Private vs Public Ownership

A study has found that football clubs registered as public limited companies have a better firm performance compared with football clubs registered as private limited companies; meaning those registered as public limited companies have better financial performance than those as private limited companies. James Earlby takes us through the details.
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End Card Song: Bankrupt Blues by The Hummingbirds

[@Tifo]

To read Joe's supporting piece to this video, please visit bit.ly/PublicvPrivate

[@Ngatiatimothy]

I know it's probably a bit too late for this but could you please explain how the club belongs to the Football Association?

[@douchekiller9000]

Hello, The official name of the club is still hull city afc but you'll struggle to find it anywhere at the club. The badge changed getting rid of the name, every aspect of our internet presence of social media refers to us as hull tigers. This is why it means a lot to see your channel use our proper badge, with our name and nickname. Great videos btw

[@Tifo]

Up the Hull!

[@tyler-jbrown]

Hope we stay up #UTT

[@jacturner6886]

Browny u will with the run under ur new boss. was gonna say his name but I've mind blanked. but yh ull stay up for sure

[@Quirin1860]

Please a video on the fall of Le Mans FC. They had a really strong side in 07/08 under Rudi Garcia, now they are in 5th tier of french football.

[@iggy1979]

This is really good but I would like to see this episode expanded to continental Europe and look at ownership of other clubs like RM and FCB.

[@Tifo]

We touch on the Bundesliga's 50+1 rule in this video about RB Leipzig: kzbin.info/www/bejne/nqCzg3R3psZ0ZpY - Joe

[@reiudfgq3vrh34ur]

Real and Barça owners have elections every like 5/6 years

[@nickhepler533]

"Kroenke, get the fuck out of our club, take your fucking son with you!" -Bully

[@owlsighter]

There really needs to be more transparency in how clubs are run. As said in the video, a football club is directly or indirectly responsible for thousands of jobs/businesses and it can all come crumbling down a bit too easily. Big money can come and go far too easily and quickly in football, jeopardising long term stability. This coming from a Chelsea fan...I love Roman and all he's done but Chelsea can't be reliant on his billions indefinitely.

[@MasterAppels]

They aren't so reliant anymore. They're very stable. uMAXit did a video on it.

[@arkasubhroc2]

owlsighter We're not really reliant on him for wages and such. He mostly bankrolls the transfers. once the new stadium gets built the reliance on him will be even less. That said, Roman does have genuine affection for the club and he's got a level headed bunch of board members running the place.

[@arkasubhroc2]

owlsighter For now atleast

[@felixwinchester9256]

agree with you on this point. ac milan, the biggest club in the world at a time went down for similar reasons you mentioned. but chelsea are in good position. roman has some serious amount of money.

[@theyellowwall7842]

owlsighter exactly, say roman were to go bankrupt, how would your club honestly survive

[@pgktf2331]

You should have mentioned a bit on how clubs are runned outside England... Especially teams like Barça and Real Madrid that are still owend by the fans and are, in my opinion, the best runned clubs in the world

[@kunbifusion]

PGkTF Best run clubs in the world because both control almost everything in Spain... From TV money to Youth players.

[@timoe360]

PGkTF Barcelona and Real Madrid are one of the most corrupt clubs xd

[@gadget00]

I wouldn't put Barcelona in the best runned clubs in the world; their management runs more like a political party, with factions, betrayals and fist fights the day of elections; they only care about keeping Messi happy nowadays. You can't run a club like that. Florentino has a better organisation in Madrid

[@SonicSP]

PGkTF Barcelona and Real Madrid are only top because they suck most of the TV money between the two of them for years (and were government owned back in the dictatorship way back when). In the EPL, while there is a difference in earnings from the TV rights based on your position, the difference between 1st and 20th is much much lower than in La Liga. From a football management perspective, yeah they're both really well run. From a business management perspective? They're probabaly not the worst obviously but they're not top either.

[@wamnicho]

gadget00 But atleast messi is productive to the club, so I can understand them wanting to make him happy, very few players are able to earn that privilege and I don't think we will see another messi for god knows how long, he's a rare breed just like maradona.

