Kieran Maguire: Celtic ‘guarantee success’ as new £21m payout confirmed
Celtic have been able to ‘guarantee success’ in Scottish football by maintaining a financial lead over domestic rivals.
That is the view of finance expert Kieran Maguire, who spoke exclusively to Football Insider about the pros and cons of Celtic’s business model.
The Glasgow giants paid off a long-term loan of £21million this month after it was taken out by the club in 2001.
Celtic took out a loan with Co-op bank to help with the club’s overall cash flow, and 22 years later, the club’s repayment plan has finished.
Since then, the Scottish outfit has not taken out any further loans and has proved to be financially stable, with profits of £6.1million in their 2021/22 accounts.
Their financial status has translated to performances on the pitch, with Celtic securing a treble in 2022/23 under Ange Postecoglou.
Maguire praised Celtic’s business model but believes it has also negatively affected their European progress.
“Celtic have had a financial lead over the rest of Scottish football for some time now,” Maguire told Football Insider’s Sean Fisher.
“Clearly, the problems Rangers faced from 2012 onwards have contributed to the gap in the domestic game.
“Celtic’s business model has always been one of aiming to get a breakeven approach, with one player sale each year to generate income for transfers.
“Paying off their remaining debt is a relatively minor issue as the loans weren’t significant, but having a proven model means that Celtic have been able to avoid taking risks with finances.
“This has also had an impact on their success, as Celtic have essentially been able to guarantee success domestically by looking after their finances.
“European progress has, however, been limited as Celtic have been unable to assemble a squad that can handle the challenges of European football.“
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