The other key change to current Formula 1 has to be on the finance.
You can’t have balanced duels on the track if the amount of investments shows a big gap between top and low ranking teams and revenues are not split as evenly as possible.
Already having a continental and a World F1 series will allow to local and smaller teams/drivers to compete and, thanks to properly distributed resources, to think about making the big step to the main championship.
Let’s not forget that F1 would be a constructor-managed series, with no owners, no elephantine organization.
Thanks to this, the Organization can ask much lower fees to teams and circuits and still have enough money (and more than now) to divide between each constructor.
By doing so, more circuits and team will be attracted to join the league or to host an event and it will become a virtuous circle, instead of a vicious one.
In the two pictures it’s represented how revenues will be split for both F1 World Organization and each Continental series; particularly the Continental ones will allocate part of revenues to build and maintain driving schools and circuit so there could be an actual worldwide representation of each geographic area and state potentially able to reach the top championship.
Finally an actual form of financial fair play is introduced, which is completely different from the current budget cap “used” in F1 (I don’t think there is anyone on this planet who believes that the top teams are respecting it, especially consideting that there is no penalty in case of breach) and doesn’t aim at cutting cost, but ensuring that each team spends only what can be afforded.
It will automatically bring new players, with modern ideas and state-of-the-art technologies capable of challenging the established ones.
Here a quick recap of the main financial rules:
1) Each team needs to present a break-even financial statement at the end of the year, to be accepted for the following year.
2) A team is allowed to maximum 1 year of overspent over a period of 3 years.
3) When a team overspend, a budget tax is applied, depending on the amount of the overspent.
4) If a team breach the break-even for 2 times in a period of 3 years, it’s disqualified from the following season(s)
5) F1 organization will collect revenues from TV rights, sponsorships and entry fees from constructors.
Staff and people involved in organization will be paid with part of these; 90% of the remaining is re-distribute them from best to last in the constructor championship. The remaining 10% will be given to F1 continental
6) Circuits will not pay any fee. 40% of the event revenues will be given to F1 organization.
7) Same financial rules apply to F1 Continental… But the remaining 25% of revenues is used to fund and support local driving schools, teams and circuits.
All Along The Racetrack 