The findings are part of The State of the Game 2004 report, launched by Sir Trevor Brooking CBE on November 25, 2004 and published by Birkbeck’s Football Governance Research Centre in association with business and financial advisers, Grant Thornton.
It also reports that pressure groups such as supporters' trusts are expanding their role and influence.
Almost eight out of ten Premier and Football League clubs continue to be concerned about their level of debt.
Cash flow management also appears to be improving through the adoption of more cautious procedures. Fewer clubs chose to increase their overall level of debt and more clubs disposed of some assets, deferred capital expenditure and extended credit periods from suppliers.
“Risk evaluation and board approval of three-year business plans are both up – from less than half of clubs responding to the survey last year, to almost two-thirds of clubs this year’”, said Professor Christine Oughton, director of the Football Governance Research Centre.
“In part this may represent a reaction to the ‘Leeds United Syndrome’ but there are other factors such as the threat of point deductions for clubs that go into administration that may have triggered greater attention to these measures.”
Joe McLean, partner within Grant Thornton's Recovery & Reorganisation practice, said: "Over the last three years, much of the football industry has moved from a 'monopoly board' style of management to one that is much more responsible, regulated and broadly under greater scrutiny than ever before.
“However, this does not mean that clubs are finally living within their means, as many clubs are still playing with fire when it comes to financial management. The industry as a whole is gradually moving in the right direction, but much more needs to be done to ensure that improvements are sustained.”
