The Main Portuguese SAD´s Comparative Study between the Economic and Financial Viability and the Success of their Sports Clubs

Abstract

The object of this paper is to assess theprofitability of the four leading Portuguese SociedadesAnónimas Desportivas (SADs)1 by comparing theeconomic and financial data of each SAD with therespective sports results of the clubs attached to theseSADs. The methodology followed the various stepsinherent to this type of paper, all the while adopting botha qualitative and quantitative approach, i.e. a hybridapproach. Initially, we took on an interpretativeparadigm, as the elements necessary for research arisefrom the observation and analysis of data. We began byincreasing our scientific knowledge on the subject ofanalysis: SADs, sports results and balanced financialstructures. This was followed by a characterisation of thesector and a thorough analysis of both the accounts andthe sports results of the SADs and the clubs. Thereafter,we crossed the data from these two analyses andcompleted the project with a number of key measures toachieve both financial and sporting success. Finally, itwas possible to conclude that a Sociedade AnónimaDesportiva can, in fact, achieve satisfactory economic,financial and sporting levels if a number of guidingprinciples are adopted. Principles that, wheninterconnected through a virtuous cycle, generate greaterrevenue and consequently profits, contributing to abalanced financial structure, conducive to more victoriesand naturally titles, which in turn provide increasedrevenue, thereby bestowing coherence to the virtuous cycle.