ... ise-in-the
https://archive.is/EBefe

[Chester Perry]

It has been a while since we have seen on of these - a new blog piece from the chaps at Vysyble looking at the impacts of the recent Saudi splurge and the continued apathy over the finances within the Premier League

Does it really Matter Anymore?
https://vysyble.com/blog-028
https://archive.is/c4e0s

[Tricky Trevor]

I was astonished how many partners the club now has. I don’t know what finance that generates but might go some way to paying for all the incomings.
I’ve divided them into major and minor, possibly not statistically true.
MAJOR

IMG_3664.jpeg (216.44 KiB) Viewed 6300 times

IMG_3665.jpeg (79.41 KiB) Viewed 6300 times

[Tricky Trevor]

MINOR

IMG_3666.jpeg (271.05 KiB) Viewed 6299 times

IMG_3667.jpeg (277.27 KiB) Viewed 6299 times

IMG_3668.jpeg (85.13 KiB) Viewed 6299 times

[GodIsADeeJay81]

How does that compare to before the takeover?

[Tricky Trevor]

How does that compare to before the takeover?

Sorry no idea. When I used to see the list in the programmes it wasn’t that all encompassing.

[Chester Perry]

How does that compare to before the takeover?

At least double - there has been a significant surge in the number this season

It is important that a fair number are service partners - the partnership traditionally came with the benefit of service charge discount rather than actual payments - I suspect that practice is continuing for a fair proportion of these partners. However. it is also apparent that there are a growing number of new paid for partnerships

The minor partners will be advertisers

[Chester Perry]

Here is another - Burnley FC's Official Foreign Exchange Partner Partner - note where the release is made (Utah is becoming a useful source of commercial partnerships)

Clarets Join Forces With GPS Capital Markets
Club welcomes new Official FX (Foreign Exchange) Partner
https://www.globenewswire.com/news-rele ... rkets.html

[Chester Perry]

A fascinating long read that is hugely detailed in the Guardian about the sporting investments made by Saudi Arabia - Get used to the name of Yasir al-Rumayyan - he is the Saudi equivalent of Qatar's Nasser al-Khelaifi

Saudi Pro League
‘It’s not a fad’: the truth behind Saudi Arabia’s dizzying investment in sport
From the star-studded Pro League to golf, F1 and cricket, the kingdom’s strategy is as cynically ambitious as it is controversial
https://www.theguardian.com/football/20 ... t-in-sport
https://archive.is/XuQZ0

[Chester Perry]

Barcelona are pulling at those financial levers again

yesterday they sold 29.5% of Bridgeburg (part of the Barca Vision platform) to LIBERO Football Finance AG and NIPA Capital B.V. for EUR 120m - Barça Vision is a platform meant to consolidate the club’s digital assets, such as NFTs.

FC Barcelona activate new financial lever worth €120M
https://archive.is/iHZGz

later this year they have a deal to launch a SPAC on the New York Stock Exchange to launch a media business that intends to $1 billion though you wonder what media rights they have left

Barcelona strikes $1 bln merger deal to list soccer club's media business
https://archive.is/ccPuf

FC Barcelona’s Content Creation Platform, Barça Media, Enters into Business Combination Agreement with Mountain & Co. I Acquisition Corp.

What I find interesting about all this is that none of the English Super Clubs (possibly excepting Manchester City) have sought to exercise these capabilities for fund raising yet - for now it seem these moves are the kind of things that are played out by Barca, Real and Juventus - Perhaps the Premier League is much stricter about it.

[Chester Perry]

The Athletic with more on Barcelona's latest financial shenanigans, in a bid to get around La Liga's whack-a-mole on the financial rules

Barca’s €120m lifeline before La Liga start: Levers are back (but not as we know them)
https://archive.is/BtZMv

[Chester Perry]

It appears that Matt Hughes of the Daily Mail has been reading the new seasons Premier League Handbook

https://resources.premierleague.com/pre ... .08.23.pdf

and found this little gem

EXCLUSIVE: Premier League introduce new rule following Everton's FFP charges last season that will see clubs with a recent history of overspending submit their accounts THREE MONTHS earlier than the rest of the top flight
Over the last three years, the Toffees' total losses have amounted to £372.6m
New rule will see clubs forecasting losses file by December 31 instead of March
https://archive.is/KHOhb

[GodIsADeeJay81]

So pretty much the whole of the top flight will be submitting them early

[Chester Perry]

A fascinating discussion from Unofficial Partner around that new Manchester United kit deal with adidas - so much going on here

UP334 Adidas, Man Utd and that £900million bet
https://www.unofficialpartner.com/podca ... illion-bet

The blurb

Manchester United and Adidas are two of the sports worlds most iconic and valuable brands.

So the new £900million, 10 year deal, signed recently, has a significance that goes beyond the two organisations and offers a glimpse as to how the sports economy might evolve over the next decade.

What are the ripple effects of this deal, on other football clubs and other sports?

