So everybody knows that Lebron only signed a 2 year deal with an option to opt out after a year. Sure, sounds like he's leaving but there is more to it. The new collective barganing agreement is up in two years and the salary cap will go up and Lebron would be in line to earn the new max contract at that time and that would be millions of more dollars. I'm sure you have all heard of that too, but there is even more to it than that..
As of right now players are not allowed to be owners of NBA franchises. The scuttlebutt around town is that in the next collective bargaining agreement that will be on the table. i fully expect Lebron to be a part owner of the Cavaliers in a few years. There is no doubt that Lebron wants to be an owner, just look at Jordan and Magic, both NBA owners and i'm sure Lebron sees himself on the same level as them. And what better way to make sure to keep a superstar in town than giving them a piece of the pie.
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Posted on: Jul. 16 2014,07:13
Yeah, I heard about him wanting to be an owner before he even made his decision. Also, knew about the new salary cap coming, and why he was signing a short term deal. He was very clear to everyone that this is his last stop despite the 2 year contract.
As for players who become owners, is Magic an owner? I thought he just had interest in the Clippers. Jordan is as bad an owner as he was a great basketball player. He's terrible. By all accounts he does nothing and rarely shows up.
I think players wanting to be owners is fine. Save up your money, and buy a stake in a franchise. However, handing them part ownership just because they happen to play there, that's a bit shakier.
Look, I'm all for employee owned. My company is employee owned and we have profit sharing. People around here actually think about dollars and cents because they'll see that money returned to them in the long run.
In pro sports, you're talking about a property/brand that a billionaire has spent hundreds of millions of dollars to purchase. Whose most public employees are paid millions to play a game. Does he/she also need to hand over the keys to the empire? Really?
What is that player/owner going to bring to the table? Cash flow? Wise personnel decisions? Will they coach the team?
Look, I'm all for employee owned as my company is employee owned and we have profit sharing. However, I'm not making millions, nor do I believe that just because they hired me here it makes me qualified to make decisions for the company's overall direction.
I think if NBA players want ownership, then they should ask for lowered salaries in return. They can get their pay up higher via profit sharing. Make their team more successful, meaning more ticket sales, meaning a bigger pay check. Get better on the court and get more ad deals, and a bigger pay check because you're putting more butts in seats.
I just don't see why owners should have to sacrifice ownership. What are they getting out of it?
I'm sure that this only applies to one man in the NBA right now. I have heard that the Cavs are already worth $250 Million more the day Lebron committed to them. Also the city commissioner was on the radio yesterday and he said the Cleveland's economy should see about a $500 million dollar increase because of him. Oh yeah, Dan Gilbert just happens to own the Horseshoe casino located right smack dab next to the Q arena, you think that he will see some of that cash flow there too?
So Lebron is a different kind of athlete, he is literally world wide. Giving up a percentage of your franchise to ensure many years of inflated income even after he retires i'm sure is worth the investment.
I don't see the Knicks giving up anything for Carmelo, guy can't even win a playoff game. Maybe Keving Durant in his next contract, he sure has changed the fortunes of OKC, but he may have to win championships to get an ownership stake. This is truely only for the biggest of the biggest stars, the ones that transend the sport and bring in money in other ways than just by winning. And this is all just speculation at this point, of course.
