FOOTBALL IN CRISIS

The whole world of football is experiencing a period of financial crisis, and it is being felt particularly acutely in Azerbaijan. Unlike foreign clubs, Azerbaijani teams usually depend on one man. Because of economic problems, top businessmen are reducing the size of their funding of clubs or giving up providing money altogether. As a result, most of Azerbaijan's premier league clubs are experiencing a financial crisis. At the same time, the clubs themselves are not being very professional. For example, Baki, which has the most developed infrastructure, plays in the First Division. Then there are the foreign imports representing the club who have complained to FIFA about non-payment of wages, the total debt of which amounts to over 3m dollars.

Xazar-Lankaran, once known as the "Chelsea of the Caucasus", is also in the grip of financial problems. FIFA has given this club time to pay its debts, but so far nothing has been received. Sanctions may be expected very soon and Xazar-Lankaran could be deprived of six points, banned from taking part in European competitions for two years or relegated to the First Division if the debt is not paid back soon. The club owed 800,000 dollars to former imports Galin Ivanov, Eder Bonfim and Renato Moreiro.

Ravan, Inter and even Neftci are also having problems. The latter owed the Belgian Emile Mpenza 800,000 euros. Ravan and Inter must settle their debts before the end of January. If they are not paid the clubs can expect tough sanctions, which could even lead to their closure.

To get out of this situation the clubs need a coherent policy. During the transfer of foreign players relatively cheap options should be sought, at the same time offering good prospects for the player. There is no point throwing millions at foreign players who are nearing the end of their career. It is also possible to attract foreign companies as shareholders and to allow them to run the club. Work in the marketing sphere is also required. Finally, clubs can earn money from selling players' shirts and other accessories. Cafes and other outlets at the grounds will also help bring in extra income.

Lack of action cannot be justified by the excuse that you can't earn money from Azerbaijani football. The example of Qarabag and Qabala proves quite the opposite. Here, it is a matter of choosing the right strategy. Both clubs have obtained sound income from the sale of tickets for European cup matches. Added to that, UEFA transferred 5m euros into their accounts for taking part in the group stage of the Europa League. Inter, who just missed out on the group stage, received 510,000 euros. Of course, all this income is linked only with European cups, but with a sound marketing strategy profit can be made from the domestic championship, too.

On the other hand, there must be a reduction in the transfer fees of domestic and foreign players. Whereas in the past players have demanded up to 500,000 dollars a year, they are now having to agree on 50-60,000 dollars. And the current level of wages is closer to a realistic level. In the past, a shortage of good domestic players led to an unjust increase in payment for their services. With a limit on foreign players, clubs were forced to fight for domestic players and offer inflated sums. For example, the Azerbaijani national team goalkeeper, Kamran Agayev, who received up to 250,000 manats a year at Xazar-Lankaran, was transferred to Baki for a larger sum. He is now playing for Inter for 5,000 manats a month.

In an interview for R+ football manager Vaqif Heydarli said that players' wages will continue to fall. "There are not usually big and expensive transfers during the winter transfer window. And the clubs themselves are starting to economize. We are already seeing a reduction in the transfer fees of players and this process will continue. Whereas in the past players were demanding 500,000 manats, now they are happy to settle for 50,000. And that's a realistic value. In the past sums were far too excessive for a number of reasons. Two to three years ago players had a wide choice of clubs. But now they have been forced to agree to the conditions offered them. And this could be a motivation for development. After all, until now our players haven't wanted to go abroad, earning more money at home. But now, if you want to earn a good wage you have to go abroad. We have virtually no players who would cost 500-600,000 dollars. With the exception of one or two players all have artificially raised their prices," Heydarli said. 

The clubs, for their part, should indicate wages only in manats in their contracts. The devaluation of the manat has added problems for the clubs because wages have been indicated in foreign currency. If foreign players don't want to be paid in manats, then the exchange rate at which the wages are converted into foreign currency must be indicated.

Following devaluation, there were a lot of problems with foreign players and coaches over this, some of whom even preferring to terminate their contracts with Azerbaijani clubs. Naturally, all the aforementioned problems have led to a reduction in the level of the Azerbaijani championship. Now, only four clubs are competing for the European cups. But Xazar-Lankaran and Ravan may not even finish the championship. At the moment, an annual budget of 3-4m mantas is sufficient for a club of average level. Teams which have set themselves the task of success in European competitions must reckon on major expenditure.

Players cannot adjust their income by moving to foreign leagues. And Azerbaijani players appearing in the European arena would also please the fans to a greater degree.