Barcelona Face more Trouble as their Debt Increase
According to the report, Spanish giants Barcelona have reported that their debt has continued to rise and now their debt stands at around €1bn (£890m).
The Catalan club had been expected to break the €1bn barriers for incomings this financial year, and all of this is a result of the coronavirus pandemic which has blown projections off course.
La Vanguardia claims that Barca is now trying to stave off insolvency as they owe a near-ten-figure-sum to creditors. Some months back, some of the players were asked to take pay-cut to help the club financially.
Recently, Barca ordered Lionel Messi to take pay-cut or leave the club that is how bad their debt is right now. It is claimed that €420m (£376m) of that debt has to be repaid in the next 12 months, making it the top priority for Barcelona’s next president, with elections set for later this month.
Each candidate has accepted that the club’s wage bill must be slashed, while incoming activity is unlikely in the winter and summer transfer windows.