Owning a major sports franchise guarantees that you are rich beyond belief. The leagues will only approve you as a team owner after their due diligence audit and their cashflow test. Almost all owners buy their teams on credit. As billionaire Warren Buffett once said about borrowing against your asset, “I’ve seen more people fail because of liquor and leverage – leverage being borrowed money. You really don’t need leverage in this world much. If you’re smart, you’re going to make a lot of money without borrowing.” Tell team owners about that because they borrow as far as they can in leveraging their assets, and some like their liquor too. There are few stories in recent years of sports franchises failing.
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