[@farfan97]

your Ligue has the best players in the world but i am really happy that we have in Germany stricter rules in privat ownership like the 50+1 rule. Although Teams like Leipzig, Hoffenheim, Leverkusen or Wolfsburg exist or Ismaik more or less took over 1860 Munich. Hopefully we never get rid oft this rule. Many people unfortunately want this. Anyway, you do a great job guys. Love watching your Videos. Greetings from FC Schalke 04 and Germany :)

[@AceChampElite]

KROENKE OUT

[@gece8783]

Adriankool4skool Why? I mean genuinely, I've seen quite a bit of arsenal fans say that, don't know why.

[@ellisatkinson4784]

Gandhar Chougule because his ambition doesn't match the fans

[@tommyfinch5068]

Adriankool4skool He once said "I didn't come here to win trophies". If that doesn't show a lack of ambition, I don't know what does.

[@AceChampElite]

He's strictly about the business, he owns a handful of other "mediocre" sports teams one of which he moved to LA for the $$$. He never comes out and addresses anything, and it's been reported that when players of some teams are near him they are instructed to not talk to him. So from the outside he is seen as a greedy business man with no real passion or communication to the fans or players of any of his teams.

[@gjrforever]

I'd like to elaborate more about what kroenke did to my club (colorado rapids) to just show that it isn't arsenal that he is fucking over. in 2010 the colorado rapids won the mls cup, it was a huge deal because we had basically been sucking for the past 10 years. and we had a really shitty start to that season but our players starting growing and 2 of our strikers managed 30 goals between them (which was the most in mls) , then after that season what does kroenke do? he sells them but not just them he also sold almost all of our backline which was one of the best in the mls. So the rapids go back to sucking fucking ass for 3 years, then in 2013 we have another breakout season, we don't win the mls cup but we were still a very hot ticket. we had a youthful and attacking side and we had really good strikers 3 of them to be exact, and after that season guess what else this fucking prick does. sells them all. now most recently last season (2016) Kroenke actaully did a lot of good things he brought in tim howard and brought in a lot of useful players. We were the best defensive team in the league by a mile and even broke some mls records, we were unbeaten at home, but we didnt win the mls cup, we got very unlucky. so then this season came, and as kroenke does he sells all of our best players. Before the season started he had already sold off 3 of our best players. and then the season started, we actually didnt start that bad, 1-1-1 we just didnt score goals (which was a major problem in 2016 lots of 1-0 games) so we thought hey mabye before the transfer window closes kroenke might help us in bringing some good attacking players in.Our defence was still great we just needed a striker. But instead of doing that he sells two of our defenders, the two defenders that were so useful for us last season. and since that trade we have lost every single game and sit at the bottom of the table and there is no new transfer rumors to bring anyone else in. He doesnt give a shred of a shit and I am fucking sick of it.

[@scvboy1]

Allam refuses to invest in Hull City just becuase he can't change the NAME? What a BABY!

[@Visfen]

smart excuse though

[@tommyranger9228]

Private Ownership = Plastic Clubs

[@glorzoglory998]

The music you guys play on the background of the whiteboard videos is super smooth . . . love the whiteboard videos and you guy's taste in music.

[@Tifo]

Love a good music based comment. Thanks! - Danny

[@cryptoaddict299]

Thank you for these videos focusing on the Finances of football ! Really appreciate it!!!

[@chrislowe19cl]

literature shows that privately owned clubs (e.g. rich sugar daddy owners) are win maximisation seekers whilst stock market ownership model is a profit maximisation model. Sugar daddy owners are seen as wreckless in pursuit of success.

[@nevinjoyce3850]

Chris Lowe this is the opposite in terms of hull city

[@TheThreatenedSwan]

They are both quasi-privately owned, not publicly owned. Public ownership is ownership by an elected state. Public assets cannot be sold by individuals and members of the state have no incentive and limited capability to maximize their value.

[@jambajoojoo]

Kroenke fam. Gazidiz blud. All of em out blud!!!

[@mzakt7]

Viswajit Nair Mature of you mocking a man for the way he talks

[@bryane727]

Viswajit Nair he's a neek allow him

[@nickUK88]

Bryan Dz l suggest you remove that comment

[@bryane727]

nickUK88 y?

