Football

'Reckless spending threatens future of M-League clubs'

KUALA LUMPUR: It may seem like a simple shift from FA to FC, but old habits die hard in the M-League.

Even after clubs were privatised, many continue to rely heavily on state government funding, a holdover from when most were managed by state FAs.

The Malaysian Football League (MFL) was set up nearly a decade ago to improve the M-League's management, but problems like unpaid salaries and clubs folding persist.

There have been calls for the MFL to return to the FA of Malaysia (FAM) to reduce operational costs. However, this is unlikely to solve the chronic issue of poor financial management within clubs.

Former Perak FC chief executive officer (CEO) Yunus Zakariah believes many M-League clubs are still unwilling to let go of outdated practices.

"Many clubs only know how to spend recklessly, which is why they end up with nothing, leading to unpaid salaries," said Yunus, who has been involved in sports marketing since 2006.

"If they don't change, some clubs might 'die off'."

Yunus added that state governments can no longer afford to financially support clubs as they once did.

"Some clubs think success on the pitch will attract sponsors, but it doesn't work that way.

"Proper administration is key to attracting sponsors. It's not just about trophies. Most clubs have no infrastructure and are in debt."

According to Yunus, most M-League clubs fail to operate as proper business entities, focusing too much on on-pitch performance and neglecting governance. This often leads to failure.

"So, what's the solution for the M-League, given its repeated failures and slow progress?

Yunus believes the issues can still be addressed with "out-of-the-box" solutions.

He proposes a franchise system where the MFL handles the commercial rights and assets of M-League clubs.

He cites the Canadian Premier League (CPL), which is run by Canadian Soccer Business (CSB), an independent agency managing corporate partnerships and media rights, as a model for Malaysia to consider.

"A franchise system could work here, with the MFL managing revenue streams like corporate partnerships and media rights, including kit sponsorships," Yunus suggested.

"This would allow clubs to focus on match-day revenues. Currently, most clubs struggle to generate income and overspend.

"With a franchise system, league organisers could control the clubs' budgets and spending."

"Of course, any new system must be tailored to the Malaysian context, but the focus should be on how much revenue is made and how it's spent."

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