Supported by Fans, Owned by Members
Real Madrid is structured as a member-owned cooperative society. The members have owned and operated the club since its inception, more than 100 years ago. Spanish cooperative clubs like Barcelona and Real Madrid cannot be listed on the stock market and can only raise finance from fans.
The club can also afford to spend spectacular amounts on transfers also because its annual revenues have made it the biggest club in the world. According to Deloitte, Real Madrid’s revenues reached £440m in the 2011/2012 season.
Currently on his fourth term, President Florentino Pérez has throughout years led a campaign of acquiring the best football players in the world, including Luis Figo, Zinedine Zidane, David Beckham, Ricardo Kaka and Cristiano Ronaldo. While Pérez’s policy focused on exploiting the club’s marketing potential has attracted some criticism, the club’s ownership structure has been praised by a number of senior football figures, including UEFA President Michel Platini. The French football legend said he “loved” the management structure of Real Madrid and Barcelona because the members remained responsible for the club and their decisions.
Read the full article by Anca Voinea.
Source: Co-operative News