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During the embryonic stages of the A-League, the FFA’s ownership was vital to the very survival of individual clubs, and the overall competition.
Clubs who faced financial hardship relied on FFA funding to avoid liquidation.
In fact, other than Melbourne Heart (now Melbourne City), all current A-League clubs have, at some stage of their development, relied on FFA funds to either get, or keep, them running.
Now, as we enter the competition’s 12th season, there is a push from club owners, fans and media to have the A-League owned and operated as an independent entity.
The 2003 ‘Report of the Independent Soccer Review Committee’ (Crawford Report) highlighted three broad reasons for having the national league operate separately:
1. The FFA does not have the expertise to operate the A-League
2. The FFA should not be responsible for financing private clubs when they hit financial difficulties
3. There are competing interests between the FFA and A-League clubs with respect to broadcasting, sponsorship and player availability
The Crawford Report stated that the national football competition would have a better chance of success if allowed to operate as a stand-alone body, with its own board and constitution.
This discussion is not about the pros and cons of having the A-League owned and operated separately to the FFA. Rather, it is simply asking: what are the key requirements needed to ensure the A-League is independent?
Firstly, creating a separate corporate entity, ‘A-League Pty Ltd’.
Secondly, the A-League must be the only body with the authority to make rules to regulate the organisation and management of the competition, and create commercial relationships.
However, the A-League must not do anything in conflict with FIFA or FFA statutes, and would not have any authority outside the organisation and management of the competition.
Thirdly, the A-League’s finances must be ring-fenced.
Fourthly, the ownership of the A-League would be split into ten shares. Each club would receive one share, with one new share issued if a club joins, and one existing share cancelled if an existing club departs. The FFA would have no ownership interest, but the A-League could only operate under a licence issued by the FFA, after payment of an annual fee.
Fifthly, the board would consist of 11 members: one from each A-League club, and a chairperson from FFA, who could only vote in the event of a tied vote.
Based on the above five core requirements, currently in Australia there are no independent professional sporting competitions – the NRL and AFL are independent in name only.
In particular:
* The AFL and NRL Commissions are not confined to managing the AFL and NRL competitions respectively, but also manage all aspects of the sport
* The finances of the AFL and NRL competitions are not ring-fenced
* The Commissions provide unlimited funds to new clubs and have ownership of some clubs
* The Commissions guarantee debt for existing clubs and give assistance to clubs in financial distress
* The Commissions own each clubs’ intellectual property
If the A-League is to separate from the FFA, we certainly do not want to follow the management and operational structure of the AFL and NRL Commissions.
So, start with a blank sheet.
What are the key requirements to create a truly independent A-League?
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