US soccer: Adopting Germany’s 50+1 rule a necessity

UNTERHACHING, GERMANY - OCTOBER 27: A mud covered match worn jersey of Leipzig during the DFB Cup round two match between SpVgg Unterhaching and RB Leipzig at Alpenbauer Sportpark on October 27, 2015 in Unterhaching, Germany. (Photo by Alexander Hassenstein/Bongarts/Getty Images)
UNTERHACHING, GERMANY - OCTOBER 27: A mud covered match worn jersey of Leipzig during the DFB Cup round two match between SpVgg Unterhaching and RB Leipzig at Alpenbauer Sportpark on October 27, 2015 in Unterhaching, Germany. (Photo by Alexander Hassenstein/Bongarts/Getty Images) /
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German football reaffirmed commitment to the 50+1 rule last week. There is no such rule for US soccer. Here’s why it might be a good idea to get one.

A big thing happened in German soccer last week. No, Christian Pulisic was not involved, though that is the perception of all from the US soccer world. The DFB, German soccer’s ruling body, voted to retain the 50+1 rule, which, I guess, actually tangentially effect Pulisic and everyone else whose livelihood is tied to the game of football in Germany.

Why 50+1 matters

The 50+1 rule holds that a club may not sell a controlling interest of its ownership shares to a single legal entity. That means one corporation or one person is barred from having complete control of any club licensed by the DFB.

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In turn, that means that clubs that are in smaller cities, or in other ways limited in terms of their membership appeal, will also be limited in terms of the financial resources that they could draw upon for future development. Again, in turn, that means no wealthy interests can move in on such small clubs and turn them into instant contenders within Germany or, by extension, on the even bigger stage of European, continental and regional competitions.

Why it’s already in tatters

That sounds great in principle, but, in Germany itself, that rule is not nearly as monolithic as it seems. RB Leipzig, as everyone knows by now, has creatively found ways to subvert the letter of the 50+1 rule. Indeed, the “RB” in the club’s name and the red-horned cattle depicted on their kit do not represent the Austrian energy drink/sports and marketing conglomerate, Red Bull, except to everyone who sees those things.

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Additionally, there is an argument to be made that FC Bayern Munich—seemingly the club most benefitted by the DFB’s latest vote to reaffirm 50+1—itself is something of an exception to it. Bayern turned themselves into an international football identity a long time ago. Back then, whole countries had GDPs less than the transfer fee paid to Barcelona for the rights to Neymar, Jr. last summer. It would be nearly impossible for any club adhering to the 50+1 rule now to compete at such a level, something which is confirmed by a quick glance at the current Bundesliga table.

Indeed, the great disparity between the successes of Germany’s top-most club, Bayern, versus those of their lesser competitors (Borussia Dortmund, Schalke, and, for now, Leipzig) is one of the main reasons the DFB was forced to take a vote on the rule at this time. Big money wants into the Bundesliga because there is even bigger money to be made and greater glories to be won.

That is certainly what’s occurred in England’s Premier League. An overwhelming number of the world’s best players have become the staple of that league over its brief quarter-century history. International brands too have sprouted there on a nearly annual basis; who could have imagined Manchester City’s marketing appeal would one day eclipse Manchester United’s? Or that Liverpool would become the “Boston Red Sox” of international football (coincidentally the same ownership group)?

So why adopt a toothless rule?

Despite the noted lacking, I think the USSF should seriously consider adopting something like 50+1 now. The USL especially should begin lobbying for it. MLS is a single-entity league and can’t really espouse such a change in the landscape of US soccer business. Nor can the NWSL, which is still too much a part of the USSF.

The USL, on the other hand, is currently experiencing an incredible level of growth. It is forming itself into something resembling much more of a real pyramid than MLS is or could be, given its business model.

For two decades, the emphasis for MLS and all other leagues has been on facility construction and stadium financing. That was the official version of what did in the NASL: not enough of the right places to play. Up to now, it has been enough that someone with enough wherewithal wanted to “play”; the creation of “clubs” was, and remains, of less interest than the creation of teams with stadiums in which to play.

Sharper than a tooth

There’s nothing wrong with all of that, but there will soon come a day when fans will want more. Mainly, they will want assurance that whatever local accommodations they’ve made to host a pro team will not be forgotten or cast aside. If you think that day is far off in the future, think again. You only need to ask the people of Rochester about the “Rhino-sized” gap currently festering in their city to know that the feeding frenzy is already in full-swing.

The USL should get out in front on this as well because it could be a significant way to get themselves out from MLS’s shadow. Yes, I understand that there are MLS development teams in USL, but turning their league over to big brother in its entirety is not a good idea for North America’s lone, remaining Div II. And it would likely be even worse for those cities now vying to join the league as D3.

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Something like 50+1 is not a panacea to the influence of money in football; Germany’s own experience proves that. But adopting something like it in US soccer right now could ensure that the sprouts we see all around us now will have their best chance to take root where they’ve been planted.