Financial Fair Play
ABOUT MFL FINANCIAL FAIR PLAY (MFL FFP)
Financial Fair Play (FFP) is a set of regulations established in Malaysia by the Malaysian Football League (MFL) in order to promote financial stability and fair competition among football clubs. Introduced in season 2024-2025, FFP aims to prevent clubs from spending more than they earn, thereby avoiding excessive debt. The rules encourage clubs to operate within their means, focusing on sustainable growth and long-term planning.
Under FFP, clubs must break even over a monitoring period, primarily by balancing their spending on employee salaries with revenues from sources such as income from sponsorship, matchday ticketing, MFL financial distribution, government grant, merchandising, transfer income and any other income for the particular season. Clubs that violate FFP rules may face sanctions by FFP FIB First Instance Body (FIB), sanctions may be imposed such as caution, fines, minus points, ban from hosting home matches, exclusion from MFL competition, withdrawal from MFL financial distribution, transfer ban and squad size restrictions.
Under FFP, clubs must break even over a monitoring period, primarily by balancing their spending on employee salaries with revenues from sources such as income from sponsorship, matchday ticketing, MFL financial distribution, government grant, merchandising, transfer income and any other income for the particular season. Clubs that violate FFP rules may face sanctions by FFP FIB First Instance Body (FIB), sanctions may be imposed such as caution, fines, minus points, ban from hosting home matches, exclusion from MFL competition, withdrawal from MFL financial distribution, transfer ban and squad size restrictions.
OBJECTIVE OF FFP
- These regulations aim to promote financial stability and sustainability among football clubs playing in MFL competitions.
- Ensure clubs' ability to fulfill salary and welfare payments to employees.
- Encouraging football club's financial responsibility.
- Preventing football club's financial defects and liquidation.
- Safeguarding football club's long-term sustainability.
- Protecting the integrity of the MFL competitions.
- These objectives collectively aim to foster a healthier and more sustainable financial environment within a football club, ensuring that football clubs operate within their means with proper financial management.
HOW FFP WORKS?
Clubs Responsibilities
FFP performs monitoring 6 times in a season as stated in the MFL FFP Regulations edition 2024-25. The football clubs are required to submit the following documents:
- Interim Financial statements for the month/months depends on the requirement of the submission as stated in the MFL FFP Regulations edition 2024-25 and must contain the following information:
- Income/Expenses
- Statutory declarations declaring if there are any overdue in payments towards employees and agencies.
Any club's failure to comply with the submissions and deadlines set in the MFL FFP Regulations edition 2024-25 may face strict sanctions as stated above.
FFP REGULATIONS
List of Members in Financial Fair Play Administration
Administration
HEAD OF DEPARTMENT | Vijash Naidu |
FINANCE OFFICER | Ishvinder Singh Dhaliwal |
First Instance Body
Chairman |
Member |
Member |
Member |
Appeal Body (AB)
Chairman |
Member |
Member |
Highlights and Development
SEASON 2024-2025 Events and Activities:
- Webinar - MFL Financial Fair Play Introduction - 25 April 2024
- MFL Financial Fair Play Implementation - Season 2024-2025 - 10 July 2024
- Negeri Sembilan Football Club FFP Administrative Visit - 10-13 Sept 2024
- Kedah Darul Aman Football Club FFP Administrative Visit - 8-10 Oct 2024
- Perak Football Club FFP Administrative Visit 15-18 Oct 2024