Top 5 football clubs in debt

Recent times have shown a prime shift in the superpower of the footballing world owing to some billionaires taking over football clubs which were in a desperate need for money. While many have showed themselves to be successes, there are noteworthy and mention-able exceptions.Here are the top fivefootball clubs in debt(who are or have been in debt).Note: The order of clubs are based on the amount of debt and the direct consequences of that debt and how badly it has affected their performances on and off the field.

#5 Borussia Dortmund

Their total debt is valued around $82 million.

The 2012/13 Champions League finalists have a squad ravaged by injuries, which has led to a considerable dip in their performances. But it’s not hidden from anyone that they have continuously, for quite some years now faced issues of financial mismanagement and debt.

In 2004, the club faced its worst time financially, which led to the sale of the naming rights of their home stadium, Westfalenstadion which was then called the Signal Iduna Park.

The financial situation also resulted in a drop in player wages, which ultimately led to the transfer of their main man Tomas Rosicky to Arsenal in 2006.

The situation improved thereafter to some extent but their capability to retain key players and compete with the richest in transfer windows has come under scrutiny again.

In the last three years, this German club has seen the likes of Nuri Sahin, Shinji Kagawa, Mario Gotze and now Robert Lewandoski leave for bigger and better financially backed clubs.

#4 Barcelona

Barcelona currently has a debt of $156 million .

While their El-Clasico rivals have adopted the strategy of buying superstars, this club from Catalonia have invested in youth and turned them to superstars. But not spending on superstars has never been an easy job in football, especially in recent times.

The reason why Barcelona once lost Pep Guardiola as a player, due to a lack of monetary recognition, was an eye-opener for them as they now understand the power of money. Some of the current Barcelona contracts have in them some of the highest wage-bills throughout Europe.

After all it’s not child’s play to keep the likes of Messi, Iniesta, Xavi and many others in the same team without any quarrel. This accounts for a major chunk of their current debt.

#3 Real Madrid

Real Madrid have a debt of $ 165 million.

It’s highly unlikely that Real Madrid does not make it to any list in football. In 2000, under president Florentino Pérez Real Madrid launched an ambitious Galacticos project which saw them buy superstars in every transfer window.

The additions of this project in recent years have been then world record signings Kaka (£57 million from A.C. Milan) in 09’, quickly followed by Cristiano Ronaldo (£82 million from Manchester United), and the most recent and the current world record holder Gareth Bale (£86 million from Tottenham Hotspurs).

While there have been mixed reactions about the success of this program among fans and critics, no one in their right minds would argue that all these big money signings have not burdened the financial side of this Spanish club. The only legitimate reason to a major extent for their debt is the Galacticos project.

#2 Arsenal

The Gunners' current debt stands at 29% of their overall team value i.e. $384 million.

Arsene Wenger described planning a move to Emirates stadium from Highbury as the ‘’biggest decision in Arsenal's history’’. Ironically this decision is also the biggest contributor to their debt. The construction of the Emirates stadium has no doubt brought development but also increased their list of concerns.

Arsenal have to pay around £15 million each year to cancel the stadium debts and then make their profits above paying the rent. This has directly affected their transfer window proficiency. While others splash in excess they have been operating – some would say cautiously but a lot would say cheaply?

Recent transfers have shown that Arsenal have seen more good players leave the club than coming in. The likes of Cesc Fabregas, Samir Nasri and Robin Van Persie are examples of such who left the north Londoners for better suitors.

While the inadequacy of winning a silverware remains their top concern, the financial backing of the club hasn’t been great either and continues to haunt them as they still are far-far away in terms of being the best club in England.

#1 Manchester United

Manchester United's current debt accounts for around $569 million, more than any other football club on the planet.

The biggest club in England is also the team with the maximum debt.

The Glazer ownership of Manchester United football club have looked to secure heavy bank loans against the Club’s assets, thus increasing the club's debt, which has not yet been repaid completely.

Also the current ownership status allows a good part of United’s profit income each year to go to the Glazer family to nullify their market debt, rather than use the money in transfer windows to buy the needed players.

Before the Glazers took over Manchester United, this club broke the British signing record book five times in almost two decades – Bryan Robson, Gary Pallister, Andy Cole, Juan Sebastian Veron and Rio Ferdinand were all British or World Record signings.

However in the recent years this hasn’t been the case. Far from it, the club has lost out on plausible targets time and again because of not having enough money in the bank with examples being Eden Hazard and Lucas Moura.

There are strong rumors as to the budget to be provided for the re-building of the club this summer to be around 100-150 million pounds, which seems the appropriate amount but seems very far fetched considering their current state of debt.