Geelong’s CEO, Brian Cook, told Fairfax Media there are a number of reasons why the AFL should introduce an equalisation cap, with as many as 11 clubs ending the season on a loss in 2013.

According to Cook, AFL clubs need to increase their commercial presence and restrict excessive spending within their football departments to eradicate unfair advantages amongst the league’s more prosperous teams.   

''There is a need for clubs to find sustainable business models as 11 made losses in 2013. We must reduce costs in football departments and grow our commercial areas. This is easier said than done,” Cook said.

''Football department costs have gone up an average 8 per cent per year for 10 years.''

The Geelong Cats hold one of the best facilities in the competition. Last year the club put $21.4 million towards their football department, which was an 11% increase from the year before. As stated by Fairfax Media, Collingwood increased their spending by 5% with $22.46 million going into their football department compared to the Western Bulldogs’ $16.93 million.

Cook admits such a cap will be hard to implement, however, he believes it’s the best and only way to equalise the league’s current financial climate. Otherwise the wealthier clubs will continue to spend more on their resources, which will leave the league’s financially strained clubs struggling to keep up and players questioning their salaries.

“A footy department cap has been a major point of discussion at all recent CEO meetings,'' Cook said.

In order to sustain all 18 clubs, Cook feels a luxury tax is the answer.

''It would be a difficult cap to manage, but I believe it should and will be introduced and any club who wishes to go over the cap pays a luxury tax into an equalisation pool.”

“This cap will happen unless clubs curtail their football staff expenditure as the AFLPA will fight for even more player payment increases to match the rise in support staff.''

AFL chief Andrew Demetriou and club CEOs will discuss the possible implementation of the cap further in Adelaide on the eve of the season.