Barcelona are in “dire straits” as their finances have been laid bare as the club are in serious debt and face serious risk of bankruptcy.
The latest financial figures show the La Liga giants’ debt stands at £ 1.1bn (€ 1.2bn) of which £ 648m (€ 730m) is short term while that £ 236million (€ 266million) is due to be paid to banks by June 30.
spanish edition El Mundo say the La Liga giants are “on the verge of bankruptcy”.
The report also highlights the fact that 74% of the club’s income goes to player salaries – a figure that exceeds the league’s 70% limit.
The Barcelona team typically receive their salary in two installments each year, one in June covering the first half and one in December covering the second half.
The December payment shortfall – which covers July through December – is expected to be closed in February.
Barcelona will also be concerned about the huge sums still owed to other clubs, with some of those players still being paid by the Catalans, even more in the Camp Nou books.
Barça owe a total of £ 112million (€ 126million) to other clubs, the report says.
They still owe £ 26million (€ 29million) to Liverpool for the signing of Philippe Coutinho in 2018.
Meanwhile, Ajax owe Frenkie de Jong £ 14million (€ 16million) while Bordeaux owe Malcolm £ 9million (€ 10million).
Each club requires their respective payments before June 30.
Barcelona also owe Gremio and Bayern Munich money over the deals involving Arthur and Arturo Vidal respectively. Neither player is at the club anymore.
“The financial situation in Barcelona is absolutely desperate,” journalist Guillem Balague told talkSPORT, explaining that some of their huge debuts can be paid off in stages.
“But the urgent and urgent debt is around 700 million euros,” he added.
“It means that they haven’t been able to pay the full salaries of the players. They are paid in two statements, and the one for December / January has not been fully paid!
“So how do they fix this?” Well some are saying that maybe by selling some of Barcelona’s assets it could be players and it could be part of the club.
“But it’s a very complicated situation that the presidential candidates, with elections on March 7, may not feel brave enough to discuss at this point.
“But big, huge decisions have to be made for Barcelona to survive this.”