Michele Kang committed to funding London City Lionesses after £10.6m loss
London City Lionesses chiefs insist Michele Kang will continue to fund the club’s growth after they posted a £10.6m loss for the 2024-25 season, when they won promotion to the Women’s Super League.
US billionaire Kang, who also owns French side OL Lyonnes and NWSL team Washington Spirit, injected £12.5m into London City Lionesses via her vehicle YMK Holdings during a year in which revenue grew slightly from £700,000 to £900,000.
Their reliance on benefactor funding led auditor EY to highlight a material uncertainty over their business operations, although the club and Kang’s Kynisca group say her commitments on future support allow them to prepare the accounts on a going concern basis.
“We have had the benefit of working with Michele across all of our clubs for a number of years. We’re aware of the bigger picture,” Kynisca chief financial officer Paul Morton, who also sits on the board of London City Lionesses, told Morning Wire.
“We’ve seen her track record of funding. We’ve seen the commitments that she has made in writing to all of the clubs. We prepare the accounts on a going concern basis because we see the projections, we see her funding commitments, and we go, ‘yep, happy days’.
“The auditors, by the way, have confirmed their satisfaction. They have also seen those commitments but they just flag that, because Michele is the key source of funding that therefore there is that uncertainty, but it’s very typical and, net, we agree it’s a going concern.”
London City ‘have plan to be sustainable’
Kang’s deep pockets have helped the WSL’s only independent club not only attract big-name talent to cement their place in the top division this season but also accelerate plans to build a female-centric training complex in Kent.
London City Lionesses are expected to record another significant loss for the current season, having spent heavily on star players last summer, but CEO Martin Semmens says they are on a path towards sustainability.
“I think the most important thing Michele said to me when we first met, and still says to me every day, is that she believes so much in what we’re doing, that every penny that we spend is an investment, not a cost,” Semmens said.
“The other thing she is clear about is she wants us to find a business plan towards sustainability. We want to be sustainable not because Michele is sitting there saying, ‘I don’t want to make investments’. She wants to be sustainable to prove that she’s right about the business model.”