The National Football League is currently accepting investment from private equity firms. The process has been a long time in the making since peer leagues like Major League Baseball and the National Basketball Association began doing so in 2019.
“We’ve been thinking about starting a league for five years when some institutions started investing in other sports leagues,” Kansas City Chiefs owner Clark Hunt said. “We just felt like now was the right time for the NFL.”
recent years Professional football team valuations soarhelped in part by soaring media rights packages. According to statistics, the average NFL team is worth $6.5 billion CNBC’s official NFL valuationsand according to Forbes, the average value of an NBA team is approximately US$4.4 billion.
“Many teams in the NBA are losing cash every year, some as high as nine figures,” said Marc Ganis, co-founder of Sportscorp. “But the growth in valuations is much more than that.” “It’s a way to create liquidity. No need to borrow money and no need to make capital calls.”
Watch the video above to learn more About how the NFL’s new private equity guidelines will work and how they will impact the league moving forward.
