The League Management Company (LMC) has ordered 20 Nigeria League clubs that will compete in the 2013/2014 season to give in details of their sponsorship deals for verification and approval.
The LMC said that the request to “submit all existing and new sponsorship contracts” is in line with Article 6.3 of the league rules which states that” in all league matches.
The demanded sponsorship negotiations papers from the clubs by the League include outfits advertisement, and however requested notification before commencing negotiations.
“All contract terms and conditions between clubs and sponsors/partners must be forwarded to the League for approval. 10% of the total cost of the package shall be paid to the League.”
In a statement issued by the Operating Officer of the LMC, Salihu Abubakar, said the directive is a reminder to the clubs is based on previous communication on their sponsorship including shirt deals.
Abubakar cautioned the clubs to comply or face sanctions, insisting that the company is out to protect all existing contracts it has sanctioned and also wants to protect “existing benchmarks for the brand to ensure equity for all in the League.”
“(The) LMC is expecting to evaluate the validity of all commercial deals/sponsorship to protect existing contracts in line with the rules and established benchmark for commercial value of all commercial platforms in the NPFL,” Abubakar stated.
Abubakar also disclosed that the LMC has decided to refrain from enforcing its 10 percent accrual from all club sponsorship deals for the time being as stated in the rule book.
But he said “we will also insist on deriving true value for our league and its associate products and services.”
He further cleared the air on the issue of shirt advertising deals and stated that the LMC will not allow the use of shirts with identical product advertising by two teams in the league or in a match.
“The league will not allow any one commercial sponsor for more than two clubs. Also, no identical advertising elements may appear on the shirt of two teams in the same match and where this occurs; the visiting teams must change shirts and may wear shirts with a different product of the same sponsor,” said Abubakar.
The clubs were also reminded that the logo of the title sponsor of the league must appear on the right sleeve of their team shirts as part of “the contract the LMC entered into with Globacom, our title right’s sponsor.”
The latest move by the LMC is a move to prevent the devaluation of the league as a brand after a number of clubs entered into advertising shirt deals with a multinational company for a season apiece worth around $62,500 (N10 million) each.