You may get it all wrong if you are thinking of financial profit first. Profit is not the only motivation for owning a club, there are many underlining benefits derived and utilized by investing in this rare asset.
Pro football clubs in Nigeria have long been owned as well as funded by state governments, hardly ever attracted interest from local or foreign investors, but the potentials of some top clubs as well as the football market in the country are something that hasn't been duely considered or utilized.
The popularity of the English Premier League in Nigeria has always pointed to us the potentials of the football market and how large it is. If only we can get that audience to watch the Nigerian league and get them committed in following some of the top clubs like Eyimba, Enugu Rangers, Kano Pillars... Then, we'll discover there are billions and billions of dollars that can be derived from such large followership.
1. Can Be Financially Profitable At The Longrun
Many may argue with this, because it is yet to be seen in Nigeria. Private owners and government put in so much money in running their clubs yearly, but the clubs hardly ever make money, not to talk of breaking even from their dealings.
But research has shown that Nigerian football consumers are not adverse to the domestic leagues and tournaments. If the right invests are made, it will surely attract a lot of interest.
Imagine, Africa's richest man Aliko Dangote buying over Kano Pillars, invest substantial financial capital and deploy the business expertise of the Dangote group to manage the club into a high performing asset. Kano Pillars could begin to make profit at the longrun.
Kano Pillars has shown all the potentials to become profitable. Kano Pillars won NPFL three consecutive seasons. One club that still attract 18,000 full capacity audience into Sani Abacha stadium in their normal league games
Enyimba has shown in 2003 and 2004 that with proper funding and management, Nigerian clubs are capable of performing at the highest level. Governor Orji-Uzor Kalu regime moved Enyimba to win both NPFL and Caf Champions league back to back. But you see, government can never get clubs to perform at that high level for a long time. As soon as Orji Uzor Kalu left office, Enyimba fell back to dulldrum.
Capitalizing a football club and keep it competitive...performing on the pitch consistently, winning more valued trophies like NPFL, Caf Champions league trophies and competing at the Fifa World club championships will endear loyality among local supporters. This will also attract a large number of global TV audience and consequently corporate sponsorship at different level. By this, the asset of the football club will continually appreciate.
2. Football Club Is A Rare Asset, A Statement of Class
Owning a top performing club is a rare asset, just like a fine art painting, classic car, a collection of fine wines or gems as gold and diamond. Their scarcity and desirability gives them intrinsic value for interested purchasers.
Indeed, owning a football club is a statement that you’re at a certain level as a businessman,
3. Used for Social and Political Goodwill
However, it isn't all about making financial profit. Many private owners of some defunct clubs like Late Moshood Abiola, owner of Abiola babes, Late Emmanuel Iwuanyawu who took over and renamed Spartans to Iwuanyanwu nationale, Bukola Babes, FC IfeanyiUbah has enjoyefc'political good will due to the popularity they enjoyed through ownership of clubs.
Moshood Abiola was alleged to have won Nigeria Presidential election in 2012, Saraki became Senate president in 2015 and Ifeanyi Ubah just elected into the house of assembly in the just concluded election 2019.
4. Used to Foster Football Related Businesses
Owning a football club enhances both your business visibility and good will, especially with businesses which often have connection with football or who made products that football supporters might buy. Investors like Kunle Soname, owner of Remo stars in Nigeria professional football league and top European football club – Clube Desportivo Feirense, has leverage on these clubs to build the most popular Sports betting brand in Nigeria, 9jabet.
