One of the most famous and biggest Danish clubs, Brøndby IF, was saved from bankruptcy yesterday, after its management got a deal with investors and creditors to release more shares and secure the club’s financial health for the near future.
Once more, the villain of the story are the high salaries paid to their footballers and even former players, for which the club had no cash to compensate after this January.
With the shares release, it is expected that the club raises around €20 Million, therefore avoiding the worst to happen, a file for bankruptcy and the consequential drop from the Danish top flight league, the Superligaen.
So, was this just another among the numerous cases of clubs that are currently overspending to pay their players or just mismanagement that made the club spend in areas that it shouldn’t and now it is paying for it?
Considering that Brøndby has been struggling with keeping itself above the relegation zone in the last couple years, it is fair to assume that the problems are not only the amount of money invested in the squad, but also problems that go beyond the 4 lines.
Guaranteeing the near future was a great move by the club’s administration, but now it is time to make a proper long term plan and find what has placed the club under this financial pressure. The simple hire of more players expecting them to solve the matter won’t do much if the organization and the will don’t come from the top.
Affected by the globalization of the Football Industry?
Like in all other Scandinavian countries, the reach of the Premier League might be making another victim, since I also believe this is one of the problems of the club. With not even 2.000 members (from Wikipedia), the club has the biggest members base and that shows how much influence other leagues, specially EPL, have in supporters over the country.
This is a problem that can’t be solved by the club solely, it must be tackled with help of other Danish clubs and the Superligaen itself, to bring the fans closer to its own regional teams. Even though it cannot be considered a direct error of administration, efforts must go in the way of making Danish football sustainable and feasible, without losing its current strength.
Mistakes are made to learn from and take the best out of it
It is hard to spot the errors not being part of the day-by-day of the organization, but the administrators will have to certainly apply some strict governance, cut spendings, re-organize the coaching staff and spend wisely in the transfer market for the coming years.
This is the perfect time for the club to look to these last to years and learn from mistakes and move on to turning the club once again into one of Denmark’s greats.
Update: A bit of late, but worth mentioning. In a decision that only people from sensible countries would make in my point of view, Daniel Agger, former player of Brøndby, current Liverpool defender and Danish national captain has refused the payment he is due to.
He says he is doing that in respect of the club and would expect that other players would make the same move. It is clear that his decision is based on his current earnings, but there aren’t many people that would refuse a payment for their efforts, no matter their current situation and position. Bravo Daniel!