Success or failure in competition can wreak havoc with the finances of a sports business.
To deal with these uncertainties, many sports governing bodies have developed specific rules to work through members’ financial difficulties. Most well known is the “football creditor rule”, but other sports may also create special regimes.
In addition to that, the matrix of industry specific contractual rights, intellectual property, employment and other legal areas, make financial problems in the sports sector difficult to understand.
That raises risks for stakeholders in these businesses but can create opportunities for the right investors.
To help clients navigate these areas Fladgate has put together a focussed team drawing on expertise of its specialists in a range of areas.
Some of the areas of legal advice covered would include the following:
- Advice on strategic options open to directors or stakeholder of distressed business bearing in mind specific insolvency regimes in some sports
- Emergency fundraisings, asset disposals or corporate restructurings
- Acting for insolvency practitioners appointed as administrators or other insolvency office over businesses
- Representing buyers of distressed sports businesses and assets
- Planning transactions where insolvency risks are feared
- Asset recovery, fraud, breach of duty or other litigation proceedings