UEFA has notified Real Madrid and Barça that money from the sale of future earnings is not considered FFP profit. Blaugrana may have problems with regulations in a year – Football
The use of financial leverage will not help Barcelona and Real Madrid meet the FFP.
According to The Telegraph, UEFA has notified clubs that the cash they receive from the sale of a portion of future earnings will not be considered profit for Financial Fair Play compliance.
Last summer, UEFA accounted for around €700m in proceeds from Barcelona’s sale of future earnings as debt. The same was the case with Real Madrid, which ceded to the American investor Sixth Street a part of the future income from the operation of the Santiago Bernabeu for 360 million euros.
In the financial statements that clubs publish to provide their members with performance, such transactions are recorded as profits, and La Liga authorities allow the use of such mechanisms. However, UEFA has a different opinion on this matter.
As a result, Barcelona could have serious problems passing the FFP compliance review next year. She expected to receive another 400 million euros from the sale of future income.
Formerly Real Madrid without explanation reflected €122m in “other operating expenses” and Barcelona was fined UEFA for 500 thousand euros for reporting errors.
Barcelona are appealing a €500,000 fine from UEFA. The case is related to the 1st “lever” – the sale of 10% of income from TV rights for 207.5 million
They write that Real Madrid could bypass the FFP (suspicious 122 million in the report). But how exactly?