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Bobby McMahon

Bobby McMahon

You can see me on Soccer Central most Mondays and Thursdays on Rogers Sportsnet in Canada. I write a regular column for Forbes.com and Soccerly.com and frequently guest on various podcasts and radio shows.


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Why Paris Saint-Germain’s Financial Statements Qualify As Fiction

Written by on July 22, 2013 | 8 Comments »
Posted in PSG

French club Paris Saint-Germain (PSG) just keeps on spending like a drunken sailor with a limitless credit card. This week the Paris club acquired three more players at an initial cost of around $150M.

Uruguay striker Edinson Cavani arrived from Napoli for $84M followed later in the week by two young defenders – Lucas Digne (Lille) $19M and Marquinhos (Roma) $42M.Edinson Cavani has a….to read more please click on the link.


8 responses to “Why Paris Saint-Germain’s Financial Statements Qualify As Fiction”

  1. Al Harris says:

    It seems to me that this is the test case for the FFP rules. If PSG gets away with this, the rules are meaningless, and we will enter, if we’re not already there, of limitless global wealth buying championships. Wealth has always mattered of course, but I think this is a qualitative jump, not just a quantitative one.

  2. Smiley says:

    Bobby – Simon Kuper of Soccernomics stated that oligarch owned teams (Chelsea, MC, PSG, Monaco, etc) make domestic and CL more competitive as without them we would have the likes of Manyoo winning the league every year.

    He also stated that should UEFA attempt to enforce FPP regarding “sources of income, sponsorship deals or revenue” then teams/owners will simply take UEFA to court where the matter of FFP will be quashed anyway (either by UEFA unwilling to spend time in courts or a court ruling in favor of said team).

    Thoughts?

  3. I think you have to point me in that direction as that is not something I remember reading.
    As for the courts – good for him. I am sure there are other people who would disagree but he is perfectly entitled to his opinion – imperfect or otherwise.

  4. Ed Gomes says:

    Bobby, I loved the piece since I always believed that’s exactly how clubs would circumvent the FFP rules. Yes there’s rules against it, but its easier to hide/maneuver money around that way.

    Let me state that I am of the belief that FFP rules will actually widen the gap between the haves and have nots. The “big” historical clubs already have the prestige and tools to bring in money. The rules might lessen the amount spent, but that will happen across the board. The big players will still go to CL clubs and prestigious clubs.

    If FFP rules are to deemed real, the PSG’s, Monaco’s, Anzhi’s of the world will go away. It will mean less completion for the Real’s, Man United’s, Barca’s of the world. By the way, Chelsea should be ok and City might have just made enough headway to make it.

  5. Ed Gomes says:

    Bobby, I just read a piece that PSG is trying to get a new kit deal from Nike. They feel that PSG should earn at least as much as Arsenal’s new deal with Puma ($30 mil). At this time Nike seems reluctant to go that high, but PSG has a fallback plan. The owners of PSG also own their own sportswear company, Burrda.

    How can UEFA/FFP stop them from doing such a deal, or any other deal, to become FFP compliant?
    If PSG can show that their players market value sits up high on the world’s list, they could justify such pricing, no?
    In my opinion, it’s Lique 1 that holds them back. Let me add, if Monaco becomes a huge player, it will advance both clubs stature. La Liga is a two club league, so why can’t Lique 1 become the same?

  6. As long as it is at market value then it doesn’t matter if it is a related party transaction or arm’s length. “La Liga is a two club league, so why can’t Lique 1 become the same?” Because Real Madrid and Barcelona have some historical cache and are not two johnny-come-latelies.

  7. Ed Gomes says:

    Bobby, I completely agree that Barca and Real have enormous historical significance. I’m still of the belief that that actually means almost everything in the world of futebol. Players still dream to play at Real, Barca, Bayern, Man United, etc…
    PSG and Monaco are nowhere near such stature. But in today’s futebol world, they just might justify their spending with the caliber of talent they acquire.
    The Real’s of the world obtain their fees due to reach, trophies and talent. PSG might only hold talent at this time but it could, in UEFA’s mind, justify sponsorship deals.

    The question I pose, is FFP good for UEFA?
    For me FIFA is one of the most corrupt organizations in the world, and EUFA would fall right in line with them. I think that FFP is more of a perception rule than anything else.
    People are focusing on the big boys when maybe it was intended for the smaller clubs. Basically making smaller club presidents accountable for the contracts they hand out. If FFP does that alone, it’s a good rule.

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