Did Man Utd benefit from Adidas' recent acrimonious split with controversial hiphop star Kanye West and the costly ending of the Yeezy brand collaboration?

How does this deal impact on the overall value of Man Utd?

And what's the significance of the timing of the announcement, as the Glazer family consider rival offers to buy Manchester United for a fee rumoured to be in the region of £5billion.

To dissect what all this means are guests Leo Thompson and Michael Broughton.

- Leo Thompson is Co-President of Rights Management at Two Circles and formerly of Manchester United.
- Michael Broughton is Co-Founder of Sports Investment Partners and part of the consortium which bid to buy Chelsea Football Club last year.

-----------------------------------------------------------------------------------------------------------------

There was a thread on this when it was first announced - http://www.uptheclarets.com/messageboar ... m#p2145268

[Chester Perry]

I have been posting about American group Relevant and their ambitions in football for years now, though it has been a while since I last posted about them - it seems they feel a need to remind everyone about their existence hence this piece in the Financial Times - though the message doesn't really seem to have changed

Relevent Sports, the billionaire’s media group selling football to America
Company backed by Stephen Ross wants to take advantage of international gold rush in the sport
https://archive.is/1REXi

[Chester Perry]

MSP raise $165m for investment in Everton - 13 partners in MSP EFC Investment L.P. a group that MSP will lead

https://twitter.com/theesk/status/1672129905700532227

the SEC document that confirms this is rather complex

https://www.sec.gov/Archives/edgar/data ... ry_doc.xml

I heard this deal was on the verge of collapse a couple of weeks back

Everton reel from new cash crisis as MSP Capital deal collapses
The timing of the deal collapsing piles more pressure on a club ownership that has faced years of criticism from fans
https://12ft.io/proxy?q=https%3A%2F%2Fw ... llapses%2F

[Chester Perry]

Having previously looked at Season Ticket prices in the Premier League, The Athletic now looks at match day pricing - on the face of it our club does well, it should be noted that the direction of travel has seen quite significant increases and this article outlines scope for more with the shadow of dynamic pricing - already in place for Hospitality seating at Burnley - looming large. Also expect a lot more pressure applied by the club (indeed all Premier League Clubs) on the Ticket exchange scheme - it there are around 100 empty seats per game at Turf Moor that is viewed as lost revenue to the club - though probably more in terms of retail and concessions than in ticket revenue.

How much does a Premier League ticket cost? Highs of £240, lows of £9
https://archive.is/3w22H

[Chester Perry]

I heard this deal was on the verge of collapse a couple of weeks back

Everton reel from new cash crisis as MSP Capital deal collapses
The timing of the deal collapsing piles more pressure on a club ownership that has faced years of criticism from fans
https://12ft.io/proxy?q=https%3A%2F%2Fw ... llapses%2F

Matt Slater in The Athletic provides a bit more clarity on the MSP/Everton situation - there really is something strange going on there

Everton ownership: U.S. firm MSP Capital Sports withdraws from investment talks
https://archive.is/KEzSM

[Chester Perry]

Matt Slater in The Athletic provides a bit more clarity on the MSP/Everton situation - there really is something strange going on there

Everton ownership: U.S. firm MSP Capital Sports withdraws from investment talks
https://archive.is/KEzSM

Matt Slater talks about the above to the Results Business Podcast (an Everton Football Business Podcast) run by Rodger Armstrong and our friend Paul 'The Esk' who is actually contributing from a hospital bed after suffering multiple strokes in the last couple of weeks

Episode 4 - the latest on investment, the stadium and MSP
https://theresultsbusiness.substack.com ... il#details

this was produced before todays news about 777 partners and the reviving of their prospective takeover of Everton, though it is mentioned the club was being touted around again.

[Chester Perry]

More on the latest situation at Everton

from The Telegraph

Everton chaos: Farhad Moshiri in new investor talks amid cash crisis after US deal collapses
Everton owner looks to alternative investors after attempts to sell a 25 per cent stake in club fell through at 11th hour
https://12ft.io/proxy?q=https%3A%2F%2Fw ... ollapse%2F

[Chester Perry]

The Athletic with more updates on the Everton situation

Everton’s investment and what the collapse of the MSP Sports Capital deal means
https://archive.is/0fNdP

[Chester Perry]

While Everton deal with their very public troubles - spending by the rest of the league is once again at record levels

Transfer window: Premier League clubs set spending record with week to go to deadline day
https://www.bbc.co.uk/sport/football/66613444

of course there is a week keft in the window and the suggestion is that there are still lots of deals - some very big it seems

[Chester Perry]

I have been waiting for this series to finish before I posted about it - Unofficial Partner take a new direction of investigatory journalism

here is a 6 part podcast

The Pirates vs The Premier League
https://podcasts.apple.com/gb/podcast/t ... 1702327482

Earlier this week MAtt Slater did an article in The Athletic that covered parts of it

‘Pirated live sport endemic in UK’ as study suggests over eight million watching illegal streams
https://archive.is/5FP8M

[Chester Perry]

The Telegraph follow The Athletics lead and go deep into the Everton situation (Crisis?)

