Soccer And BMG Bank’s Growing Influence
Ricardo Guimaraes is an avid fan of the sport of soccer. After all, it is the national sport of Brazil, a country that is known for winning the World Cup a record five times. Mr. Guimaraes is also the president of BMG Bank, one of Brazil’s largest and most successful banks. Ricardo Guimaraes has managed to fuse his love of soccer and his interests in banking together to grow his brand.
The way that Ricardo Guimaraes is expanding his bank through the sport of soccer is by directly sponsoring soccer teams in Brazil’s top league. BMG bank is sponsoring several
teams in the A league who feature the BMG bank logo on their team jerseys. Guimaraes remains adamant that his sponsoring of soccer teams in Brazil is strictly a business matter. Soccer games are one of the most watches events in Brazil. BMG Bank is now one of Brazil’s most recognized banks and Ricardo Guimaraes believes it is because he has heavily invested in sponsoring Brazilian soccer teams. Teams that BMG Bank sponsors includes Ricardo Guimaraes’ hometown team of Atletico Minerio, Corinthians and Botafoga.
BMG Bank is also involved in sponsoring matches through the use of billboards and television ads. The soccer sponsorships have allowed BMG bank to also reach a new clientele base. While other banks are stagnating due to a lack of new customers, BMG continues to expand largely in part of its highly successful soccer sponsorships. The success is proven by BMG being the best recognized bank in Brazil by a majority of the population.
Under Ricardo Guimaraes, BMG Bank has even directly invested in soccer players, buying ownership rights of more than 50 players. When the players are sold to other teams or move between teams, BMG Bank who is their “contract owner” gets a share of the profits from the sale. The bank has also become a leading financier of soccer teams. BMG Bank has even inadvertently become a shareholder in some soccer teams that its has lent money to. If a soccer team cannot repay its loans to BMG Bank, the bank simply takes an ownership stake of the club. BMG Bank has then either sold the shares or profits from revenues that the team makes.
Payroll Loans in Brazil
Besides being heavily interested and invested in soccer, Ricardo Guimaraes has led BMG Bank to becoming a national leader in payroll loans. These are short term, generally unsecured loans that are like an advancement of pay. They are highly profitable and BMG bank makes a significant amount of money from its payroll loan program which is done in cooperation with Itau Bank, another Brazilian bank.