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Dublin: 8 °C Thursday 23 May, 2013

Column: Galway United chiefs are risking economic stability for short-lived success

Former CEO of Galway United writes about how other League of Ireland clubs have heeded advice to rein in spending on their playing squad – but how he feels Galway Utd are risking it all to do the opposite.

Nick Leeson

THIS FRIDAY, 1 JULY, marks the opening of the transfer window for Airtricity League of Ireland Clubs. Usually the start of a transfer window is met with some excitement. Followers of the English Premier League clubs would eagerly scour newspapers and other media sources for the next big-name signing and see how their team is faring against their competitors in the buying and selling stakes.

It’s not quite the same here in Ireland. Transfer fees are very much a thing of the past. Certainly in the last two or three seasons any transfer between Irish clubs has been geared towards reducing the playing squad rather than trying to increase it.

Initially you would think that this year will be no different.

The Football Association of Ireland and their Compliance department have done a fantastic job in recent years of putting manners on the constituent clubs. Gone are the days of the high-profile failure of former League Champions Shelbourne, Drogheda, Cork and Derry. All were chasing the financial Holy Grail of European Cup qualification and assuming all sorts of risk to achieve this. Not just financial risk by overspending and inflating salaries but in the case of the latter, operating a dual contract scheme that attempted to shield the real payments that were being made to players.

The FAI deserves to be applauded

Those days are gone and the Football Association of Ireland deserves to be applauded. Some will argue that it has robbed the domestic game of some of its better players but anyone with a bit of hindsight will see that football in Ireland is in a far better place than it was. All of these regulations through the guise of the UEFA Club Licensing Process have been extremely successful.

The 2011 season marks a watershed though. The Airtricity Premier Division will expand from ten teams to twelve at the end of the season. The top two teams from the First Division will be promoted automatically, the team that finishes third will feature in a play-off against the team that finishes bottom of the Premier Division. So there is an awful lot to play for.

With the exception of one team in the Premier Division, barring any rules being broken, all are sure of their position in the Premier Division for 2012. There is no need to speculate wildly for any of them: sensible decision making should be the order of the day.

Dundalk FC were the first to announce that they would not be increasing their players budget during the window, thankfully for their supporters,
they will not be reducing it either. Drogheda United may look to source new players; they started with a more than realistic budget and may have some purchasing power to secure their Premier Division status into 2012.

Looking higher up the league, UCD and those above are already safe enough and have no need to take on more risk. Bohemians are over-achieving with their reduced budget and the rest will battle it out for European qualification.

Every opportunity should be taken to stabilise Galway United

Reports last week suggest that every player at Galway United is up for sale. My old club, Galway United, languish at the bottom of the league. They have the worst point record of all 21 League clubs, the worst defensive record of all the 21 league clubs and the equal poorest scoring record in the competition. Sources close to the club suggest the weekly playing outlay is close to €4,000 as opposed to the €2,500 that was paid at the end of the 2010 season. This is against the advice of many representatives of the League and the FAI who advised caution, especially with the season that was in it.

Economic conditions dictate that every opportunity possible be taken to stabilise the club rather than pursuing the folly of success on the pitch. Targets set by the Management Committee to sell season tickets, increase funding and balloon support have all failed. To my mind, this has nothing to do with legacy debt that is largely underwritten by the directors. It is a simple case of over-trading – revenue is far less than
expenditure. I believe whoever signed those playing contracts is at fault and I believe they will pay the ultimate penalty, whether that is simply relegation or something more serious for the long-term future of the club.

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Comments (10 Comments)

  • First he’s lecturing us on the economy, and now he’s lecturing us on running a football club. Two things he is SPECTACULARLY bad at. Please spare us this nonsense.

    Reply
  • For one I hope the Journal hasn’t paid Mr. Leeson for this Fairy Tale. Nick has some cheek lecturing the present Managment Committee of volunteers on what to do.

    It will take 10 years to sort out the mess left behind by Nick if we are lucky and its a wonder he answered the phone to the Journal as some of our biggest creditors who are owed substantial sums since over 5 years ago when Nick was Cock of the Walk in Galway. He signed contract with various people the day before he left his perch in Terryland which have cost the club far more than the playing Budget which he has actually overstated.

    Reply
  • Its a disgrace that the Journal would allow this drivel to be published. How someone who was part of the ‘days of the high-profile failure ” can write as an independent columnist is beyond me.
    Would Mr Leeson please elaborate on the plans that he had in place when he was GUFC’s CEO to ensure that the books were balenced? What was the level of debt that Mr Leeson allowed the club to get into while he supported Tony Cousins to bring in a huge number of players on inflated wages?
    He was also the CEO who brought in the current management/coach with a range of promises of future budgets.
    Why didnt he explain the huge debts that the board left behind, debts that the current structure has had to agree to pay off as part of the current LOI license.
    Galway United’s current management structure has been completely hamstrung by the over expenditure of Mr Leeson and his board and all the problems exist because all fund raising efforts by the voluntary supporters (not a paid ceo) to recify his mistakes have been pumped into ensuring that GUFC continues.
    Also Mr Leeson is wholly inaccurate in what the weekly outlay is.

    Reply
  • Dodge 28/06/11 #

    The last paragraph is a disgusting piece of propaganda. No mention that the vast majority of debt accrued under Leeson as CEO? No mention of the disgraceful haggling over the control of the club instigated by Leeson which saw Galway with less than 2 weeks to sign a squad for this season.

    Yet he’s happy to cite ‘sources’ within the club for overspending their meagre budget this year. A budget handed to a manager that Leeson signed to a (relatively) high paying contract

    The rest of the article is full of half truths and nonsense too.

    Reply
  • This is a disgusting piece of disinformation that Lord Haw Haw would have been proud of. I always considered Journal.ie to be a fairly balanced media outlet but to have let this piece be published when it contains statements that have clearly not been verified yet are presented as fact would suggest that editors and journalists at Journal.ie do not regard journalistic professionalism as fundamental to their output. Or is it a case that they had their heads turned because of Mr. Leesons supposed celebrity status and thus felt no need to question the content of the article. Either reason is a sad indictment of Journal.ie

    Reply
  • Staggeringly awful stuff.

    How can you describe club licensing as successful when it didn’t prevent any of the madness you describe above? If it can’t prevent a club doing what Derry City did, what the hell is it for?

    As for the comments on Galway United- perhaps you would care to share with us what the debt level of the club was at the end of each year you were in charge? The vast, vast majority of Galway United’s problems are down to the disastrous legacy of the previous regime in my opinion.

    Reply
  • I actually think this is so bad, that some in Journal.ie should really make a comment as to why it would see fit to publish something so poor, and indeed no doubt offencive to those that have followed Galway Utd. Very disappointed…

    Reply
  • Nick Leeson is in no position to lecture the management of any football club on profligate spending in pursuit of short-term gain.

    The allegation that the club’s playing outlay has almost doubled is a serious one and potentially very damaging finally for the club. If the Journal had any sense they’d withdraw it.

    Reply
  • You not only have a cheek Nick but you are showing that you have absolutely no respect for your fellow colleagues within the airtricity league. How you can congratulate the FAI on their implementation of the Licensing process when Galway were awarded a Licence to play this year and yet less than four months later yet another crisis is occurring at the club is unbelievable. I have great sympathy for those who are left with the mess you created to sort out and would not wish to see Galway’s demise however you know you sailed very close to the wind for far too long there and got away with it with the assistance of the FAI so I suppose we shouldn’t be surprised.

    Reply

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