My Thoughts On the Glazers And Potential Sale Of Manchester United

Sporting franchise owner Malcolm Glazer crossed the Atlantic 9 years ago to make investment in the English game and went for the biggest football team in the world, he landed for himself a sporting cash cow, Manchester United. In the wake of the transaction that saw his family business become the largest shareholding entity in Old Trafford he also threw a hitherto healthy club into heavy debts of over 700M GBP. He heralded an influx of American businessmen going to make investment in the EPL as Liverpool and Aston Villa got taken over by George Gillet & Tom Hicks; and Randy Learner respectively.

The coming of the Glazers was not welcomed by so many Manchester United fans worldwide mainly because a club of Manchester United’s status should not go that way of massive debt, well that notion we share too till the introduction of the Financial Fair Play rule (FFP).

The Glazers are smart business men as evidenced from their successes in sporting franchise over the years and that fact makes it almost impossible for them to allow Manchester United get drowned in debt and eventual demise. No, not the Glazers with their business acumen Manchester United will probably not ever be debt free as long as they remain owners and that is for good financial reasons. However, Manchester United will most likely not run foul of the FFP because simply put ‘smart business men don’t spend money they don’t earn’ and that is what they represent. Under the Glaziers Manchester United has spent just enough to remain competitive, what we would like to refer to as prudence at its best. The cash cow must not die approach to doing business.

The club is estimated to have approximately 10% of the World’s population as its fans and that is definitely an enormous target market. The Glaziers need to remain in United for longevity of the club and should ignore short term success or worst sell to another Glazier like mind business men. With the advent of the oil rich tycoon in the EPL there was huge expectation in some section of Manchester United faithfuls who want the club to be bought over by oil tycoons. That in itself might bring on field success but net profitability of the club might also dwindle as evidenced by clubs being run by oil tycoons in Europe .

The Glazers has done well for Manchester United and should naturally continue we think or return the club back to the people through the stock market.

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