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Which clubs will enter projected National Second Division?

Preston Lions are "trying to build a model where our key revenue streams, sponsorships, membership, and merchandise, gate, food, and events... are growing". Preston/Matt Johnson

As National Premier Leagues (NPL) seasons around the country conclude, and Sydney United and Oakleigh Cannons prepare to face A-Leagues rivals in the Australia Cup, talk of a much-anticipated and long-agitated National Second Division (NSD) is once again rife. For its potential participatory clubs and the custodians of the legacies they hold, however, it's not simply a case of build it and they will come.

With Football Australia long on the record in declaring its intention to introduce a NSD, the cup success of Sydney United and the Cannons has thrown a spotlight once again onto the push to provide a platform for those clubs outside the A-Leagues, a middle ground between that competition's best and those of the NPLs.

As part of this commitment, Football Australia has conducted modelling on an NSD, producing what its chief executive, James Johnson, described to ESPN as "detailed financial work" that has since been presented to potential participatory clubs in meetings around the country.

Long having raged against their banishment from Australia's highest levels, South Melbourne, who will face Oakleigh in the NPL Victoria grand final on Sunday, were a part of those meetings having fully turned their attention to the establishment of an NSD after missing out on an A-League licence during the latest round of expansion.

The club has invested heavily in its football department on the way to this year's Victorian decider, part of a broader strategy with an NSD in mind.

"What we've done, predominantly, is a real focus on revenue, particularly corporate revenue," president Nicholas Maikousis told ESPN. "We've probably tripled where we were three years ago. We now have CF Capital as a significant sponsor. Our corporate revenue has gone through the roof.

"The key thing for us is to lock down 3000 members for the NSD and use that. We fundamentally believe in the membership-based model as opposed to the privatised model.

"One of the things the FA keep talking about is perhaps the requirement for capital. And because I'm not willing to privatise the business at all; I suspect that if we get our membership numbers to the level that will enable us to build everything off the back of that. Merchandise, social club, entertainment, etcetera. We're in a pretty good place.

"But I think that the high-level summary is that I don't give a rat's arse what the licence fees are. What are the travel and accommodation costs? We, as clubs that have spruiked the NSD, just need to make it happen, regardless.

"Find the additional revenue, build our businesses up again."

Football Australia is yet to reveal the final model that its NSD will take, with formats ranging from a Champions League-style model, regional conferences, or a national league structure -- the favourite of most existing clubs -- mooted. There has also not yet been clarification on if the competition will adopt a winter staging alongside the various NPLs, or summer alongside the A-Leagues.

The makeup of the competition is also opaque. Much as is the case for the A-Leagues, which feature just two clubs west of Melbourne, any NSD that follows a more traditional league format is expected to be dominated by teams from Australia's eastern seaboard as a matter of financial necessity, at least initially.

"[Wollongong] Wolves have been there in talks about the NSD since 2007," club chief executive Strebre Delovski told ESPN. "We're one of the partner clubs of the AAFC [Association of Australian Football Clubs]. We've been working closely with AAFC and providing input on how this will look or how it will be shaped.

"But the NSD must be financially viable. What we don't want to see is clubs stretching their budgets just to be able to compete and then in two or three years, they're falling over. It's not good for the clubs.

"One of the preferences of Football Australia is to have those clubs participating that have demonstrated a contribution to football over decades. They've also got to have a connection to the local community. Wollongong Wolves fit in all those categories.

"However, it's really important that we get it right financially to be able to sustain the league and it doesn't fall over after a couple of years. That's critical. It's important that the foundations are strong to create an NSD and then those clubs that fit the criteria are strong as well; we don't want after one or two years to see clubs falling over.

"We're currently reviewing the club's operations and organizational structure. We're in discussions with key stakeholders now at all levels of government. We're in discussions with investors and consortiums that are interested and that have approached us once the news came out about the NSD.

"I think it's really important to work through the revenues that are going to come into the game and, with a fine-tooth comb, go through the costs associated with it. Because from a club's point of view, there can't be any hidden costs. It needs to be clear what clubs are committing to.

"It's really important that those clubs that are part of the initial national second decision, that they're strong, that they have a history and a history of getting through trouble and that that's going to form a very strong base for the competition moving forward."

Delovski's talk of connection to community and contribution to football also harkens to another conundrum: Who will enter an NSD?

Clubs currently playing across the NPL of Australia shape as obvious contributors, possessing existing supporters and facilities to ease the transition. Mergers or new entities serving underserved markets can't be ruled out, however, and APL chief executive Danny Townsend has told ESPN that the conversation should at least be had surrounding the placement of A-League Youth sides in the competition.

For Victorian club Preston Lions, which this season has arguably had the consistently largest crowds of any club outside the A-Leagues, despite being in NPL3, connection is perhaps their strongest case for inclusion, one considered to be one of their state's strongest.

Preston president David Cvetkovski, who spoke glowingly of the information presented to him in conversations with Football Australia, was part of the process that saw the former NSL side recover from near bankruptcy a decade ago to be one of Victoria's most stable clubs -- emphasising the matchday experience, a focus on community, and a shared sense of purpose.

"For any Australian club to be involved in this, they need to look at 'yes we're very fortunate that we have supporters, the people'," Cvetkovski said. "We need to look at it from a finance and compliance perspective. From a footballing perspective, from an infrastructure perspective.

"But critical to us and my club, from a sponsorship and revenue perspective, is that we can afford it without a whale or a white knight because a lot of clubs have these white knights in Australian football and if that person goes, the club's back in the doldrums.

"We're trying to build a model where our key revenue streams, sponsorships, membership, and merchandise, gate, food, and events -- those five key revenue streams -- are growing.

"We know that's our success: the backing from supporters and sponsors in volume versus having one person who if they decide to pull out on you can destroy your club in this new competition.

"It's linking it to the community. And when I say community, that's a broad thing. We've got our Preston playing community - 350 kids, on average two parents each, 700+. That's a start.

"You look at our supporter base, which we're very proud of and we have continued to be very proud of our Macedonian heritage without overdoing it because 70% of our juniors are of diverse backgrounds, they're not Macedonian.

"Football is the vehicle, but there's got to be an emotive connection to that experience. That then flows through your key pillars."

Ultimately, however, while the introduction of the NSD represents a historic and potentially future-defining milestone for the Australian game, it cannot count on the unquestioning acquiescence of any team it taps for entry as a fait accompli.

Just as much as they wanted to make sure they worked for a national second tier, those involved said the NSD had to work for clubs.

Maikousis, for instance, said that South would have severe reservations about competing in "completely compromised" models that weren't standalone leagues, while Delovski said the Wolves were willing to walk away from the competition if they determined it wasn't a suitable and sustainable pursuit for his club.

"It's important that clubs don't get themselves into trouble and don't stretch themselves too far financially," Delovski said. "If the numbers don't stack up, you can't just sacrifice clubs just to have an NSD."

Cvetkovski said: "Our aspiration is to be in this NSD. And I don't get cocky, but I kind of think this league need Preston more than Preston needs the league."