[@neohongkong]

incorporated as a plc did not mean it is a listed company.....listed company certainly better performance as regulated

[@N0eVazquez]

you should really do more of the "tactics explain" videos!! do some for the world cup winners!! I would love to see them. not just the final match but important games as well.

[@Tifo]

Hi Noe. We currently create one tactics video per week (which is about as much as we can manage). We are, however, looking to create some World Cup related videos in the coming months, so keep your eyes peeled! - Joe

[@N0eVazquez]

Thank you!! love the videos, they are amazing.

[@iMadrid11]

You didn't talk about 100% supporters owned clubs. Where club members who are fans pays an annual membership fee to support the club. The administration of the club elects a President voted by its members. But anyone running for club president is required to invest money as a patron into the club. It could be his own money or funds guaranteed by his own supporters. A great example for this is Real Madrid and Barcelona

[@fidur2]

great video as usual. you guys could compare the English ownership model with the fan ownership of the Bundesliga, Spain (Specially Real, Barca and Bilbao) and most clubs in South America!

[@Tifo]

Thanks mate. We can potentially look into it! - Danny

[@niallmcgirr7697]

not gonna lie. arsenal fans do not like kroenke. he is only in it for the money. usminov actually cares about the club

[@maxsch8454]

Do a video of 4th division FC Calais getting to the French Cup final in 2000 and almost winning it.

[@georginho2121]

Brilliant! Can you do a video about the finance disparity in Scottish football?

[@RacheyBum2006]

Love this channel, great content and whoever narrates the videos has the most unbelievably relaxing voice it's ridiculous! Please could we have a video on arguments for/against more technology in football?

[@fadhilideche2831]

Mr. Joe Devine, it seems you have another fan. By the way, Rachel Chetwynd-Cowieson, that's the narrator's name.

[@Tifo]

Thanks Rachel. I'm sure Joe (narrator) will see this comment. He's probably blushing too much to reply - Danny

[@RacheyBum2006]

No reply from the man himself? You must be joeking...

[@prithvikhanna166]

uMaxot Football are back at it, making amazing vids for us to see GG

[@reecebailie9120]

can u do a video on Bangor FCs downfall, they got relegated twice in a row and now dont have a league to play in, one of Northern Irelands more successful "local" clubs, very well supported and known, i would love love to see this

[@Tifo]

Nice suggestion mate, can keep it in mind. I could visit the club for a video! - Danny

[@Benziiish]

It would be interesting to see how this type of ownership compares to the 51%-model that they use in Bundesliga in respect to the amount of clubs going into administration.

[@abnerortiz6027]

This is where it makes sense why MLS NBA Nfl and MLB have salary capes the competition is even and teams don't go broke

[@timothystamm3200]

Though the book "Soccernomics" suggests that it is relatively easy for a club to phoenix if they get blown up financially. So is it more of a problem that these clubs don't take fan input and potentially stagnate in their footballing or that they are financially stable. Keep in mind Real Madrid, the biggest football club in the world, is half the size of the smallest fortune five hundred company (at least at the time of the writing of the most recent edition of "Soccernomics") Football is not big business for the clubs.

[@ajweatherill]

Thanks for including my team.(Hullcityafc) We honestly feel like a powerless crowd, with the fa unable to act. A 700% annual in ticket fees for children and old people with no mention in news. Thousands of fans cancelling season tickets (Prior to Marco Silva) and a frequent attendance below our league 2 standards. Finally just like to say I think the name change was to do with the power struggle at the club; the Allams own the club but the council own the stadium. Allam prior to the name change frequently wanted to build a new stadium but due to the rights of the council he couldn't. Therefore, I speculate that he wished to change the name so that the stadium is not linked to the club and he could carry out his plans. I could be wrong but it makes sense...

[@Tifo]

Thanks for your comment Adam. It's unfortunate to hear of the situation, but always remember that banded together, supporters are never powerless. - Joe

[@j.3o21]

Soooo... 4th spot is safe

[@4561-n3l]

Do a video on Partick thistles rise from league 2 to the spl and now having a 5 million pound training facility being built

[@benlovell8640]

Keep up the great work!love your channel

[@Tifo]

We will Ben! - Danny

[@Trecesolotienesdos]

all clubs should be fan-owned. fotball is not an industry like all others, there are different parameters.

