What is Multi Club Ownership in Football?

Concept of Multi-Club Ownership in Football:

Multi-club ownership (MCO) in football refers to the scenario where an individual, company, or group owns or has significant influence over more than one football club. This allows for strategic management and resource sharing across different clubs, often spanning multiple countries and continents. MCO groups can range from owning a few clubs to a network of clubs across various leagues.

Pros of Multi-Club Ownership:

Talent Development Pathways: Enables seamless progression for young players, from smaller clubs to elite teams, optimizing talent growth.

Example: Red Bull’s system transitioning players from RB Salzburg to RB Leipzig.

Cost-Effective Scouting: Shared scouting networks allow the group to identify and acquire talent at a lower cost.

Enhanced Commercial Opportunities: Multi-club networks create unified sponsorship deals and merchandising strategies across regions.

Global Fanbase Expansion: Having clubs in diverse locations builds brand awareness and fan engagement worldwide.

Example: City Football Group using Melbourne City FC to tap into Australian markets.

Financial Stability: Larger clubs can stabilize smaller clubs financially, reducing risks during economic downturns.

Innovation Sharing: Clubs benefit from shared advancements in technology, sports science, and analytics.

Diversified League Access: Multi-club ownership provides access to different leagues, increasing revenue streams and exposure.

Pathways for Staff Development: Coaches and management gain experience in smaller clubs before moving to flagship teams.

Cross-Regional Marketing: Owners can market their flagship club through subsidiaries, increasing the flagship’s visibility.

Example: Selling Manchester City merchandise through partner clubs’ stores.

Resilience Against Market Changes: Diversified operations reduce dependency on one league’s financial and competitive environment.

Brand Expansion: Owning multiple clubs can enhance the brand’s global reach, providing marketing opportunities across different markets. This can lead to increased sponsorship deals and commercial revenues.

Risk Diversification: Financial risk is spread across multiple investments, reducing the impact of underperformance at one club.

Integrity Concerns: There’s a potential for conflicts of interest, especially when clubs within the same ownership group face each other in competitions, raising questions about match integrity.

Loss of Club Identity: Fans might feel a dilution of their club’s unique identity as decisions could prioritize the interests of the entire group rather than individual club heritage or local traditions.

Competitive Imbalance: Larger clubs might use smaller ones within their network to stockpile or develop players, potentially skewing competitive balance in leagues or tournaments.

Regulatory Challenges: UEFA and national football associations have rules limiting multi-club ownership in competitions to maintain competitive integrity, which can complicate ownership structures.

Conflicts of Interest: Clubs under the same ownership competing in the same tournament create ethical dilemmas.

Fan Identity Concerns: Fans fear their club may lose autonomy and cultural identity, becoming a feeder club.

Overdependence on Feeder Clubs: Relying on smaller clubs for talent can make them overburdened and neglect their competitive goals.

Financial Strain: Smaller clubs may require constant investments, draining resources from flagship projects.

Unbalanced Priorities: Owners may prioritize flagship clubs, neglecting others in the group.

Limited Local Focus: Shared strategies might overlook unique challenges or cultures of individual clubs and regions.

Pressure on Smaller Clubs: Expectations to develop and sell players can limit smaller clubs’ ability to compete independently.

Uneven Resource Allocation: Larger clubs may monopolize resources, leaving smaller clubs with fewer opportunities to grow.

Legal Risks: Ownership structures might face scrutiny or legal challenges in certain jurisdictions.

City Football Group (CFG)

A pioneer in multi-club ownership with a focus on global brand building. CFG is known for its strategic approach in player recruitment and development across continents.

• Manchester City (England)
• New York City FC (USA)
• Melbourne City FC (Australia)
• Yokohama F. Marinos (Japan) (Partnership)
• Montevideo City Torque (Uruguay)
• Girona FC (Spain) (Majority Stake)
• Mumbai City FC (India)
• Lommel SK (Belgium)
• Palermo FC (Italy)
• ES Troyes AC (France)
• Sichuan Jiuniu FC (China)
• Bahia (Brazil)

Red Bull

Known for a highly efficient talent pipeline and unified playing philosophy.They have portfolio that includes RB Leipzig, Red Bull Salzburg, and clubs in the USA and Brazil, focusing heavily on player development and transfer within their network.

• RB Leipzig (Germany)
• Red Bull Salzburg (Austria)
• New York Red Bulls (USA)
• Red Bull Bragantino (Brazil)
• FC Liefering (Austria)

777 Partners

A rapidly growing MCO group focused on acquiring clubs in Europe and beyond.Their approach is more towards financial investment and less on a singular club’s sporting performance.

• Genoa (Italy)
• Standard Liège (Belgium)
• Red Star FC (France)
• Vasco da Gama (Brazil)
• Melbourne Victory (Australia) (Minority Stake)
• Hertha Berlin (Germany)

Seedorf Group (Clarence Seedorf)

Former footballer Clarence Seedorf’s group focuses on youth and grassroots development.

• Clubs in Suriname, Netherlands, and China (Youth academies and small clubs).

And the World’s first female MCO owner Michele Kang, a South Korean-American businesswoman, is recognized as the first female owner to establish a multi-club ownership (MCO) network in women’s football. Her pioneering efforts have significantly impacted the sport’s development and professionalization.

Clubs Owned by Michele Kang:

• Washington Spirit (USA): Kang became the majority owner of the National Women’s Soccer League (NWSL) club in March 2022, marking her initial foray into football club ownership.
• Olympique Lyonnais Féminin (France): In May 2023, Kang acquired a majority stake in the renowned French women’s football club, forming the first global multi-club women’s football organization.
• London City Lionesses (England): In December 2024, Kang expanded her portfolio by acquiring the English Women’s Championship side, furthering her commitment to elevating women’s football.

Kang’s strategic investments aim to create synergies across her clubs, enhancing talent development, resource sharing, and global branding in women’s football. Her leadership exemplifies the growing trend of multi-club ownership in the women’s game, promoting its growth and sustainability.