US investor: "Americans overestimate the ability to take over a European club and magically create huge sums of commercial revenue"
19 June 2020
Price points in American sports are getting exorbitant to the point where it becomes extremely difficult to invest in, driving the increased interest for sports on the other side of the Atlantic.
However, Jordan Gardner, who has a stake in three European clubs, believes many American investors intending to enter European football don't have the full grasp of what it entails.
Understanding the market, local laws and culture is key to making smart investments in an unfamiliar environment.
Surprised by the way many clubs are run, Gardner says creating a sustainable business model is necessary to ensure survivability.
There has been no shortage of talks about billion-dollar American hedge funds rummaging through the European football landscape, looking for clubs they can commercialise and develop into becoming global brands of which they can siphon out huge profits.
Football's growth in the past 20 years, combined with the industry's current financial trouble, makes it seem obvious that there are good deals to be made, and that it would be simple to streamline an undervalued club and capitalise on the growing market potential.
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