Fútbol Club Barcelona is in crisis right now. Despite being the most valuable club in the world, with an annual turnover of 840 million Euros in 18/19, it is in great financial turmoil. Besides this, it has an aging squad in need of a revamp, it has looked severely outclassed in European competitions in recent seasons so they need to be more competitive on the pitch. There has been a lot of controversy surrounding the manager and he has become a very unpopular figure among the Cules.

Barcelona: Creation and Importance

Before we get to the points, let’s get to know a little history.
Football Club Barcelona (Barça) was officially founded on the 29th of November by Swiss, Italian and Spanish footballers and students in 1899 who were led by Senor Joan Gamper. He chose Claret and Blue as FC Barcelona’s official colors. Since then, it has become Barcelona and a shining beacon in the struggle for Catalan independence and self-determination. 

Not only is Barcelona the most successful club in Spain in terms of total trophies, but they were also one of the key founding members of La Liga, the Spanish league which is still active, in 1928.

Barcelona’s unique DNA and club philosophy is very rare not only in Spain but also throughout Europe. This has gotten them into very complicated Political struggles like in the 1930s when Barcelona was pressured by Francisco Franco and his supporters. Their club president was murdered by his supporters, their training complex and a lack of success all culminated into one of the darkest periods of Barcelona’s history.

Basic overview of the problems concerning FC Barcelona

Financial Instability (A large debt amounting to over a $1.6 billion; Not being able to register new players; Bloated wages; and clauses on players).

Lack of Success recently in Spain and especially in European Competitions.

Barcelona’s talisman, Lionel Messi has left the club which leaves a gaping hole in their team which they need to fill.

Inability to sell off many players to ease off the debt.

Instability in the boardroom with many recent sackings and departures such as the resignation and arrest of former president Josep Bartomeu

Causes of the crippling debt Barcelona face:

Barcelona has a large debt amounting to over $1.6 billion which is rinsing the club dry of its ability to invest freely. Though a football club the size of FC Barcelona having debt is normal, having such a large debt is very detrimental to the way Barcelona can do business in the transfer market and other areas. The causes of this large debt can be mainly attributed to these factors: 

• Financial Risk-taking.
• Mismanagement of club finances.
• No accountability and supervision of club’s finances.

An imbalance of the club’s expenditure and income.

How to solve this problem?

Well, this problem can be addressed through a multitude of solutions such as:

Selling the naming rights of the Stadium. 

It may look like an unpopular decision; however, FC Barcelona fans need not fret because the stadium, the atmosphere everything will remain the same, only the name will change. It is a form of advertising and FC Barcelona can earn a lot of money from this. This is the most short-term solution to paying off a hefty part of the debt.   

Compromise between being a fan-owned club and a public limited sporting company.

50 + 1 Rule.

Used mostly by German Clubs, the 50+1 rule by definition means that a foreign investor or investors can at most buy 49.99% of the club’s total shares, this has 2 main advantages: There can be a flow of money coming in from the investor, making the club less reliant on the money earnt through sporting success, sponsorship deals, and jersey sales.

Another iteration of the 50+1 rule, for the club to attract more investors, the board may allow foreign investors to have a certain amount of control or take a certain percentage of money out of the club.

Restructuring of the club’s board and hierarchy.

Addressing the CVC Investment. Plausible or not:

CVC Investments, a private equity firm is going to invest between €2.1bn and €2.2bn on La Liga clubs of which Barcelona is rumored to receive €280 Million. At first glance, it might sound like a dream investment deal, but they will take 10% of all club’s TV revenue for the next 50 years. It will be beneficial to smaller clubs, but if CVC goes on with the deal Barcelona will lose around €12 million in TV money every year which might severely hurt them. Although it will not be disastrous for Barcelona if they do accept the investment, however, it is recommended Barcelona find a better source of funding first before committing 10% of TV revenue for the next half-century.

Addressing Barcelona’s kit sponsorship:

• Barcelona has the 4th most lucrative jersey sponsorship deal with Rakuten. They have earned nearly $384 million since they signed on with Rakuten in 2017/18. In terms of sponsorships, Barcelona don’t necessarily need to look further than Rakuten if they’re willing to match the sponsorship deal, they previously suggested or better. However, Barca should look to someone else if they have a more suitable and lucrative sponsorship deal.

