The Premier League is the biggest money-spinning league in Europe and today it is the hunting ground for a growing list of investors, particularly from the US. Well known English football agent and consultant Scott Michaels, who counsels and advises international club owners on behalf of Football People states an increasing amount of investment companies are interested in club takeovers in other parts of the world. He explains further how his consultancy and agency aids new buyers in the purchasing process.
"At the moment we have both world investors looking at US opportunities and particularly American investors most interested in UK availability. Monetizing commercial opportunities that previous owners have been unwilling or unable to exploit, is what makes buying right now the most attractive for US investors. New American owners could also look to tie-up their take over club with any of the major US sports franchises, as English clubs offer their elite level knowledge of soccer. More critically, US buyers value the television rights deals as a golden opportunity to turn a useful profit. Compared to any other assets these financial experts may have, football clubs in the UK appear relatively cheap especially considering the amount of incredible history there is associated with them. History is one thing you can't just manufacture over night. These clubs will continue to increase in value as time goes on and they are also limited in their position. Unlike US leagues, the EFL won't let investors create a new club to enter the top leagues. So the league can't be diluted. Any new clubs would have to start at the bottom of the pyramid and with the next FIFA World Cup hosted in the US in 2026, the time to take a piece the most watched soccer league in the world is definitely now. We expect soccer to blow up in America over the next five years and will see even more take overs. Other investors are looking at opportunities to expand their assets in America whilst this soccer boom takes place."
Whilst the UK distances itself from Europe post-Brexit, the bond between the US and the UK is growing stronger. We expect the money, which was once coming into the UK from European countries to be replaced with finance from America and that's where the opportunities lie for the US investors. Culturally the UK and the US already share their similarities and Scott Michaels says his operation is exactly what new buyers are looking for.
"I've spent over five years in America advising as well as trading with my footballer fashion and style brands, Stylo Matchmakers and Hairbond United Kingdom. Since networking with buyers, whilst acquiring assets for my US catalogue, I have been inundated with the amount of interest in the availability of British clubs, our culture and UK brands, first hand. Whilst US investors are researching the UK opportunities, I am back on English soil, equipped with a turn key solution for new club owner clients.”
Whilst Scott Michaels continues with acquisitions on behalf of new owners and consulting clubs in the UK, Football People already has strong connectivity into the US as well as run the mandate for a professional US soccer league. Scott explains that there are two paths to consider when it comes to new buyers purchasing a football club, one of which involves taking advantage of the systems his agency has in place.
"Buying a football club is a lot easier said, than done. The way I see it there are two options, you can either take it on independently or you can extract value from Football People. If a buyer is confident in taking it on alone, my advice is to forget any past experiences in purchasing. Admittedly buying a football club is not a straight forward process. Most attempts that neglect assistance will run into a list of unforeseen problems and find the process to be extremely costly. I'm not saying it's impossible to orchestrate a takeover alone without experience, however most new buyers will need to hire a lawyer anyway, in which case hopefully one who specialises in football clubs. Instead of working to the clock, Football People take complete care of the buying process and only work on a small commission. Most charge for time and it's not in their interest to move as fast. As experts in this field, we structure deals quickly and have built a network ready to plug in to any takeover. If a plan doesn't sit right or we think there are better options, feedback will always be provided. Football People is only about connecting buyers to sellers and our operations work on the more challenging aspects."
As well as offering the services to acquire a new club, Scott Michaels on behalf of Football People, also offer assistance in asset and player management due to their wealth of connectivity in the game.