Liverpool Football Corporation: The Business of LFC

Discussion in 'Liverpool' started by dcc134, Mar 2, 2015.

  1. Red Bird

    Red Bird Member+

    Sep 30, 2003
    Oxford
    Club:
    Liverpool FC
    Nat'l Team:
    England
    Hmmm ... NB is not going away quietly, is it? I guess it doesn't want to let go of the real marquee client.
     
  2. SamScouse

    SamScouse Member+

    Jun 1, 2015
    Toronto
    Club:
    Liverpool FC
    that sound you hear is someone being knocked off their perch .... :)

    https://www.liverpoolecho.co.uk/spo...pools-300m-advantage-over-manchester-17743389

    Driven by their successes and eye-catching brand of football, the value of Liverpool's squad has shot up by 22% to more than €1billion (£892million), according to a new report examining the financial power of clubs across the world.

    What's more, Liverpool have now overtaken Manchester United in the latest ranking table put together by Soccerex in its 2020 Football Finance report.

    Liverpool are the eighth in Soccerex' Football Finance Index (FFI) chart, which ranks clubs based on five key financial factors: playing assets, tangible assets (i.e. physical property like the ground and stadium), cash in the bank, potential owner investment and net debt.

    This is an improvement of three places on last year's 11th-place.

    Manchester United, following their decline in form on the pitch and continued high levels of debt, are in 16th, a slump of eight places from 2019.

    Liverpool's squad is valued at €1.07billion, hundreds of millions ahead of Manchester United (€753million).
    Meanwhile, the club are said to have physical property worth €199millon, around €12million of cash in the bank, owners - Fenway Sports Group - with a net worth of around €2.3billion and around €295million of net debt - that is, gross debt minus cash at hand.

    Soccerex rank the potential of FSG's investment in the club at around €80million.
    All told, this gives Liverpool an FFI score of 2.616 - ahead of the likes of Juventus (2.195), Borussia Dortmund (2.154), Atletico Madrid (2.049) and Barcelona (2.036).

    Manchester United's FFI score, by way of comparison, is 1.743.

    "Liverpool’s squad value increased by 22% to over €1billion, a reflection of the team’s success, the ability of their popular and charismatic manager, Jürgen Klopp, and the quality of their football," Soccerex comment.

    Commenting on Manchester United, Soccerex said, the club's "on-pitch malaise is starting to affect the club’s overall strength in the FF100 and its position in the 2020 analysis will surprise many people.

    "As in 2019, United’s level of net debt, at €780 million, is the highest in the FF100."

    Unsurprisingly, the top-ranked clubs in Soccerex' chart encompass clubs with immense backing and low levels of debt - Paris Saint-Germain in first place, Manchester City in second - having sat at the top of the table for the past two years - and Bayern Munich in third.

    Based purely on squad value, Liverpool would sit in fifth place, behind Man City (€1.28billion), Real Madrid (€1.19billion), Barcelona (€1.18billion) and PSG (€1.05billion).
     
  3. delaynomo

    delaynomo Member+

    Jun 1, 2015
    Club:
    Liverpool FC
  4. newterp

    newterp Moderator
    Staff Member

    Jun 6, 2007
    North Potomac, MD
    Club:
    Liverpool FC
    Nat'l Team:
    United States
  5. EruditeHobo

    EruditeHobo Member+

    Mar 29, 2007
    San Francisco, CA
    Club:
    Liverpool FC
    Nat'l Team:
    United States
    Smaller than Atletico is somewhat surprising...
     
  6. delaynomo

    delaynomo Member+

    Jun 1, 2015
    Club:
    Liverpool FC
  7. SamScouse

    SamScouse Member+

    Jun 1, 2015
    Toronto
    Club:
    Liverpool FC
    https://www.liverpoolecho.co.uk/sport/football/football-news/liverpool-climb-above-man-city-18323029
    Liverpool have moved ahead of some of their biggest rivals in Europe as figures show the club’s value has soared.

    The 2018/19 season saw the Reds lift the Champions League trophy for the sixth time in the club’s history, and they soon followed that with the Super Cup and Club World in the months that followed.

