How to Own a Baseball Team

Baseball is a game that intrigues millions. It may not attract the elitism of golf or Formula 1, nor is it as tough as American football or as fast as ice hockey. Still, the game is intimately linked to the American identity and is loved across the United States and beyond. Owning a baseball team may sound like a dream, yet it is not as costly or difficult as you might think.

Instructions

    • 1

      Determine your budget. Identify the amount of money you can invest in a baseball team. To increase the budget, pool the money with friends or other people who'd like to co-own a baseball team.

    • 2

      Purchase your baseball team. Buying major as well as minor teams can be expensive and costs hundreds of millions of dollars, if not billions. A team from one of the nine independent leagues in the U.S. can cost much less, perhaps hundreds of thousands, depending on its financial position. Contact an investment bank or owners of the teams directly to negotiate a sale. When determining the price, analyze the valuations that similar teams received in the recent past. Carefully review the financial statements of the team. If it is losing money, you may need to provide additional investments to save the team from bankruptcy.

    • 3

      Find a stadium for your team. Purchasing or building a stadium for the team can be expensive, starting from about $10 million. So if you are limited in financial resources, lease a stadium instead. Alternatively, buy a team with a rental agreement already in place.

    • 4

      Find a good coach and decent players for your team. If your team is playing in a third-rate short-season league, the players shouldn't be very expensive, perhaps costing you $600 to $1,600 a month.

    • 5

      Manage the cash flow. Treat your baseball team as a business. Accordingly, find ways to make your team self-sufficient and perhaps turn a little profit. Keep costs down and generate as much revenues as possible. The key to success in this business is a loyal fan base. Accordingly, advertise your franchise in the local media, portraying your team as a part of your town's identity.