01 September 2008

Liverpool worried about their finances

Liverpool is worried about their balance sheet and income statement. Arsenal built Emirates stadium; they now struggle under a debt burden but have increased their match-day revenues. Similarly, Manchester United redid Old Trafford and they struggle under the consequent debt burden but have increased revenues. Liverpool Football Club wants to build a new stadium as well, but financing is proving difficult. It's not clear from the article whether Liverpool's owners are having financial problems, whether financing is more difficult in today's economic climate, or whatever is the cause.

Also, Liverpool's current owners are not popular with the fans and there is worry that the owners will damage the long-term future of the club because of their profit motive (I would say that an owner's profit motive should be beneficial to the club's future). Some of the fans have established a club, shareliverpoolfc, wherein one can purchase a share of Liverpool (about $10000/share).

Here is the website of the Football Industry Group at the University of Liverpool. They have an MBA program available.

Brad Evans