An insider 49ers document recently leaked details of their plan to turn Leeds United into a £1bn club by 2030. Details were laid out on how they hope to achieve it in the next few years, which included spending on players as well as infrastructure, including stadium expansion.
With Leeds now in the Premier League, the 49ers hope to accelerate the development and growth of the club over the next few years and turn the club into a real financial juggernaut through smart investment and spending in key areas, including player transfers.
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The American consortium are expecting to grow the club’s revenue to around £300m by the end of the 2028/29 season, as part of achieving the £1bn valuation in the next five years.
The whole plan is heavily dependent on Leeds staying in the Premier League, and the club are prepared to increase transfer spending over the next few years to ensure that they remain healthy and competitive in the top flight.
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Football finance expert takes a look at the 49ers plan for Leeds United
Stefan Borson, a football finance expert, has admitted that it is a very realistic goal set by the 49ers, provided Leeds remain a Premier League club.
He stressed that a lot will depend on whether they can take their revenue to exceed the £300, which he believes would need Leeds to qualify for European football in the next few years.
Borson stressed that it’s a perfectly achievable ambition, but the Premier League’s financial rules and the threat of relegation are the key concerns for Leeds owners.
“I think it’s very realistic if they can stay in the Premier League”, Borson told Football Insider.
“By 2030 is not a particularly aggressive plan, but it depends on how they’re going to move that revenue line. They’re only going to move the revenue line if they’re higher in the league, potentially in one of the European competitions, and then having the knock-on of the commercial deals that go with that.
“Also, with the stadium, I can’t remember what the plans are, but if you build 10,000 extra seats, then you’re going to generate another £10m a year, maybe of stadium revenue.
“But on the sort of metrics they’re talking about, can we get revenue to £300m? If we get revenues to £300m, can we justify it being worth 3.3 times revenue, which is £1bn, right? That’s in simple terms, can they get to £300m of revenue?
“Well, what’s going to happen to the TV deal? That could be easily worth £200m of TV money over the next five years, so then you’re going to find another £100m from commercial on matchday. Is that doable? Feels like it.
“There’s your £1bn valuation. Let’s see where we go. In very simplistic terms. So, it’s a perfectly fine ambition.
“It’s just the problem is loads of clubs have got an ambition to move up the table. It’s easier said than it is to do, and it’s very hard to maintain it.
“We know how competitive the league is, and then of course, you’ve got layered on top of that all of PSR, so how do you do it within those restraints? And if PSR goes, what does PSR look like? What does a replacement look like?”
Leeds fans are asking why the 49ers didn’t spend more in the summer
A £1bn valuation sounds impressive on paper, but fans are surely asking why the 49ers held back on summer spending if the real goal is to keep Leeds safe in the Premier League.
Leeds’ squad cost is not huge compared to Premier League rivals, and it is clear that the recruitment team left the squad short in the attacking areas.
The Whites have not scored a goal from open play, and the two strikers they signed, on free transfers, have combined to score 34 goals in the last four seasons and are injury-prone.
The 49ers are talking a big game about turning Leeds into a £1bn club. However, they need to back that major spending on transfers, as recent history has shown that promoted teams are struggling more than ever to survive in their first season back in the top flight.
The plan of spending £300m over the next three years sounds good on paper, but that will not be good enough, even if Leeds survive this season.
Relegation back to the Championship next season will not only derail their plans, but they will have to start all over again to return to the top flight, which is not a given in the second tier despite the parachute payments.
The immediate ambition must be to just stay in the Premier League, and if early indications are right, the 49ers didn’t walk the walk in the summer transfer window.
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