    The figures, recorded by KPMG, shows the 'enterprise value' of football clubs. And Liverpool's progress off the pitch under FSG is clear. "The Enterprise Value of a club is calculated as the sum of the market value of the owners’ equity, plus total debt, less cash and cash equivalents," according to KPMG

    "It indicates what the business is worth regardless of the capital structure used to finance its operations."

    These successes have seen the club’s value increase by 19.3 per cent to £2.26bn - and move up two places in the world’s most valuable clubs. Jurgen Klopp’s side have leapfrogged Premier League rivals Manchester City and Chelsea to climb up to fifth place, narrowly adrift of Bayern Munich in fourth.

    1. Real Madrid (unchanged) - £2.95bn (+1.5%)
    2. Manchester United (unchanged) - £2.84bn (-2%)
    3. Barcelona (+1) - £2.71bn (+12.2%)
    4. Bayern Munich (-1) - £2.44bn (+0.4%)
    5. Liverpool (+2) - £2.26bn (+19.3%)
    6. Manchester City (-1) - £2.21bn (-0.3%)
    7. Chelsea (-1) - £1.88bn (-6.3%)
    8. Tottenham Hotspur (+1) - £1.75bn (+15.8%)
    9. Paris Saint-Germain (+2) - £1.62bn (+36.7%)
    10. Arsenal (-2) - £1.57bn (-13.2%)
     
  8. SamScouse

    SamScouse Member+

    Jun 1, 2015
    Toronto
    Club:
    Liverpool FC
    https://www.theguardian.com/footbal...aying-330m-rebate-broadcasters-premier-league

    A group of clubs, led by Liverpool, will argue against paying a £330m rebate to Sky and other broadcasters at a meeting to discuss the matter on Thursday, despite the Premier League’s recommendation that it should be accepted.

    The finance directors of all 20 clubs were informed on Wednesday of the sum by the Premier League, whose head of broadcasting, Paul Molnar, is leading negotiations. Sky is the prime broadcaster with rights to show 128 live matches a season, followed by BT Sport with 52, and Amazon with 20.

    Because of the rights terms, 50% of money is divided equally with 25% awarded for live appearances and the other 25% dependent on league finishing position. This means the top six Premier League clubs will have to pay more back – around £30m each – compared to the approximate £10.75m by the other 14. Broadcasters have suggested staggering payments of the rebate over the next two seasons to help clubs hit financially by the pandemic.

    Liverpool’s chairman, Tom Werner, questioned the rebate at a previous conference with the Premier League executive and he will do so again when the meeting commences on Thursday at 11am, with growing dismay at the size of sums involved.
     
  9. speker

    speker Member+

    May 16, 2009
    Canada
    Club:
    Liverpool FC
    The big clubs may say f**k it! We'll stream all of own games ourselves from now on .
     
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  10. Red Bird

    Red Bird Member+

    Sep 30, 2003
    Oxford
    Club:
    Liverpool FC
    Nat'l Team:
    England
    BT has already said that it will pay its obligations in full. I suspect Sky Sports also will-- it is hugely dependent on football.

    It's the foreign broadcasters who will prove problematic, the ones who pay £10 million here, £15 million there etc.
     
  11. delaynomo

    delaynomo Member+

    Jun 1, 2015
    Club:
    Liverpool FC
  12. SamScouse

    SamScouse Member+

    Jun 1, 2015
    Toronto
    Club:
    Liverpool FC
    Liverpool ended the season with a victory at St James' Park against Newcastle United, as the Reds ended the campaign on 99 points in the Premier League table.

    As champions, Liverpool were initially in line to take home around £175m in total prize money according to projections from financial expert 'Swiss Ramble'. Last season, Manchester City won £38.4m in merit payments for coming first, plus a combination of other payouts taking their total up to just over £150m.

    [blah blah blah ....]

    Ahead of the 2019/20 campaign, a new three-year rights cycle began and the overall payout to be split between all clubs was expected to increase by approximately £185m. That amount was supposed to be coming in on top of the total league prize payout of £2.46billion last season, as reported by Forbes.

