On the pitch, things could hardly be going better for Enzo Maresca’s Chelsea. But as far as finance and governance operations behind the scenes are concerned, it is still very much wet cement.
The appointment of Maresca, which was led by Paul Winstanley and Laurence Stewart but sanctioned by Todd Boehly and Clearlake, is looking like a masterstroke.
But fans won’t lose sight of the fact that the Italian is already the fourth manager of the post-Roman Abramovich era, with over £1bn spent on new signings in that time.
Diagram illustrating the ownership of Chelsea, split between factions led by Todd Boehly and Behdad Eghbali
There have been countless personnel changes as well, with the owners having restructured and restaffed nearly every department at Stamford Bridge in the last two-and-a-half years.
Anxieties around Profit and Sustainability Rules (PSR) are still a cloud above SW6, not to mention the seemingly unresolved civil war between Boehly and Clearlake in the boardroom.
An infographic explaining how PSR (Profit and Sustainability Rules) work in the Premier League and UEFA
So yes, results on the pitch are extremely encouraging and last night’s 4-3 triumph over Tottenham from two goals down captured the vitality and optimism around Chelsea at the moment.
However, there is still some way to go before the private equity-backed consortium will have the unconditional confidence of bedrock supporters in West London.
When the new owners arrived in May 2022, they routinely briefed the media that they were unhappy with the setup they had inherited from the previous regime.
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Boosting revenue – especially commercial income from sponsorship, events and merchandise – was subsequently made a key focus area.
Infographic explaining private equity in football, the ownership model of Chelsea as well as several other Premier League clubs
There can be no doubt that the club has made some missteps in this department, with a somewhat left-field approach to partnerships and broader business strategy.
Chelsea’s failure to secure a shirt sponsor in time for the start of the season for the second campaign running is a costly mistake.
With the club having aimed for a £60m-a-year deal, that means Chelsea’s revenue will be around 10 per cent lower than it should have been if they had hit that admittedly lofty target.
Of course, there is a lot to be said for getting the right deal as opposed to the first one that comes along.
But Chelsea don’t have the luxury of foregoing major short-term revenue.
With that in mind, the latest developments from FIFA HQ in Zurich will be welcomed by Clearlake and Boehly, not to mention Maresca as he looks to capitalise on the momentum his side have built up.
Club World Cup: TV deal may be funded by Saudi Arabia
The Club World Cup, which Chelsea won for the first time in 2021, has historically been a relatively stripped back affair.
In 2023, reigning champions Man City had to win just twice to lift the trophy. There was only seven matches in the tournament in total.
Cesar Azpilicueta of Chelsea celebrates with The FIFA Club World Cup trophy following their side's victory during the FIFA Club World Cup UAE 2021 ...
Photo by Michael Regan – FIFA/FIFA via Getty Images
From 2025, however, the Club World Cup will feature 32 teams and 63 matches in total. It will also become a quadrennial event, having previously been played annually.
Chelsea, who have qualified for the Club World Cup as the winners of the Champions League three-and-a-half years ago, will play seven matches in total if they go all the way in the event in the United States.
Enzo Maresca’s side learned their group stage opponents on Friday in a glitzy, if somewhat chaotic, draw in Miami last Friday.
Chelsea’s Club World Cup group stage draw
|---|---|---|---|---|
||Team 1|Team 2|Team 3|Team 4|
|Group A|Palmeiras|FC Porto|Al-Ahly|Inter Miami|
|Group B|Paris Saint-Germain|Atlético Madrid|Botafogo|Seattle Sounders|
|Group C|Bayern Munich|Auckland City|Boca Juniors|Benfica|
|Group D|Flamengo|Espérance Sportive de Tunisie|Chelsea|Club León|
|Group E|River Plate|Urawa Red Diamonds|Monterrey|Inter Milan|
|Group F|Fluminense|Borussia Dortmund|Ulsan|Mamelodi Sundowns|
|Group G|Manchester City|Wydad|Al-Ain|Juventus|
|Group H|Real Madrid|Al-Hilal|Pachuca|RB Salzburg|
The centre piece of the ceremony was a pre-recorded video message from president elect Donald Trump.
That reflected the ambitions that FIFA have for the Club World Cup. They want it to rival the Champions League as the biggest competition in the club game.
However, there have been some teething problems so far.
Although they are now starting to roll in, FIFA had struggled to obtain sponsors for the controversial tournament.
Most significantly, FIFA had also failed to get a TV deal in place, meaning Chelsea essentially had no idea how much revenue they could expect for taking part. Real Madrid had budgeted for zero.
But FIFA have now announced that DAZN will pay around £787m for the exclusive broadcast rights, which they will stream for free internationally.
In the last few months, this reporter has been told several times that the state of Saudi Arabia were preparing to subsidise a TV deal on behalf of a broadcaster.
Fresh reports in recent days have heavily suggested that may be the case with the DAZN arrangement.
FIFA President, Gianni Infantino hands over the FIFA Club World Cup trophy to Cesar Azpilicueta of Chelsea following the FIFA Club World Cup UAE 20...
Photo by Francois Nel/Getty Images
The Telegraph are among the outlets claiming that Saudi Arabia are backing the deal financially.
The kingdom has a good relationship with FIFA, having hosted the Club World Cup last time around and being confirmed as the hosts for the international World Cup in 2034.
As the de-factor owners of Newcastle United, the broadcast arrangement also puts them in the unusual position if effectively bailing out a Premier League rival in Chelsea.
Chelsea had initially been concerned about receiving only a modest sum for playing in the tournament, but – although £787m does not match some early forecasts – the DAZN deal will be very encouraging.
Andre Villas-Boas reveals how much Chelsea could earn at Club World Cup
Andre Villas-Boas, Chelsea’s manager for les than a year in the 2011-12 campaign, is now president of Portuguese side Porto.
Villas-Boas also holds a role with the European Club Association, the representative body for clubs of which Chelsea are a member.
Speaking as part of his duties in that position, as quoted by Football.London, the 47-year-old gave Chelsea a glimpse of what they might earn at the Club World Cup.
Chelsea's Portuguese manager Andre Villas-Boas looks on before the English Premier League football match between West Bromwich Albion and Chelsea a...
Photo credit should read IAN KINGTON/AFP via Getty Images
“The European Club Association is still in discussions with FIFA to better allocate the amount to the European clubs,” he said.
“So it is estimated that the share will be between €16 million and €20m (£13.2m and £16.5m), and then it will obviously increase depending on the club’s performance.”
That is well below what FIFA had initially suggested, but performance-related bonuses could still make the competition extremely lucrative for Chelsea.
Then, the club’s commercial department – headed up by new CCO Todd Kline – will also be optimistic that the brand exposure provided by the tournament will increase their appeal to sponsors.
With PSR a concern, that will be extremely welcome.
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