Bukayo Saka’s image rights company, ‘BS7’, have released their accounts up to July 2023 with a significant increase in equity.
The 22-year-old has become a mainstream star recently following a number of impressive seasons for the Gunners after breaking into the senior team back in 2019.
During two campaigns in which his side have been fighting for the Premier League title, Saka has been Arsenal’s talisman with his fame outside of football growing following the release of his own sauce at popular restaurant chain Nando’s.
6.1million people now follow his Instagram page and as a result of his growing popularity, Saka has seen two companies set up in his initials and shirt number to manage his image rights and any other investments.
Considering his influence, it is no surprise the companies are growing, with the value of fixed assets in his investments company having risen in value to £5.7m as of July 2023 over the previous financial year..
His image rights company has reported an increase of £1m of assets and equity to £2.3m over the same period and Chief Business of Football Writer for Reach, Dave Powell, has explained exactly why the company exists along with how it benefits a player and their future.
“In recent years the addition of image rights agreements in player contracts has taken on far greater significance,” he said.
“As players have become brands, in some cases being even stronger and compelling to younger generations that the social pull of the clubs themselves, players and agents have realised that the brand value that exists, and how it can be monetised.
“Saka, through his BS7 Rights Limited firm, is not on his own when it comes to creating an image rights company. There are plenty of elite players globally who have such companies set up, and there is good reason for it from their perspective.
“When a club signs a player they are not only acquiring a talent to aid their competitive goals, but an asset that the club can use to help generate greater revenues through their marketability.
For existing or would-be commercial partners, the ability to have their brands associated with top players is compelling and leads to a willingness to pay higher sums to the clubs themselves.
“But it is the player’s image, one related to such things as name, trademark characteristics, squad number, social following, and other areas, and players are now switched on to knowing that they must look after their own interests.
“When a club signs a player one of the key agreements to be reached is regarding images rights, and what the club can expect from their player when calling upon them to appear in marketing campaigns for commercial partners.
The two parties will attempt to reach as much common ground as possible so that there is little confusion about what is expected of them during a campaign from a commercial perspective. It removes any potential for legal issues.
“If a commercial partner wants to use a player for a campaign then the club would have to call upon the player within the confines of the image rights agreement in place and the licence that has been obtained.
In creating an image rights company, the player will sell their rights to the company itself and will then receive a fee paid directly to the firm from the club for use of their image rights.
“It is also beneficial from a tax perspective, with that money received taxed at a 19% company rate as opposed to it being subject to the 45% tax rate that would be applied to players through the salary received from the club.
For some players, such methods work as something of a savings account throughout their careers ahead of taking out funds at a later date for them to invest in other areas in later life.”
