Ligue 1 / Signing Messi, where does the PSG money come from?
Messi's transfer to Paris Saint-Germain has caused a sensation in football. Rumor has it that he will receive an annual salary of 71 million euros before tax (35 million after tax). In addition, Grand Paris has also signed Ramos, Wijnaldum, Achraf Hakimi, Donnarumma and other stars this year. It makes people wonder where the money comes from.
1. PSG's funding source
The funder behind PSG is Qatar Investment Bureau. Qatar is one of the world's largest natural gas exporters. The Qatar Investment Bureau, established in 2005, has assets worth 300 billion U.S. dollars in 2020.
For Qatar, paying 71 million euros for Messi is simply a trivial matter. Even the total salary of the team is 300 million euros, ranking first among sports clubs in the world. Qatar attaches more importance to international influence, especially the Qatar World Cup will be held at the end of next year. At this time, it will be able to include the world's most famous players and play a wave of ads for free. It is really worth it.
2. Thank you Barcelona for the "assist"
In the "German Transfer Market" website, Messi's reference worth is 72 million euros, and it is a bargain to get the transfer fee-free for Paris. If it weren't for Barcelona's sudden announcement of not signing, Messi could not find the next home for a while, and Manchester City had just bought Grealish for 100 million pounds, PSG could easily sign Messi without an opponent.
Even if you have to pay 71 million pre-tax annual salary, compared to Messi’s pre-tax annual salary of 138 million euros in Barcelona, this includes a four-year base salary of 550 million euros, and hundreds of millions of euros for renewal and loyalty bonuses, PSG paid Salary has been discounted by nearly 50%.
3. UEFA unlimited
PSG is not short of money. The only thing that hinders it is UEFA’s Fiscal Fairness Policy (FFP). The FFP controls the team’s balance of payments and strictly stipulates that the loss cannot exceed a certain amount, otherwise it will be punished. However, due to the new crown epidemic, the economy of each team has been greatly devastated, and FFP has become useless.
4. PSG's self-sufficiency
In addition, PSG's best thing is to sponsor itself. The team has losses, and reliable external advertising sponsors can make up for it. A large number of companies under the Qatar Investment Bureau, such as Qatar Airways, Qatar Bank, Qatar Telecom, etc., sponsor hundreds of millions of euros to PSG every year. In addition, Nike’s AJ and France’s AccorHotels Group are also its sponsors. Paris's commercial revenue in 2020 is as high as 360 million euros, which is only less than Barcelona, ranking second in football.
Finally, the relationship between Nasser, the president of PSG and Čeferin, the president of UEFA, has made Paris no worries about spending money. In the previous storm of the UEFA Super League, Nasser refused to join, making great contributions to the collapse of the UEFA Super League. In addition, beIN Sports, a subsidiary of Qatar Investment Authority, is UEFA’s largest privileged broadcaster, and it can be said that it is the father of UEFA. It is precisely with such a close relationship with UEFA that PSG can make such a storm.