Prague Economic Papers 2012, 21(4):504-521 | DOI: 10.18267/j.pep.437

Financial Conditions and Transparency of the Czech Professional Football Clubs

David Procházka
Department of Financial Accounting and Auditing, University of Economics, Prague (prochazd@vse.cz).

The UEFA approved the Club Licensing and Financial Fair Play Regulation in 2010, which governs the requirements on transparency and financial conditions of football clubs participating at the European cups. The paper focuses on the specifics of Czech professional football clubs. The research is carried out in two ways. Firstly, the compliance with information duties set up by Czech commercial law is analysed. According to the performed empirical survey, a significant number of Czech football clubs submit their financial statements to the Business Register with a delay or they do not submit the statements at all despite the submission is mandatory. This unsatisfactory state of affairs boosts the risk of bankruptcy of football clubs rapidly taking into account an overall poor financial health of Czech football clubs, which is evidenced by the second part of empirical study.

Keywords: information duty, transparency of financial reporting, financial health, Czech professional football clubs, UEFA´s Financial Fair Play
JEL classification: G30, L83, M21, M41

Published: January 1, 2012  Show citation

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Procházka, D. (2012). Financial Conditions and Transparency of the Czech Professional Football Clubs. Prague Economic Papers, 21(4), 504-521. doi: 10.18267/j.pep.437
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