The proposed business model for the BOV Premier League has sparked controversy despite the Malta FA’s insistence that the new blueprint is aimed at giving the championship and clubs a much-needed boost. Norman Darmanin Demajo, the president of the MFA behind the proposals, gives his views to Kevin Azzopardi...

The recent proposals to the Premier Division Standing Committee for the consideration of a revised ‘business model’ have stirred controversy even before the model is presented to the MFA council for discussion. Where did this idea originate from?

“We had often discussed the issue with the Premier League clubs regarding the introduction of a season ticket, which system was intended to provide a fairer distribution of gate-money income that, under the present system, is being divided equally between the four teams that play on any matchday.

“This idea could not have previously been considered before the installation of the electronic gate system that we have in operation at Premier League venues.

“The objective was to increase the clubs’ income from gate receipts, and ensure a fairer distribution of revenue, i.e. the more season tickets a club sells, the larger the income for that particular club.”

In the longer term, what effect would this idea have on Premier League football?

“If we looked at the bigger picture, this could be an opportunity for us to combine the introduction of the season ticket with a wider review of the present Premier League model, and to come up with suggestions that could benefit all the teams in the division.

“It was also an opportunity to revise the present model which is dependent on a number of factors that are risky.”

What are these risky factors?

“Football is not immune to what is happening in the financial world.

“Sometimes we think we are but we’re not. Challenging global economic conditions, combined with the banks’ reluctance to lend to football institutions, has led to a European football financial structure that is of concern.

“New regulations, including the introduction of the FFP (Financial Fair Play) were introduced as a measure by UEFA to address a situation that was heading to financial ruin.

“It seems that, at the very least, the trend of operating losses in football has been seriously checked, and clubs abroad are now managing their debts and limiting the damages within the parameters of the FFP rules.

“In Malta, my concern is that the present system is not sustainable in the longer term.

“Our clubs are operating at levels that are way beyond the income generated by the revenue streams of our leagues, especially in the Premier, where the ‘successful’ clubs are completely dependent on donations or ‘sponsorships’ of a small group of individuals without whose backing the club would go bankrupt, or find itself in serious financial trouble.

“At club level we need a strategy that includes revenue diversification, fan engagement, stadium ownership and/or a basic infrastructural platform, club ownership with a long-term capital base, and a policy that relies more on the development of youth players and local scouting rather than the outright acquisition of foreign players.

“I believe that some of our clubs are operating within budgets that would allow them to take the plunge and move into the world of recruiting players on a full-time pro basis.”

Does this sustainability concern apply to all MFA clubs and what is the underlying problem that has led to this situation?

“I don’t think it applies to all our clubs. I believe the absolute majority of clubs, especially the ones in the lower divisions, have realised that sustainability is possible.

Our clubs are operating at levels that are way beyond the income generated by the revenue streams of our leagues

“All you have to do is make sure that your expenses are within your income, and be content to compete at a level and budget that your club can afford.

“This is the basic model that has served us well for many years and the only one that will guarantee the survival of our clubs in the longer term.

“As you move higher up the league, you will find that the monthly wage bill of the playing staff is totally out of proportion with the club’s income and the only way to make ends meet is to rely on the ‘contributions/loans’ of the club presidents.

“As long as the president remains in office, or is replaced by another one of similar financial standing, then the club will survive.

“Problems begin to surface when these presidents decide that they have had enough and decide to move on, leaving the club with legally-binding contracts and obligations that they cannot honour.

“We need to revise our Premier model to make it less challenging for our clubs to participate and compete in our highest leagues, and to try to secure a guaranteed income that lessens the financial impact that participating in the top league automatically implies.”

How are you planning to do this?

“The revised business model that we presented to the Premier League clubs is intended to address the fact that the Maltese football industry could be running into financial problems.

“The proposed model provides for an eight-fold increase in gate income based on the sale of a total of 2,000 season tickets between all the clubs in the Premier League (i.e. an average of 166 per club).

“The season ticket would be valid for entrance to all stadiums and all games where Premier games are played, and as an added benefit it was agreed to also include FA Trophy matches, and even international friendly matches of our national team.

