Menu
International Football

A-League Clubs Unanimously Reject FFA's Annual Offer Of $2.45M Per Club

Relations between A-League clubs and Football Federation Australia "have reached rock bottom after all 10 owners walked out on a meeting" with the governing body, having "rejected head office's funding offer," according to Dominic Bossi of the SYDNEY MORNING HERALD. The clubs "unanimously rejected" FFA's annual distribution offer of A$3.25M ($2.45M) per club, suggesting the new grant "represented less than half the total revenue generated by the A-League." The clubs were reportedly "furious" with FFA's proposal, which represents a "significant drop in the percentage share clubs receive annually." It follows a record six-year broadcast agreement between FFA and Fox Sports, valued at about A$56M ($42M) per season -- an increase of 40% on the previous TV deal. That figure "could rise further once digital, free-to-air and overseas broadcast rights are sold." The increase in cash provided by the governing body to clubs under the proposed distribution of the revenue is "only" 24%. FFA "refuted the clubs' assertion the distributions represent less than half the A-League revenue," citing A-League travel and operational expenses covered by the governing body (SMH, 5/2). In Sydney, Ray Gatt reported the news "could not have come at a worse time for the sport, taking the spotlight off the season’s showpiece," Sunday's A-League grand final between Sydney FC and Melbourne Victory. According to one source, the clubs were also left "bewildered and amazed" that FFA Chair Steven Lowy was not at the meeting, that he did not attend the Dolan Warren Awards on Monday and that he will not attend the grand final because he is in N.Y. on business. The source said, "How does that happen? It ­beggars belief." Club owners are now expected to "push even harder for the A-League to be run separately from FFA," giving them "control over their own destiny and greater access to the funding they largely generate for the head body." As much as 80% of FFA's revenue reportedly "comes from the national competition" (THE AUSTRALIAN, 5/3). The Sydney DAILY TELEGRAPH reported Adelaide United Chair Greg Griffin, speaking on behalf of his colleagues, said that clubs had "unanimously turned down" the increased annual distribution. Griffin: "We have worked in good faith for the last 18 months to achieve a distribution that will deliver a sustainable future for the league. With this proposal, the FFA has shown its disregard for the A-League and those who have invested in it. The clubs are no longer prepared to fund the FFA through annual club losses" (DAILY TELEGRAPH, 5/2).

GALLOP FIRES BACK: The AAP reported FFA CEO David Gallop "fired back at clubs," saying the deal on the table represented a 26% increase on last season. He suggested paying A-League clubs extra would "eat into the FFA's wider role in funding the Socceroos, Matildas and grassroots football." Gallop: "It was hardly surprising that the owners of the clubs want more money, and we are providing them with more money after reducing FFA's own costs significantly" (AAP, 5/2).

SBJ Morning Buzzcast: May 17, 2024

Brazil's big win; Leonsis looks for scale; breaking down the big categories for Sports Business Awards and remembering Eddie Gossage

NASCAR’s Brian Herbst, NFL Schedule Release, Caitlin Clark Effect

On this week’s pod, SBJ’s Austin Karp chats with our Big Get, NASCAR SVP/Media and Productions Brian Herbst. The pair talk ahead of All-Star Weekend about how the sanctioning body’s media landscape has shaped up. The Poynter Institute’s Tom Jones drops in to share who’s up and who’s down in sports media. Also on the show, David Cushnan of our sister outlet Leaders in Sport talks about how things are going across the pond. Later in the show, SBJ media writer Mollie Cahillane shares the latest from the network upfronts.

SBJ I Factor: Molly Mazzolini

SBJ I Factor features an interview with Molly Mazzolini. Elevate's Senior Operating Advisor – Design + Strategic Alliances chats with SBJ’s Ross Nethery about the power of taking chances. Mazzolini is a member of the SBJ Game Changers Class of 2016. She shares stories of her career including co-founding sports design consultancy Infinite Scale career journey and how a chance encounter while working at a stationery store launched her career in the sports industry. SBJ I Factor is a monthly podcast offering interviews with sports executives who have been recipients of one of the magazine’s awards.

Shareable URL copied to clipboard!

https://www.sportsbusinessjournal.com/Global/Issues/2017/05/03/International-Football/A-League-Funding.aspx

Sorry, something went wrong with the copy but here is the link for you.

https://www.sportsbusinessjournal.com/Global/Issues/2017/05/03/International-Football/A-League-Funding.aspx

CLOSE