the LaLiga clubs economics

the LaLiga clubs economics

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13 May 2022
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Nick
Laliga

A summer of economic juggling is coming in the LaLiga clubs to be able to sign. Up to 14 teams have the salary limit exceeded.

Introduction

The Spanish clubs begin to take oxygen in their accounts, but the economic situation is still not positive. LaLiga this week presented its economic report for last season and announced losses for the first time in the last decade. The negative numbers were 828 million euros, but in the forecasts it is that the expectations to close this season will continue to be in the red (-297M€). From LaLiga they predict a transfer market that is still very different from the frenetic and large outlays that occurred before the pandemic. It will be a transfer window at half gas, where austerity and transfers at zero cost will continue to be the order of the day. 

Fourteen clubs are exceeded in their salary limit

One of the keys when going to sign is that each club knows its salary limit. This concept includes the maximum amount that each team must spend on transfers and salaries for both players and the coaching staff of the first team and the rest of the categories. It is a fundamental principle so that they are solvent and do not end up in default. But the current situation in LaLiga is that up to fourteen teams have committed more millions than the salary cap that LaLiga gives them . According to a high-ranking employer, this situation for the summer will not vary excessively. It could be that number is reduced or increased by two. As can be the case of Atletico, until now exceeded its limit, but with the signing of a new sponsor and the classification for the next edition of the Champions League, they ensure from the employers that they only need a sale of a player to return to being in a balanced situation in their accounts. To determine the salary limit, clubs must subtract non-sporting expenses and debts from their income. The margin they have left is all the money they have to spend on salaries. Now, what if that salary cap is below what they actually spend on payroll? Well, they go to the transfer market with their hands tied. The options of being able to sign are complicated and the old saying is used: “Before you enter, let them out.

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