Football Business : ‘We will run out of money by August’ declares premier league club Burnley FC

The Coronavirus menace has started impacting the Premier Leagues clubs in a big way. In middle of suspension of the league – revenue streams have dried out for the clubs and survival for some is getting questionable.
Burnley FC who is currently in Top 10 of this season’s Premier League table has declared that very soon they will run out of the monies. According to club chairman Mike Garilck, their financial position is so precarious that they can only last till this August.

“The fact of the matter is if we don’t finish the season and there isn’t a clear start to next season, we as a club will run out of money by August. That’s a fact,” Garlick told Sky Sports.
“I can’t speak for other clubs and I don’t know their financial positions and all I can speak on is our club and our financial position.
“That is why we are very, very determined that when it is of course safe to do so we really do want to finish this season.
“We voted unanimously to finish the season so it’s clear everyone wants to get the job done. It’s crystal clear that finishing the season is by far the best, if only real outcome for the Premier League clubs.”
Before the current campaign came to a halt, the Clarets were sitting a respectable 10th in the Premier League – 12 points clear of the relegation zone and only four shy of the top six.
But despite all that good work on the pitch, instability of it caused by Covid-19 looks set to wreak havoc on the club’s finances.

Further to the Premier League statement released post the Premier League Shareholders meeting held on Friday 3rd April, Burnley FC is keen to be transparent with supporters, staff and stakeholders and is therefore able to confirm that due to the continued suspension of Premier League games this presents some significant challenges for the football club.

Burnley FC are set to lose around £5 million in lost revenue from the remaining home games which in the event that the season finishes would be unlikely to be recouped owing to the likely prospect of these fixtures being played behind closed doors.

In addition, the Clarets face missing out cash payments from the Premier League of up to £45 million in broadcasting revenue and other items if the season is not finished. It is believed that other clubs could be looking at up to a £100m shortfall.

Commenting on this Burnley FC Chairman, Mike Garlick said: “It’s a completely unprecedented situation that we and other Premier League Clubs face and which we could not have foreseen in anyway only just a few weeks ago.

“It’s now not just about Burnley or any other individual club anymore, it’s about the whole football ecosystem from the Premier League downwards and all the other businesses and communities that feed from that ecosystem.

“As a club, as fans, as staff members and as a town we are all in this together and I’m sure we can get through this by sticking together and helping each other in every way possible in these tough times.

“We all need to do our bit, however small, together as One Club.”