This summer, Mbappe became the majority shareholder of SM Caen, obtaining 80% of the club, and as a result, they have now started a rebuild within Ligue 2. This isn’t an isolated incident, and there is a clear trend that athletes are starting to get involved in the ownership of football clubs. Beckham at Inter Miami, Ibrahimovic at Hammarby in Sweden and Ronaldo at Real Valladolid in Spain.
Why? 🤔
Footballers have a lot of money, and they need something profitable to invest in! Yet, some choose the risky, sometimes unprofitable and unpredictable nature of football clubs. Most of the time, it is to contribute to footballs’ development, or through sentimentality. In Mbappe’s case, he has already paid off some of the debts incurred by the club in the region of £9 million. It is also an investment that should remain at the end of their careers. The football sector as a whole is profitable due to the marketing and commercialisation; if a famous football player invests in a new football club, this will usually add to its profitability. I have previously written about Cesc Fabregas’ influence at Como.
Is this a recent trend, and where is it coming from?
I have previously spoken about the influence of the US on the Premier League, and we are seeing a sweeping trend of American athletes getting involved in English football entities.
Larry Nance Junior, former NBA star, is a Leeds co-owner. Lebron James notoriously bought part of Liverpool in 2011, Tom Brady owns part of Birmingham and JJ Watt (NFL star) bought a stake in Burnley. Lebron James got a 2% stake for around £6 million, with Brady owning around 3.3%.
Now, the American athletes arguably want to get involved in football for a different reason to Mbappe; they are enamoured with the passion that British football fans have for their teams. It also gives them an opportunity to expand their own franchise as a result, with the huge international market that football clubs can bring. The athletes bring their fanbases to these new clubs, making Premier League football even more marketable and worldwide. The money in the USA is also a lot higher, and stars in the NBA and NFL are paid much more. As the careers of athletes are not long, they are consistently thinking of ways to invest their money into more profitable projects.
I think that this is the going to be the way in which football progresses, and as a result, we might start saying tactical decisions changing, if the people to run these football clubs cease to be businessmen, but rather the ex-footballers. They most likely won’t have a big enough stake to have a huge sway in the decision-making process, especially at the bigger clubs, however this is becoming a trend that will not slow down anytime soon.