    However, the pot has been reduced due to the impact of coronavirus delay and empty stadiums leading to a television rebate. 'Swiss Ramble' estimates of the possible payout as conditions stood prior to the pandemic would have seen the Reds scooping £35.5m in merit payments, almost £32m for the equal share, £31m in facility fees and £5m in central commercial.

    [totals £103m. ouch. City got approx £50m more last year. no wonder FSG is slow-rolling any transfer moves]
     
  13. EruditeHobo

    EruditeHobo Member+

    Mar 29, 2007
    San Francisco, CA
    Club:
    Liverpool FC
    Nat'l Team:
    United States
    Yeah, especially since who knows what crowds/matchday revenue will be back?

    Still annoying to lose Werner due to this bullshit...
     
  14. SamScouse

    SamScouse Member+

    Jun 1, 2015
    Toronto
    Club:
    Liverpool FC
    https://www.theguardian.com/footbal...-liverpool-ceo-with-billy-hogan-replacing-him
    Liverpool’s chief executive officer, Peter Moore, is to leave the club next month and will be replaced by current managing director and chief commercial officer Billy Hogan.

    Moore’s three-year contract as Liverpool CEO expires this summer and he is returning with his wife to the United States, where he worked for 36 years for Sega, Reebok, Microsoft and EA before joining his hometown club in 2017. He will oversee a transitional period until the end of August when Hogan, who has worked for owners Fenway Sports Group since 2004, starts as CEO on 1 September.
    American-born Hogan has been instrumental in transforming Liverpool’s commercial fortunes under FSG and negotiated the new kit deal with Nike that starts on Saturday. That deal, settled in the High Court after a legal dispute with former suppliers New Balance, is worth a guaranteed £30m-a-year to the new Premier League champions plus 20% royalties on net sales.
     
  15. newterp

    newterp Moderator
    Staff Member

    Jun 6, 2007
    North Potomac, MD
    Club:
    Liverpool FC
    Nat'l Team:
    United States
    All reports say this was not unexpected as FSG was grooming Hogan for the role. Moore came in and did gangbusters. Where I think he did an amazing job was sticking up for the club in the media both regular and social, engaging with supporters, and remembering his Liverpool roots.

    He leaves after 3 amazing seasons.
     
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  16. SamScouse

    SamScouse Member+

    Jun 1, 2015
    Toronto
    Club:
    Liverpool FC
    Liverpool have appointed former Manchester United executive Matt Scammell as the club's new commercial director.

    Scammell arrives at Anfield having spent nine years at Old Trafford where he built up a wealth of experience across sales and business development, holding senior roles in technology, digital, communications and sporting sectors.

    Having left his post as United's Head of Global sponsorship sales earlier this year, Scammell's new role will see him focus on growing partnership opportunities for the Reds, as well as being part of the club’s executive team under FSG.
    https://www.liverpoolecho.co.uk/spo...ews/liverpool-fsg-matt-scammell-news-18700217
     
  17. delaynomo

    delaynomo Member+

    Jun 1, 2015
    Club:
    Liverpool FC
  18. SamScouse

    SamScouse Member+

    Jun 1, 2015
    Toronto
    Club:
    Liverpool FC
    bloody impressive.
     
  19. Red Bird

    Red Bird Member+

    Sep 30, 2003
    Oxford
    Club:
    Liverpool FC
    Nat'l Team:
    England
    Hell of a note.
     
  20. SamScouse

    SamScouse Member+

    Jun 1, 2015
    Toronto
    Club:
    Liverpool FC
    the Bitters are Citeh levels, but getting sweet eff all for it. :D
     
  21. oikos

    oikos Member+

    Feb 3, 2010
    Glastonbury, CT
    Club:
    Liverpool FC
    Nat'l Team:
    United States
  22. Wingtips1

    Wingtips1 Member+

    May 3, 2004
    02116
    Club:
    Liverpool FC
    soccershaggy repped this.
  23. newterp

    newterp Moderator
    Staff Member

    Jun 6, 2007
    North Potomac, MD
    Club:
    Liverpool FC
    Nat'l Team:
    United States
  24. Red Bird

    Red Bird Member+

    Sep 30, 2003
    Oxford
    Club:
    Liverpool FC
    Nat'l Team:
    England
    Interesting interview. He's quite mild-mannered, isn't he?
     

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