Brazil Advances Football Club Reforms with New SAF Law and Lottery Funding Changes

Brazilian legislators are making significant strides in modernizing the financial and legal frameworks governing football clubs. On May 13, 2026, the Chamber of Deputies approved a pivotal bill updating the Sociedade Anônima do Futebol (SAF) law, aimed at curbing financial crises and enhancing transparency within clubs. Authored by Senator Rodrigo Pacheco and reported by Deputy Fred Costa, the bill clarifies that SAFs are liable only for debts explicitly transferred from their original clubs, limiting responsibility for prior obligations. It also prohibits judicial blocking of SAF assets for post-formation debts and mandates SAFs to distribute at least 25% of adjusted net profits as dividends annually while addressing legacy debts. The legislation further requires SAFs to publicly disclose detailed financial statements and establish educational and social development programs within a year. Notably, the bill promotes the growth of women's football, mandating its inclusion across lower divisions, and underlines the importance of independent SAF governance. Deputy Fred Costa emphasized that these reforms could position Brazil as a global leader in using business structures to boost football competitiveness.

Simultaneously, the Senate's Sports Commission approved changes to the allocation of federal lottery funds supporting sports clubs. The project shifts 0.01% of lottery revenue from the National Federation of Clubs (Fenaclubes) to the Brazilian Club Committee (CBC), which currently manages training programs for club managers. Proposed by Deputy Julio Cesar Ribeiro and supported by Senator Leila Barros, the reform does not increase overall funding but refines resource distribution to ensure effectiveness. Additionally, Fenaclubes will be removed from the Federal Court of Accounts' audit list, aligning oversight solely under the CBC, providing greater administrative coherence. Senator Barros highlighted that the adjustment strengthens support for clubs by enhancing management training and streamlining sector policies.

Together, these legislative advances aim to create a robust, transparent, and responsible management ecosystem for Brazilian football clubs, positioning the country for sustainable growth and competitiveness in the sport.