UFL to expand faster than you think?
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MarkNelson
- UFLBoard Correspondent
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Re: UFL to expand faster than you think?
It might not be $500M but it sure isn't $50M to start up a new team. My estimate includes the franchising fee (buy in fee) that the current owners would ask for. That won't be nothing, as they want to recoup some of their investment. i.e. "You want a franchise? We've been investing in this thing and spending our own dough, now you have to pay us for a piece of the action."
UFLBoard: https://uflboard.com/news/author/mnelson/
Author: “XFL 2020: Rise and Fall” https://xfl2020book.com
Coming soon: “XFL 2023: Rise”
Favourite Leagues: XFL and CFL | Fan of the Winnipeg Blue Bombers
Author: “XFL 2020: Rise and Fall” https://xfl2020book.com
Coming soon: “XFL 2023: Rise”
Favourite Leagues: XFL and CFL | Fan of the Winnipeg Blue Bombers
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4th&long
- MVP
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Re: UFL to expand faster than you think?
MarkNelson wrote: ↑Sat Mar 16, 2024 11:39 am It might not be $500M but it sure isn't $50M to start up a new team. My estimate includes the franchising fee (buy in fee) that the current owners would ask for. That won't be nothing, as they want to recoup some of their investment. i.e. "You want a franchise? We've been investing in this thing and spending our own dough, now you have to pay us for a piece of the action."
No way they get $500mm a team when the cost of running an 8 team league is 30% of that... And its not shat you spent already its what its worth to investors.
But what I was referencing was the Sportico original reporting stating that the XFL was looking to sell 35-45% of the league for $125mm.
https://xflnewshub.com/xfl-news/xfl-see ... he-league/
That valued the league at less than $300mm and was another reason that a merger was likely coming ...
So with a value of $400mm as a league, early adopters could get in easily for $50-100mm for a "team" - if ownership isn't all in on funding deficits. If they have a strong 2024 the prices will go up.
Having said that I think the league is structuring to limit losses and they won't be as desperate for selling low. RBC said about the merger that they think the UFL could be the 5th largest league in the USA after the big 4. I agree. But its going to take time, effort and fortitude.
But what I was referencing was the Sportico original reporting stating that the XFL was looking to sell 35-45% of the league for $125mm.
https://xflnewshub.com/xfl-news/xfl-see ... he-league/
That valued the league at less than $300mm and was another reason that a merger was likely coming ...
So with a value of $400mm as a league, early adopters could get in easily for $50-100mm for a "team" - if ownership isn't all in on funding deficits. If they have a strong 2024 the prices will go up.
Having said that I think the league is structuring to limit losses and they won't be as desperate for selling low. RBC said about the merger that they think the UFL could be the 5th largest league in the USA after the big 4. I agree. But its going to take time, effort and fortitude.
Last edited by 4th&long on Sat Mar 16, 2024 12:11 pm, edited 1 time in total.
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GDAWG
- MVP
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Re: UFL to expand faster than you think?
If the league sells teams to individuals or to groups, make sure to vet those groups. Anyone with questionable finances or anybody who's involved in Crypto who are interested in football (and who's primary source of income in Cryptocurrency) should never be considered.
