FIFA FFP & Club Licensing 2 — Questions and Answers
Question 1: Under UEFA's Financial Sustainability Regulations (replacing classic FFP), what is the maximum permitted squad cost ratio by the 2025/26 season?
- 70% of club revenues (Correct answer)
- 80% of club revenues
- 60% of club revenues
- 90% of club revenues
Correct answer: 70% of club revenues
UEFA's new Football Sustainability Regulations cap squad costs (wages, amortization, agent fees) at 70% of revenues by 2025/26.
Question 2: Which body is responsible for issuing a UEFA club licence to a club competing in UEFA competitions?
- The national football association or league (Correct answer)
- UEFA's Club Financial Control Body
- FIFA's Governance and Compliance Committee
- The Court of Arbitration for Sport
Correct answer: The national football association or league
Under the UEFA Club Licensing system, the licensor is the national member association or top-division league designated by that association.
Question 3: In the UEFA break-even calculation, which of the following is classified as a 'permitted deviation' that does NOT count against the break-even deficit?
- Spending on youth development and women's football (Correct answer)
- Transfer fees for star player acquisitions
- Agent fees paid on senior transfers
- Wages for first-team coaching staff
Correct answer: Spending on youth development and women's football
UEFA allows clubs to exclude spending on youth development, women's football, and community/infrastructure from the break-even calculation as permitted deductions.
Question 4: What is the maximum acceptable aggregate break-even deficit over a monitoring period under UEFA's classic FFP rules (pre-2023)?
- €30 million over three years (Correct answer)
- €5 million over three years
- €50 million over three years
- €20 million over one year
Correct answer: €30 million over three years
Classic UEFA FFP allowed a maximum aggregate break-even deficit of €30 million over the three-year monitoring period.
Question 5: Under FIFA's Club Licensing Regulations, which criterion category specifically covers requirements related to a club's stadium and training facilities?
- Infrastructure criteria (Correct answer)
- Sporting criteria
- Financial criteria
- Legal criteria
Correct answer: Infrastructure criteria
Infrastructure criteria address the physical requirements including stadium standards, training grounds, and medical facilities.
Question 6: When a club has 'overdue payables' to other clubs or employees, which UEFA licensing consequence applies most immediately?
- The club may be denied a UEFA licence or receive a sanction (Correct answer)
- The club is automatically relegated to a lower division
- The club's players are suspended from international duty
- The club's stadium is closed for UEFA matches
Correct answer: The club may be denied a UEFA licence or receive a sanction
Overdue payables to clubs, employees, or authorities are a key indicator that can result in licence denial or UEFA sanctions.
Question 7: Which term describes the UEFA process whereby a club in breach of FFP enters a negotiated compliance plan with reduced sanctions in exchange for commitments on future spending?
- Settlement agreement (Correct answer)
- Voluntary restriction order
- Financial probation
- Break-even waiver
Correct answer: Settlement agreement
A settlement agreement allows clubs to voluntarily accept agreed measures (transfer embargoes, squad size limits, fines) to avoid heavier sanctions.
FIFA FFP & Club Licensing 2
Under UEFA's Financial Sustainability Regulations (replacing classic FFP), what is the maximum permitted squad cost ratio by the 2025/26 season?