Do soccer player registrations meet the accounting concepts behind the recognition of intangible assets? A discussion of the European context. (3rd January 2022)

• Record Type: Journal Article
• Authors: Campa, Domenico
• Is Part Of: International journal of sport management and marketing. Volume 21:Number 5/6(2021)
• Page Start: 348
• Page End: 364
• Publication Date: 2022-01-03
• Subjects: accounting for player registrations -- Financial Fair Play -- FFP -- player registration transfer -- transfer fees; Sports administration -- Periodicals; Sports -- Marketing -- Periodicals; 796.069
• Languages: English
• ISSNs: 1475-8962

Abstract

Soccer player registrations are accounted for as intangible assets in the financial statements of soccer clubs. This study provides a discussion about the main accounting concepts behind this type of accounting treatment for player registrations, namely the accounting definition of intangible assets and the matching principle of accounting. The article argues that the way player registrations are currently accounted for in soccer clubs' annual reports is in line with the matching principle of accounting, but the actual rules behind the transfer of player registrations do not allow them to strictly meet the accounting definition of assets. This paper aims to generate a discussion about the rules governing the transfer of player registrations. Moreover, it proposes potential changes to registration transfer rules aimed at enhancing the level of control that clubs have over their player registrations.