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Liga I, negative exemple from UEFA

Articol de - Publicat miercuri, 04 august 2010 00:00

A detailed study of UEFA based on financial and competitional criteria, places the management Sandu - Dragomir at the chapter of negative examples

The only chapter where we rival with Europe is the ownership stadium held almost everywhere by the officials or business entities rather than the clubs. Otherwise, disaster at licenses, at the deployment of the national league, at the spectators, at the comes and at the chatrges

UEFA recently presented a financial study extended to the whole continent, 733 first division teams, in which Romania apears predominantly in class of negative examples. Marker is the 2008-2009 season, that to date in terms of statistical data, because the dossiers for the year 2009-2010 only now are centralized at the European forum.

Actually, it is a 84-page analysis, which outlines the state of European football before the implementation, in 2015, of the concept of "Fair Play Financial", project who required to the clubs to reduce their debts and not to spend larger amounts than revenue. The sanction is the non-inclusion in the European Cups!

LICENSES: Repeater to finance

There are two types of licensing: national and UEFA. Last aimed clubs participating in European Cups, but the criteria are relatively similar to those required internally for each club in hand. However, are more stringents. And inflexibles.

What sectors aimed license
- financial audit
- budget
- youth centers: at least 4 teams
- quality of stadiums and infrastructure
- transfers / taxes / employees
- medical services
- coach qualification
- qualification of general manager / physiotherapist / doctor
- legal service

49 clubs from 25 countries have not received UEFA license for European Cups in 2004-2009, CSKA Sofia's case, Beitar Jerusalem, PAOK Thessaloniki and Shelbourne

Last summer, Romania has fallen in-tangible at UEFA analysisfor six teams that where presented in European Cups: CFR Cluj, Dinamo, Timisoara, Rapid, Steaua, Urziceni! A disciplinary report prepared by Inspector Kemal Turkish Kapulluoglu (pictured) found that FRF severely ignored the continental forum requirements for implementation of the unified system of licensing by advising the dossiers contrary to the rules files.

The recommendation was for a fine of 200,000 euros, but the federation has finally escaped with only 35,000 euros. With the amendment that, if in case of recidivism, the amount will double and will consider the exclusion of European club competitions at fault.

In which chapters fell Romanians? Incomplete financial statements. Incomplete information about balance sheet, the account of profit and the account of loss. Outstanding financial commitments of transfer activity to employees, to social and fiscale security. Accounting standards inapplicable. Unqualified auditor. Financial projections without coverage. In translation, almost all the spectrum regarding finances!

250,000 euros recieve FRF from UEFA to implement the national licensing system imposed by continental forum

DIMENSIONS League. Promotion / Relegation. Unique in Europe

Without the leagues on the top with 20 teams, only four tournaments in Europe still have in the current season a structure with 18 bands in the first league, as in Romania. It's about the competitions of Germany, Turkey and Netherlands. The figures show that financialy and commercialy, we can not compete with any of these competitions.

Germany
177 million euros profit on Bundesliga 2008/2009: highest on the continent, according to an analysis of Delloitte

Turkey
87 million euros is the total revenue realized from Fenerbahce (2008/2009): 30th place in the top continental club (first off the "Big Five" - Germany, Britain, Italy, France, Spain)

Netherlands
422 million euros recorded Dutch first division (Eredevisie) as total income in 2008/2009 (just behind "Big Five" - Germany, Britain, Italy, France, Spain)


"The number of inhabitants of the country is another factor in determining the size of the first leagues. IT's a factor that usually indicates how many teams can support the championship," explained the study of UEFA. And here, Romania stands out of the patterns of performance.

Country Team in the first league Number of inhabitants

France 20 65.5 million
Italy 20 60 milion
England 20 52 milion
Spain 20 46 milion
Germany 18 82 milion
Turkey 18 72.5 million
Romania 18 21.5 million
Netherlands 18 16.7 million
Russia 16 142 million
Ukraine 16 38 milion

Poland 16 38 milion
Greece 16 11.5 million

Even if the historic structure of League One shows that the current formula, with 18 teams, dominate postwar editions, the figures comparable with other countries do not put Romania in a nice position. The size of First Division, in conjunction with the model with four teams to relegation, is unique in Europe now! That's because there is no other country on the continent that offer the same system! The formula with15/16 teams is predominant and 2 / 3 teams to promotion / relegation.