Addressing Barcelona’s state on the pitch:

• Haven’t won the League for 2 consecutive years (2nd and 3rd).
• Last won the UEFA Champions League in 2015.
• Have looked notoriously outclassed by other European clubs.
• Debatably have the weakest squad in a long time.
  

Players that should be let go to ease off the finances:

• Samuel Umtiti earns £ 208,000 per week.
• Miralem Pjanic earns £ 210,000 per week.
• Neto earns £ 65,000 per week.
• Clement Lenglet earns £ 70,000 per week.
• Antoine Griezmann earns £600,000 per week.
• Ousmane Dembele earns £ 210,000 per week.

Players that should be kept:

• Frenkie De Jong

Bought for upwards of $70 million, he’s quickly established himself as one of Barcelona’s most important and influential players, he has been one of, if not Barcelona’s best and most dependable players this season and the best thing is he has not yet hit his prime.

• Pedri

A magician with the ball at his feet, he’s quickly become a favorite of Koeman. He played more games than any other player in Europe last season and he’s only 18, he’s got a lot of potentials that is why FC Barcelona should look forward to keeping him.

• Ansu Fati

The Golden Boy of Catalunia, Messi’s rightful heir, what have we not called him? He is Barcelona’s Youngest Appearance Maker and Goal Scorer alongside the Youngest Champions League Goal Scorer and the Youngest Goal Scorer for Spain. He is quickly proving to be the real deal for Barcelona.

• Gavi

He is fresh off from being Spain’s youngest capped player and being the star of the show in his first-ever international game vs the reigning European Champions Italy. He’s already shown incredible maturity and skill to perform so well in the games he has played in.

• Sergino Dest

Bought for a hefty sum, Sergino Dest already looks like the heir to the Right-Back spot in FC Barcelona’s team, he is incredibly pacey, direct, and dynamic and we hope that FC Barcelona retain him for the future because he looks like a bright prospect.

• Eric Garcia

A former La Masia product, Eric Garcia has had a tough start to life on his return to FC Barcelona but he is still young, has experience playing in the upper echelons of football with tons of potential and room to improve

Where is Barcelona weak?

Barcelona is weak in 4 main areas:

Centre Back 

Their options in this position are either too old or just frankly just not good enough to play in a reputable and competitive team like FC Barcelona.

• Centre Midfielder (Defensive Midfielder)
  Sergio Busquets, Barca’s starting DM is a fantastic player on his day but he’s getting on in age and it is time for FC Barcelona to move on. Nico Gonzalez, young and promising but he’s not proven himself in the top level yet and will take time to grow into the player the club needs.

• Backup Left Back
  Barcelona have only 1 senior left-back, they need more depth in that position, other players can play in that position but over a season Barcelona needs a player who can reliably play there when called upon.

Centre Forward
Barcelona needs a young, versatile, and quality purebred Centre-Forward who can not only consistently score goals but also contribute to the build-up and can weigh in with a defensive contribution.

Should Barcelona appoint a new manager?

Not the ideal option, however, he is one of the only options considering FC Barcelona’s financial situation. FC Barcelona is not financially secure enough to hire a better manager who would take more wages, neither do they have the financial stability to terminate his contract. He has had flaws such as being too rigid and inflexible with his tactics, allegedly showing grudges, and ignoring or mismanaging players, however, he can be credited with incorporating many young players into the squad, and he cannot be blamed for the deteriorating and aging squad, so it is advisable for FC Barcelona to stick with him for the foreseeable future.

Direct Replacement for Messi?

Messi is Messi… Not only does he contribute very much to the team in terms of goals and assists, but his name is also a brand in itself. He brings in tons of merchandising revenue, sponsorships, etc. No one can truly replace Messi, neither in the hearts of the FC Barcelona supporters neither in terms of contribution on the pitch or off the pitch. However, Barcelona can do other things to lessen the blow of losing their Talisman, Captain, Leader and the greatest player in the club’s history. Barcelona does not have the money to invest in a superstar figure, however, they can invest in cheaper players, preferably players on the last year of their contracts, players such as Matthias Ginter, Kessie, and Paulo Dybala have proven themselves to be capable in football’s highest stage, yet they can be bought for free if their contracts do expire. Barcelona can also look to sign probably the most in-demand player in the world right now, Erling Haaland for less than 60 million in 2 years. Yes, Messi is Messi however as the manager of a team you are more or less bound to build the team around him, so losing him is a big loss of course but losing him also enables FC Barcelona to be more flexible with the team.