NEWSLETTER-2019-metin

Corporatization of Football Clubs* Att. Tuna Colgar Introduction Many of the football clubs operating in Turkey still continue their activities under the names of associations. The budget structure and the level of income and expenditures of the football clubs, particularly the ones that operate in the Turkish Premier League and Turkey League 1, have exceeded the level of management under the structure of as- sociations. With corporatization of football clubs having the status of association, it is aimed to strengthen the financial structure of football clubs, and to ensure that these football clubs operate in a modern and efficient manner. The corporatization of football clubs having the status of associa- tion provides advantages in two main areas, those being economic and structural. Economic Benefits With joint-stock company structuring, which enables the trade to be made more flexible and effective than the commercial activi- ties of the associations through commercial enterprises, both fields of activity may be expanded and income diversity is ensured. Due to extensive regulations of the Articles of Association of the joint stock company to be established, rather than the limitations of the associa- tion statutes which are very difficult to change, the operation of the activities regulated in the Articles of Association that are allocated to future activities will provide a great advantage in terms of income diversity and the evaluation of revenues as investments. * Article of April 2019