[@DeeCire]

as an arsenal fan i can tell you no one likes kroenke still, i'm still hoping he gets bought out from his shares because none of the sport teams he owns are any good i always wanted usmanov to take over or at least the nigerian man ( i forgot his name but he's in the concrete business i believe) to finally launch a bid

[@DeeCire]

the worst the nigerian guy could ask for is for more african players and i would take naby keita, keita balde diao, and koulibaly all in a heart beat

[@anshravindramishra2053]

His nae is Aliko Dangote or something, anyone would be better than Kroenke imo.

[@DeeCire]

Boob The Builder yeah i looked it up so if he came up again i would know it also i didn't know this but most people from african became fans of the club because we had a few african players in our first team which no other pl team had at the time

[@damolaade7496]

+eric A lot of Nigerians became fans because of Kanu, but yeah anyone but that soulless reptile Kroenke

[@anshravindramishra2053]

True, we are the classiest club in the pl after all, unlike the racist scum of Chelshit.

[@timipre]

Trust Arsenal to choose the wrong fucking investor

[@Nwo-007]

great videos, really liking this channel I subscribed too!

[@Tifo]

Appreciate it Jose! - Sam

[@anarcho-pingu]

Video on Salford City!!!

[@bens4602]

It's very dangerous to make this type of conclusion. Strict government regulation have almost always been damaging to firms. Take for sad example the Gender Pay Act, a significant law that persuaded Ford to reduce the size of the Dagenham plant which now mainly makes engines and pull out of British business somewhat (not that I don't believe in equal pay, I do). Government regulations are bad for an economy and not every action a football club takes is scrutinised - LSE is free from gov intervention hence how it functions properly. The fact that stocks and shares move around concerning the football clubs is why no individual can damage the clubs hence how public LCs perform better than private LCs. PLCs perform better than private ones because shares change hands frequently restricting the powers of any certain individual whereas private companies are ran by an owner who can run the club as stable or unstable as they can. It is the lack of control, rather than the greater control, which means that public limited companies perform better than private limited companies, and if there were such strict regulations on the stock exchange and the free market, the British economy would come to a standstill.

[@jawnp1478]

Hey, if you own a English Premier team, can you also own a team in La Liga or in Germany? I always wondered if you can own multiple professional soccer teams in Europe as long as they don’t play in the same league.

[@natsudama4604]

Do you still have that doubt? Then yes, you can, but you can't have 2 clubs in the champions league And also, you can't buy a club in the german league

[@dheelo9260]

Hull Tigers is Better name... damn.. it can change better... and actually the club mascot is tiger tooo...

[@idhamnasir7810]

when can we see the face that narrated all these video?? such beautiful voice!

[@Tifo]

He's on the channel already. You simply have to look! - Danny

[@HonestTrumpFan]

I wanna buy Sheffield United and turn them into Barcelona! BTW love you uMAXit

[@davidkamwendo88]

kroenke blud blud fam fam

[@matthewwilshaw9352]

The downfall and further downfall of port vale

[@MsNorax]

Whats the name/where can the song in the outro be found

[@Tifo]

It's in the description mate - Danny

[@geminix365]

Community fan?

[@cryptoaddict299]

amazing videos

[@lomochauhai]

Awesome vid

[@vinoshgopal795]

Put man utd 2016/17 financial overreviw at the end of the season.

[@Tifo]

Thanks for the suggestion. Sometimes finances aren't available so soon after the season is over - Danny

[@soclean25]

Kroenke out

[@sochiduru]

They post so many videos lately

[@hughcalligan2387]

Sochi Duru what's bad about that

[@sochiduru]

Nothing it's just quite impressive

[@tyler-jbrown]

#AllamsOut

[@shakib7692]

*P U B L I C L I M I T E D C O M P A N I E S*

[@taherramzan4978]

Wenger out

[@okchata904]

Never been this early

[@nigefal]

#umaxitgiveaway1

[@JonasFilberg]

#wengerout

[@sagnikkundu89]

3rd

[@chicano_travels]

third

[@butterdawg14]

#umaxitgiveaway1