ISL clubs oppose hike in entry fee, threaten withdrawal

Panaji: Indian Super League (ISL) clubs have told the All India Football Federation (AIFF) and the sports ministry that a “significant number of clubs” will be compelled to reconsider their continued participation in the top tier, if the federation implements the proposed model in its current form.In its recent meeting with AIFF representatives and officials, clubs were informed that in addition to the ongoing commercial tender process, the federation intends to levy an entry fee on all participating clubs from next season, ostensibly to offset the loss of revenue following the departure of the erstwhile commercial partner.FSDL, the previous commercial rights holders, paid AIFF Rs 50 crore annually for all commercial rights and conducted the top tier league on its own.

Now, the governing body is guaranteed of approx. ₹12.4 crore annually in “administrative fees” if Genius Sports gets the nod.Club officials said the understanding during the meeting was that each of the 14 clubs would pay Rs 3 crore to make up for the deficit.“AIFF has confirmed that there will be a franchisee fee for participation,” FC Goa CEO Ravi Puskur told TOI on Thursday. “At the same time, clubs are still waiting for clarity on the economics of the league.

If clubs are being asked to invest further, there must be transparency on the commercial model, the cost structure and the potential upside for those building the product.The proposed model has left the clubs in discomfort.“It is deeply concerning that, rather than adopting a collaborative approach to rebuilding the league’s commercial framework, the current stance appears to treat ISL clubs as cost centres,” the clubs said in an email to AIFF deputy secretary general M Satyanarayan on Friday.

“Should the proposed model be implemented in its current form, a significant number of ISL clubs will be compelled to reconsider their continued participation.

”The AIFF has, however, refuted claims that the clubs would have to pay Rs 3 crore each, a 200% hike from this year’s truncated season.“There will be some participation fee, but the idea is not to burden the clubs,” said Satyanarayan. “We have to take the proposal to the executive committee, general body, and only then take a final call.

Whenever the club owners want, we can also fix a meeting with the AIFF president. The AIFF, clubs and commercial partner will have to work together to make the ISL grow into a viable venture for all stakeholders.”Worried clubs said the there is no clarity or assurance of central revenue generation or distribution to clubs in the commercial framework that has been proposed to them at the last meeting. Imposing an additional financial burden in an uncertain revenue environment is neither prudent nor sustainable, the clubs pointed out, adding that most of them have already fulfilled their financial commitments in the form of participation fees for a 10-year cycle.“In the absence of central revenues this season, clubs have independently borne the entirety of operational costs, including player and staff salaries, matchday operations, and grassroots commitments. These expenditures have continued despite significant financial strain, with several clubs incurring losses far exceeding initial projections.“Importantly, these losses were absorbed in good faith, including at the request of the sports minister (Mansukh Mandaviya) and under assurances that the long-term future and sustainability of the league would be duly addressed. The introduction of an entry fee at this juncture would therefore further exacerbate an already untenable financial position,” said the clubs.