Pratik Pal ChowdhuryFootball Fan | MBA Student
Malaga CF, a football club with over a hundred years of history is facing unprecedented financial woes. So much is the effect that the club in its official statement, has explicitly mentioned that they are relieving/releasing all of its male first-team members from their current role.
Even before the Covid-19 pandemic, the club was going through a tumultuous time. In the 3rd quarter of 2019, the club’s debt stood at around 6 million Euros (In contrast, FC Barcelona’s monthly wage bill stood at 17 million Euros). Staying afloat and in the top flight was turning out to be a challenge.
The Spanish League’s TV rights revenue distribution is a story for another time. Top 4 clubs of the league take away nearly 40 percent of the TV distribution and advertisement revenues.
So how does a club that was the Champions League quarter-finalist in 2012/2013 now stands on the verge of perishing?
The ownership of Abdullah Al Ahmed Al Thani and his team’s management can easily be questioned. A lack of their presence in 2019’s 3rd quarter meet was also a corroboration to that. While fans and the people of Malaga question the management, no positive response has come from them. Soon enough, AL Thani was removed from his chair for a period of 6 months in early 2020. A judicial administrator was put in charge.
The problem with the club has been coming for a long time. The continuous ignorance of the club’s financial status coupled with continuous loans in hopes that the club will make an earning by staying afloat in the Premiera Division (LA LIGA) has lead to huge debts which cannot be sustained for much longer.
Currently, Malaga CF is making some hard but justified decisions. They have devised an economic plan which sees them repaying their debt over a period of few years, details to be revealed later.
In accordance with the economic plan and cutting their costs, Malaga has started to let go of its first team. They have used the term “collective dismissal procedure”. After barely surviving the fall to third division by just two points, it seems that it will be hard for the club to stay afloat in 2020-2021 season.
However, if the club can repay their debts than they can make a comeback with their academy players and some proper management. Both on and off the field.
I and like me, all football worshippers believe that all football clubs are sacrosanct. A club’s strength remains with its fans and Malaga seems to have a lot of them. The entire Malaga city and La Liga chairperson Javier Tebas have both vowed to help the club in these hard times. All that now remains to be seen is how the upper management proceeds from here on out and one can only hope that financially, this is the end of troubles for the 2012/2013 Champions League Quarter Finalists.
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