Evo odakle dolazi lova u F1 i otprilike koliko
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A evo i ostatka, ali mi se neda prevoditi:
As you can see, race hosting fees are the major revenue generator. Given that their is only a limited amount of GP's that can be run in a given year, this has made it quite the commodity specially amongst countries that want to advertise their economic advancements and sell themselves as part of the 1st world. Not only have the fees increased about a 60 percent in the past five years, most contracts also include up to a 10% annual hike in the fee. No wonder circuits in countries that don't have a strong motorsport heritage tend to cry foul every year, specially when local or national governments withdraw their support or tax excemption expire. Please take in mind that the sponsorship money listed above also includes circuit/championship sponsorship (those Johnnie Walker, Santander, ING, DHL, Rolex signs). So actually circuits don't see that ad money in their balances, its the Rights holders that rake it in. But circuit mismanagement or mistreatment is not the point of this article. So back to the teams.
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Although F1 gets a 63% share of the profits, 47.5% comes before income taxes, depreciation and amortization (EBITDA). That means Prize money comes in close at a whopping U$ 800 million dollars. Yet here is where it gets a bit tricky.
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Red Bull, McLaren, Ferrari pull an additional U$ 100 m or 7.5% (whichever is greater) since they where the last constructors to win the title in the previous years before the new agreement was signed.This is called the Constructors Championship Bonus (CCB). In case you are wondering the CCB is split 37/33/30 respectively. I'm sure here many will whine about Ferrari, since it gets and additional 5% or 62.2 million dollars whichever is greater of the Prize money because they are the longest running team. Fair or not, whichever you believe it means the Italian squad racks in U$ 123 m before even taking into account current championship performance. No wonder the smaller teams are fuming about cost reduction.
Now, lets see how the actual prize money is distributed. Fist of all this is split half ways, into what I'll call Tier 1 and Tier 2 money. Tier 1 is distributed equally among the top ten teams and given the above numbers, would award each team U$ 40.8m. In order to belong to Tier 1, you must have placed 10th or higher in two of the last three championships. Tier 2 teams on the other hand are the Top 10 teams of the season. These winnings are spread percentage wise as the chart below shows.
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There is a "consolation" prize for teams that finish outside of the top. As listed below
Surprise, I'm actually a Ferrari fan so I'll use the Maranello team as an example. Given the above figures, if Ferrari where to become champions lets say, in 2015 (bet your local bookie would laugh at you right now) the team would be making U$ 240 m on championship winnings. Given that their annual budget is estimated to be U$ 300 m the team would be on the red for U$ 60 m. But hey, this is not taking into account team sponsorship deals. Remember Marlboro? Well it was said they alone pay Ferrari (deal runs out in 2015) about U$ 160m a season.
The F1 Manifesto
It's no wonder Ferrari and Red Bull are so blatantly against the cost cap, given that they are the highest payed teams before prize winnings.
I'm sure someone will denounce me as a communist after this, but I think the Tier prize money should be decreased to 40% of EBITDA and be equally divided amongst all teams. Then the CCB would be increased by 7.5% which is what we took from the Tier 1 money and be handed to the top 3 teams respectively in the last 4 or 5 seasons. If we face a full grid which is supposedly caped at 13 teams that would still give everyone a 50% bump in earnings for participating.
Obviously that isn't the only change I'd make. You'd have to add in a cost cap somewhere near of U$ 200 m mark, but also free up regulations. This would have added benefit of lowering the cost of part development for teams. Given the tight restrictions you just have to funnel to much money into lets say a front wing to gain half a tenth or maybe a tenth of a second. This could also attract a new wave of Adrian Newey's to the sport, and help the running order of a season change more quickly, thus making it more exiting for the viewer.
Now, you may argue that Ferrari receives that additional 5% of money, but with the cost cap in place, basically it would mean that in a championship winning year, they would most likely be racing for free. And that should be the direction where the sport is headed, profit.
Spending first, politics, second, winning third...
And the main motivation to all of us is to compete for victory, it's not to come 3rd, 4th, 5th or 6th. I race to win as long as I feel it's possible. Sometimes you get it wrong? Sure, it's impossible to get it right all the time. But I race designed to win, as long as I feel I'm doing it right.
I quote Ayrton Senna because at times it seems like the sport is slowly losing it's long term battle. Don't get me wrong, we've had some great past season filled with beautiful racing (although at times marred by DRS zones) but the general perception of the sport has become that the more you spend the more you win, yet there is only one winner. And that is why we need a cost cap. Sure the big teams can afford to spend upward of the U$ 300m mark, but in a time where sponsorship money is becoming more and more scarce, the sport needs to start reigning in on itself. Sure Ferrari can spend this much because it is their biggest marketing platfrom. You buy Ferrari's due to their heritage (aside from the fact that you are probably stinking wealthy). But what about the truly big manufactures? We've seen bigger manufacturers than Ferrari leave the sport because at some point the spending race surpasses the benefits of development and marketing a brand can get from a single channel.
It's no wonder Ayrton always expressed his love for karting, the lowest from of motor racing. Why, because it was all driver, machine second. Now-a-days we hear to much money talk. I'm not advocating for a series were there is one engine/chassis. I like F1 with its independent teams. I'd also love to see more manufacturers like Toyota, Volkswagen AG (under any of its brands), BMW, Ford (under HAAS) or any other to return to the sport. But it is the current F1 business model that drove them out. And that is why it is also important to protect the midfield and smaller teams. Their success on track will only attract more investment in the sport. Why? Because manufacturers as well as technology firms will see the positive impact they can have on the field, ultimately maximizing their return on investment.
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