This is a relatively new concept of fans investing money into supporting their favourite sports clubs. It is growing in popularity as more fans are getting involved within many different sports. In the beginning the concept was geared more towards rewards, but now some clubs are keen to start with equity crowdfunding models as well. Which is quite enticing for some fans and creates excitement. To be able to own a part of your favourite soccer club for example. The story behind all of this is very simple, some clubs are just not financially fit. Like in other crowdfunding stories, raising capital is very hard.
Stars such as Gianluca Vialli have said “that crowdfunding in football clubs will be a norm within ten years“. The norm could be here sooner than you think. Well known sports clubs have one major intangible asset, they are global brands with large international, online fanbases. With millions of engaged supporters all over the world, waiting in the wings to get involved, if need be. So for clubs that are struggling with financing and their supports. Crowfunding could solve two key issues at once, financing and fan engagement. It is very reasonable for a sports club to consider this, reasonable terms for raising money and more involvement from their fanbase.
Let’s not forget as well that different types of crowdfunding models could be applied within different sports. It could be straight donations for smaller local community clubs for example, that have little financial support. Rewards could be used in combination as well, for both amateur and professional teams. Simple rewards like autographed jerseys for fans in exchange for certain pledges. We then arrive at equity crowdfunding, which can be very exciting for some fans. In the equity example, shares of a club could potentially be sold to fans that are interested to invest. They can grow their investment and support their club at even greater levels than before.