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The impact of LaLiga standings on club financials—report

Marca goes in-depth on the financial impact placed on LaLiga results

Real Madrid v WFC Zhytlobud-1 Kharkiv: Group B - UEFA Women’s Champions League Photo by Angel Martinez/Getty Images

A LaLiga club’s final placement in the standings has a direct financial impact on them, according to a report from MARCA.

The television rights deal signed with LaLiga affects the money a team earns at the end of the season based on league placement, according to the Royal Decree Law. The law reportedly is spilt into two parts that are distributed equally between all 20 Spanish clubs.

The first part is based on ‘social implantation’, which relies on season ticket and average box office sales over the last five seasons. It also relies on individual participation each club makes in regard to creating resources that can be used for broadcasting.

The second part is based on actual match and standings results. It is reportedly a total of 25% of all revenue generated from the law, 17% of which is given to the LaLiga title winner. It trickles all the way down to the last-placed LaLiga club, who earns only .25% of that revenue. Amongst the top 8 finishers in the league there is a €7 million difference between each club’s finish in the standings.

MARCA provides a financial breakdown of the television rights deal that is distributed this season, which amounts to a total of €361 million just based on standings.

Real Madrid classifies for €61 million for winning LaLiga this season, which is 17% of the total distributed throughout the league. The total earnings Real Madrid will actually collect is based on standings over the last five season.

The club takes home 35% of the earnings as champions this season, 20% for finishing second last season, 15% as champions three seasons ago, and 15% for finishing third in the last four and five seasons.

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