‘If Everton are relegated, the losses will be colossal’
Special report: With fans mutinous, former employees fear Everton are drifting towards an abyss under Farhad Moshiri and Bill Kenwright
https://12ft.io/proxy?q=https%3A%2F%2Fw ... moshiri%2F

[Chester Perry]

With Everton's dire financial situation compounded by the cost of building a new stadium here The Athletic carries a cautionary tale for those looking to the prestige of building stadiums for football clubs - the number of construction contractors that go bust either during or following the build is frightening

From Liverpool to Fulham – how Buckingham Group collapse affects football
https://archive.is/7TruU

[Chester Perry]

I have been waiting for this series to finish before I posted about it - Unofficial Partner take a new direction of investigatory journalism

here is a 6 part podcast

The Pirates vs The Premier League
https://podcasts.apple.com/gb/podcast/t ... 1702327482

Earlier this week MAtt Slater did an article in The Athletic that covered parts of it

‘Pirated live sport endemic in UK’ as study suggests over eight million watching illegal streams
https://archive.is/5FP8M

this piece in the Sports Business section of The Athletic yesterday provides a nice companion piece to the above as it gives details of the current Premier League deals - the information is not complete (or wholly accurate) and there is still the missing element that the Premier League has so far refused to divulge what the central distribution payments for last season (and therefore this cycle are - we do know they have increased (Morgan Edwards informed us in 'MTB' that Burnley's PArachute payment was over £46m (a rise of around £3m) on the previous cycle)

How Premier League TV rights work and how they impact your costs and subscriptions
https://archive.is/wjCmi#selection-42559.0-42559.82

[Chester Perry]

This is all rather strange given that the UK is no longer in the EU and the fact thatit is being reported by the Mail (who are not noted as being Remainer's) * I had to check I wasn't in a time machine and back to April 1st

Manchester City and Newcastle fear new probes by the European Commission after official complaints over owner 'state subsidies' - IN THE MONEY
Man City and Newcastle could face an investigation by European Commission
The investigation is over alleged breaches of new rules over 'state subsidies'
https://12ft.io/proxy?q=https%3A%2F%2Fw ... MONEY.html

[Chester Perry]

We are at the beginning of season 2 of the current Premier League TV cycle - so naturally the Premier League are gearing up for the sale of rights for the next cycle - from The Financial Times. Of course the 3 bigges deals are already sorted for this cycle though the problems at Viaplay raises a small possibility of change in Northern Europe

Premier League prepares to kick off UK television rights auction
Sale will be important test of broadcast spending appetite as sector prioritises cost-cutting
https://archive.is/BoXAV

[Chester Perry]

The Financial Times making a point I have previously made re the development of Saudi Arabian spending - There are reasons that FIFA has remained silent on recent events, this is just one of them

Saudi Arabia’s football spending spree is a gift to Fifa
Move to build new superclubs in the Gulf gives revamped tournament much-needed spice
https://archive.is/E6cxi

[ecc]

It appears that Matt Hughes of the Daily Mail has been reading the new seasons Premier League Handbook

https://resources.premierleague.com/pre ... .08.23.pdf

and found this little gem

EXCLUSIVE: Premier League introduce new rule following Everton's FFP charges last season that will see clubs with a recent history of overspending submit their accounts THREE MONTHS earlier than the rest of the top flight
Over the last three years, the Toffees' total losses have amounted to £372.6m
New rule will see clubs forecasting losses file by December 31 instead of March
https://archive.is/KHOhb

This is a good thing, isn't it? If it is actually regulated.

[Foshiznik]

The Premier League need to just expand their Premier League Productions company and sell their own in-house product. I don't know the numbers but i would imagine a DTC model would be more financially valuable than selling to broadcasters, particularly with the current issues with piracy, reduction in paid subscriptions to broadcasters, collapses, etc.

[Chester Perry]

The Premier League need to just expand their Premier League Productions company and sell their own in-house product. I don't know the numbers but i would imagine a DTC model would be more financially valuable than selling to broadcasters, particularly with the current issues with piracy, reduction in paid subscriptions to broadcasters, collapses, etc.

Domestically that is impossible - because of regulation re multiple broadcasters

Internationally it is being considered in some regions but there is the transition funding gap that is clearly talked about in this series - the issue being one experienced by the music industry as first napster killed CD sales before Spotify and Apple etc stated to charge for the services.

I have been waiting for this series to finish before I posted about it - Unofficial Partner take a new direction of investigatory journalism

here is a 6 part podcast

The Pirates vs The Premier League
https://podcasts.apple.com/gb/podcast/t ... 1702327482

Earlier this week Matt Slater did an article in The Athletic that covered parts of it

‘Pirated live sport endemic in UK’ as study suggests over eight million watching illegal streams
https://archive.is/5FP8M

If regulation allowed then you could just sell a global license to the likes of Apple and I think they would cheerfully pay more than £4 billion a season for the privilege - which would be a huge new record