FC Barcelona negotiates terms to fix financial issues

Camp Nou with iconic mosaic made by fans / FC Barcelona

After years of financial instability, FC Barcelona’s fate has finally begun to turn around with a very important restructure of the massive debt and removal of certain economical limits.

Under the direction of Josep María Bartomeu, FC Barcelona sustained very poor economic practices, buying players for rather hefty fees and basically not selling any. This resulted in the accumulation of a big debt with numerous parties. Last year the club added 100 million euros to the already existing net debt of 488 million-euros. During the last Presidential elections, this topic was seen as one of the most important ones and Joan Laporta promised to try his best to fix it.

However, according to Bloomberg, the biggest note holders with 200 million euros worth of the debt have agreed with the club to soften the debt terms, including the removal of limits on indebtedness and financial expenses. Furthermore, back in January the U.S. debt holder had also waived these terms. This would allow some breathing room for Barça and the liberty of using current revenues towards possible summer transfers/signings, rather than having to pay the debt this summer.

Additionally, if revenues that have been affected due to Covid-19 begin to flow again, the club could also face this situation from a much more optimistic perspective and begin the return to a more path.