Flamengo intensified the promotion of a subscription system with raffles and prizes for its fans while facing strong financial uncertainty due to the ban on sports betting driven by the regime of Luiz Inácio Lula da Silva.
The initiative, called Torcedor Premiado, allows supporters to subscribe for R$ 1.99 during the first month and R$ 15 monthly thereafter. In return, they receive benefits and participate in daily raffles for an iPhone, R$ 125,000 weekly, and a brand new car each month. Part of the revenue generated from subscriptions is allocated to the club and would help contain the football crisis driven by Lula.
Lula's regime banned online betting and the Brasileirao cast doubt on the continuity of football in Brazil
The program was officially presented on September 16, before the ban on betting houses decreed by Lula on the 25th. However, Flamengo has intensified its promotion on social media amid the crisis triggered by the regime's decision and the search for new sources of income.
The economic situation is particularly concerning for the management of Mengão. Its contract with Betano, the main sponsor of the jersey, is valued at around R$ 268 million annually and is currently on hold while the future of the regulations is defined.
Flamengo warns of a strong economic impact
The club's president, Luiz Eduardo Baptista, known as Bap, stated that the ban could generate losses close to R$ 400 million annually when considering the agreement with Betano and other contracts indirectly linked to the betting industry.
Luiz Eduardo Baptista
The executive warned that the impact could force Flamengo to review expenses in men's and women's football, Olympic sports, and other areas of the institution. He also publicly expressed his doubts about how to meet already assumed financial commitments, including payments related to player signings.
Bap also demanded that any regulatory changes have a transition period and questioned the regime's abrupt change of rules after having authorized companies to operate, invest, and enter into contracts.
The club took its fight to the Supreme Court
Flamengo's management went to the Supreme Federal Court to support actions seeking to suspend the ban and was accepted as amicus curiae in the proceedings discussing the constitutionality of the measure.
The club argues that the disappearance of legal platforms will not eliminate betting, but could favor the underground market, while also reducing resources allocated to football and other sports.