“The season ticket introduction was merely one of a number of measures that we intend to introduce to help clubs establish a ‘fan base’, which I believe will be crucial for their future survival.”

What is the proposed season ticket price?

“A few scenarios have been presented ranging from €150 to €230 per season ticket.

“The Premier Division Standing Committee was asked to analyse proposals and come up with their own workings or suggestions.”

So, at what point did the controversial issue of a 14-team Premier League arise?

“When we were considering the options for a season ticket price, we looked at the number of games that clubs presently play in the Premier League.

“Based on 12 teams and three rounds, we are playing 33 games per team in a calendar that is so full that we have to resort to midweek games.

“We have learnt from experience that midweek games here are not popular and should, if possible, be avoided.

“We have a situation where our Premier League clubs first play two rounds (22 games each), then divide the points, and then play a final round (11 games).

“All clubs are in agreement that the halving-of-points concept should be abolished.

“Taking all the above into account, together with the start and end date of our football calendar, our international calendar, our FA Trophy weekends, and our desire to achieve a balance between clubs and national team players, we came to the conclusion that a ‘perfect’ football calendar for our Premier League would be one that provides for 26 league matchdays.

“To do this, we will need to have a championship with 14 teams over two rounds, with no division of points.

“We put forward this suggestion as an addendum to the proposed business model and I think that it makes a lot of sense when looking at the full picture. The Premier League should not be an exclusive club for a limited number of teams, but rather an opportunity for more of our clubs, players and coaches to experience and enjoy a season or two playing in our top division.

“I do not see anything wrong with that.”

Has this issue been decided?

“Absolutely not. As with the season ticket issue, we are still at discussion stage and still awaiting feedback from the PDSC.

“I do appreciate that change brings with it certain concerns but I think we should keep an open mind and have the courage to change if we strongly believe that what we are doing is for the general good of the game.

“When we went from 10 to 12 teams a few seasons ago, we were warned that we were going to dilute the Premier League and that the standard would fall.

“What has happened in reality is completely the opposite. With 12 teams we have experienced a more balanced league.

“There is no evidence to suggest that 14 teams will have an adverse affect on quality. I think 14 teams would add the interest.”

Nevertheless attendances seem to have gone down during the past few seasons...

“This issue is a different matter which needs to be looked at in a different way.

“Football is by far the most popular sport here which is followed by thousands. This was confirmed in a recent National Association Research that was independently carried out by a private company commissioned and funded by UEFA as part of a pilot project.

“Its objectives included getting an overview of the attitude towards football in the country, and to get a clear picture of how football ranks when compared to other sports.

“Fifty-five per cent of respondents (1,000 sample of all ages) quoted football as the sport most followed in Malta. This percentage turned out to be the highest from all European nations that underwent the research.

“Sport following was defined as anything from supporting a team or player through to watching the sports on TV, live, or reading about in newspapers or online.

“There is no doubt that football in Malta is the most popular sport at all levels and at all ages – from the cradle to the grave!

“It is also a fact that only a small percentage of football followers actually attend matches, and this for various reasons which, in my opinion, have nothing to do with the number of teams in the Premier league.”

Match-fixing rumours are believed to be one of the reasons behind the declining attendances in Maltese football. What further measures could the MFA and clubs take to step up the fight against this malaise?

“I do not believe that match-fixing rumours have a direct effect on attendances.

“Football is a game of passion and emotion, and the people who regularly attend the stadium are passionate followers of the game who enjoy supporting their team.

“When the stakes are higher and the competitiveness and the rivalry increases, especially towards the end of the season, we see dramatic increases in attendances – a title-deciding match or a cup final could well attract between 8,000 and 10,000 spectators.

“Considering our population, that is an excellent turnout. Match-fixing is an excuse used by the non-passionate supporters. True supporters do not look for excuses – they turn up consistently.

“Regarding match-fixing, the MFA had embarked on an awareness campaign and also set up a Task Force to look into the enforcement and legislative procedures that could be adopted in support of the education campaign.

“Our measures need to be looked at in the longer term, and I’m confident that we will prevail. But, in the meantime, we will continue to take all the decisions that need to be taken to ensure that our game is protected.”