nmc
Well-Known Member
Barcelona's financial predicament is very perilous... in years gone by the Catalan Authority and local big business would have contributed and wiped the debts out, but the debts are on a much bigger scale now and their is limited ability for the Catalan Authority (with is being run by Madrid) and local business (struggling with a pandemic) to step in. There must be a serious risk of Barcelona defaulting on their debts and effectively going bankrupt - they must be negotiating to restructure their debts but this isn't a great environment to do that - they must be burning cash. I'm sure the authorities in Spain will do what they'd do in the UK and cover up any bankruptcy - LFC were effectively bankrupt a few years back but the rules were applied far more liberally than they were with Soton whom were technically in the same situation) and I'm certain David Gill and UEFA wont be asking any FFP questions. The thought that Barca are going to be making any major purchases in the transfer market is ridiculous when they have so much short term debt that needs to be repaid in the next few months - think about it - its almost half a (non pandemic) years revenue to be repaid in the next 9 months when actual revenues have plummeted. They maybe able to justify extending Messi's contract given his overall value to the club but making huge signing on fees and loyalty payments is only gonna add to their problems. Losing a Finance Director and a major Financial backed within a few days of election suggests a look at the books, just might be frightening a few people. Couldn't happen to a nicer bunch.
