German football ‘plays’ 50+1

Much has been said about SADs, sports clubs, the 50+1 rule and all the variants that exist in the management and governance models of football clubs in Spain, Germany and other countries. As the CEO of an ‘exceptional’ club in Germany, I am delighted to study these different formulas which again reflect different strategies and approaches that certainly come from a diverse cultural root.

In Spain, the Sports Law of 1990 forced clubs to become Sports Limited Companies, and thus to have owners. The goal is for them to really take responsibility for the economic activity of their club and thus prevent them from being unaware of the results of their own management. The only exceptions accepted in Spain then and now are Real Madrid, FC Barcelona, ​​​​Athletic Club and CA Osasuna. To access the presidency in these cases, until now a guarantee of 15% of the budget is required from the board of directors as an economic and responsibility guarantee, certainly preventing them from simply throwing the ball forward at the end. This is no longer the case and, after the approval of the new Sports Law, it is a standard left in the hands of the sports clubs themselves. This new legal framework, together with the football ecosystem, with its sporting pressure, and the Spanish culture, which is more inclined to take risks in favor of achieving short-term goals, may cause unexpected and unexpected desired situations.

Compared to most of the Sports Joint Stock Companies presented by the football scene in Spain, in Germany the approach is the opposite. Bundesliga laws only allow having a license to play in the first or second division if half and one of the votes (if it is a company outside the sports club) is in the hands of the club and its partners (so , this rule is known as 50+1), although at the financial level one shareholder can own more than 50% of the entity (for example, in Hertha Berlin, Josh Wander’s company 777 owns of more than 60% of the shares). And this is due to the belief in Germany that a football club should belong to its fans, that they should make important decisions. Among other reasons, as a general measure of control and protection against the influence of external investors and so that football remains economically accessible to fans.

So much so, that many clubs remain clubs. In general, in Germany, it is possible to divide professional football into a society. This crowd arrangement poses additional challenges and difficulties in direction and management, and may be one of the reasons why clubs with great traditions do not have their best moments. Corporate governance in this context is very complex and, to a certain extent, in some cases it does not ensure that the fans really have the possibility to decide.

Exceptions to the 50+1 rule are only allowed in cases where a company or person has supported and sponsored the club for more than 20 years. And currently there are only two: VfL Wolfsburg and Bayer 04 Leverkusen, which has Volkswagen and the pharmaceutical company Bayer as 100% owners of the club. In recent years, there have been many conversations and many debates about this, but it is certain that no more permissible exceptions will be allowed in the future.

Since I arrived at Bayer 04 Leverkusen in 2018, I have expressed my disapproval of the 50+1 rule, because I believe that, at the present time, to compete at international level, financial resources are necessary to have clubs in other countries. and with this format is beyond the reach of the German sports entity. However, my view, which is freedom, which offers possibility, in any case of coercion, is the minority in Germany. This is an issue that is deeply rooted in the culture and has been implemented in this era.

If in terms of financial control I chose the German model, in this case I prefer the Spanish one.