Financial Situation of the A-League/FFA
Normo's coming home
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Can anyone give me any information about the following questions:
1. Are the A-League finances ring fenced from the other operations of the FFA? (I don't think this is the case but would appreciate any information...)
If not...
2. Is all of the A-League related income (overall league sponsorship, income from merch, TV rights) distributed to the clubs (less costs) or does that just go into a general FFA pool and the A-League franchises get a set yearly amount?
or
3. Is A-League income (which includes large cash injections from the club owners) effectively subsidising Australia's football programmes, women's league and a world cup bid? If this is the case how long will the club owners stand for it?
I think there has to be a genuine concern when the FFA negotiates the salary cap with the PFA but the responsibility for paying that money settles on the clubs themselves, but the clubs are limited in the revenue they can raise (including finals revenue obviously). With the new marquee structure (overseas, socceroos, junior) the salary cap is becoming worthless, there are significant issues with finance at almost every club, there has to be concerns with whether the "model" is working and sustainable (and to answer that question I'd like to know what the model is hence my questions above).
Any info appreciated...
Normo's coming home
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Some very provocative thoughts worth investigation and realistic comment.
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My understanding for 2) is that it is all in a pool and clubs get set amount, and for 3) yes.
I think all parties are waiting to see what happens when the TV deal is renegotiated in a year or two, as it is expected to be a MUCH better deal than the current one as Fox got it on the cheap by taking a chance on a completely unproven product.
I think all parties are waiting to see what happens when the TV deal is renegotiated in a year or two, as it is expected to be a MUCH better deal than the current one as Fox got it on the cheap by taking a chance on a completely unproven product.
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Aitkenmike, if you are correct then that is quite outrageous considering that every club is losing money. That doesn't appear to me to be a sustainable situation, you're right about the next deal being important but my understanding is that there have been two negotiated deals and the second one was only about 18 mths ago and was fairly big step up on the first on the cheap deal.
Normo's coming home
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I wouldn't want to be quoted on it, and have nothing to back it up - just remember hearing something about that being the structure, so could be horribly wrong.
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