Historic structure of the League One
Number of teams Editions
12 8
13 2
14 10
16 14
18 30


Ownership of the stadium. Follow the European tradition

It's one of the few chapters in which League One is part of the trend. In most countries on the continent, first echelon teams are not owners of the stadiums that evolves. "In general, officials allow to tenants to enjoy a large proportion of commercial revenue from the operation of arenas, of the amounts of the sale of tickets, of the advertising money," says the study.

In our country, just an elite club owns its own arena: Astra Ploiesti, boss - businessman Ion Nicolae. It's a similar situation with France, Poland, Ukraine and Serbia. In Germany or Italy, there is no club to have ownership of the stadium.

83% of European first division clubs have leased the stadium to the municipality, from other authorities of the state or the commercial entity


SPECTATORS. Far from elite

From 53 European countries, Romania ranks 20 in the top of spectators present at matchs in the first division with a total estimated at 1,849,464. It's somewhere near the middle of the hierarchy. We are below Belgium, Norway, Austria and Poland and beyond Israel, Czech Republic, Croatia or Bulgaria.


"The number of people is dependent on stadium capacity, the traditional days of game offered by the club and the attractiveness of matchs"
UEFA study


6044's average audience in League One for 2008/2009: Europe average is 9,000 spectators

13,956 is the largest average audience of a club registered in Romania (2008/2009)


Top 5

Championship Average audience Total estimated

Germany 42 565 13,024,890
England 35.630 13,539,400

Spain 28,276 10,744,880
Italy 25 045 9,517,100
France 21,049 7,998,620

REVENUE. MICRO clubs in a BIG league

In fonction of the average revenue generated by the leagues, UEFA divided them into five categories: TOP (over 50 million euro), LARGE (5-50 million euro), MEDIUM(1.25 - 5 million EURO), SMALL (350,000 -1.25 million euro) and MICRO (under 350,000 euro). For the analyzed season, 2008/2009, Romania is placed in category two, with one level up than in previous championships.

The explanation appears in the study: "Romania clubs have performed in UEFA competitions, so that it was expected to increase financially. It's the first edition of the European Cup when we have two teams in the Champions League (CFR Cluj, Steaua), plus five participating in the UEFA (Rapid, Dinamo, FC, Timisoara and Vaslui, the last coming from Intertoto).

Moreover, the study refers to the financial strength of the clubs, on the same criteria as above. Here, among the BIG leagues judged, Romania and Ukraine are the only who are MICRO teams, those with budgets agreed under 350,000 euros.


14 leagues in Europe are still in the same category as Romania: among them Netherlands, Russia and Turkey

Sources of revenue in the category LARGE leagues

Area Percentage
TV rights 11.3%
Sponsors / Advertising 32.5%
Tickets 27.6%
Commercial / bonuses 51.6%


11.5 billion euro were the revenues in 2008 from 733 clubs of the first league in Europe, the amount calculed without the transactions of transfers


69% of revenue only to "Top Five"!
The championships included on the "Top Five" (England, Germany, Italy, Spain, France) totaling 98 teams, which together generated revenues 7.9 billion euro from TV rights, sponsorship / advertising, tickets, comercial. It's about 69% of the total in Europe! They share only about 3.6 billion euros from television rights!


Minimum income to transfers
The transfers constitute a separate sector in the UEFA analysis. And here Romania recorded the minimum numbers at the chapter of profit recorded of transactions players: only 6% of the total profits of the league. It's seems that we sell or least, or cheap. Or both! We fight against Scotland and Belarus, still 6%. In contrast, large exporters of players, Croatia (53%), Bulgaria (40%) and Czech Republic (29%) have primacy in this indicator. At the opposite, "vacuum" of stars, with indices below zero: England/Spain - 10%, Italy -5% and Germany -2%.


45 million euros is the carrying amount of all players in League One, according to UEFA study


WAGES AND TAXES. Higher payments than income!

At the clubs in Romania, 73% of revenues (excluding the amounts of transfers) are going to pays: players, technical and administrative staff. It's a level similar to Slovenia (75%) and Ireland (77%). Interestingly, however, taken in detail, there are at least five clubs in League One who reported a wage level that exceeds the revenues! But we are not alone in this negative chapter: including Spain, Italy and France meet comparable situations.


As spending the bigest

Championship Report wages / income
Germany 52%
England 60%
Spain 63%
Italy 63%
France 71%

8% of the total debts of clubs in Romania are unpaid taxes, in France - 34%, Spain - 23%, Italy - 12%

 

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