Franchise Management

Revenue Management:

1. League-wide Revenue

• TV/Radio Broadcast Revenue is either negotiated individually by a franchise (in which case the revenue is retained by the franchise) or collectively by the league (in which case the revenue is shared according to the league's revenue sharing arrangement). The broadcast rights contracts will be renegotiated throughout the season and will change based on the competitiveness and popularity of the league.
• Merchandising Revenue is divided among franchises according to the league's revenue sharing agreement. Total league merchandise revenue is determined by the competitiveness and popularity of the league.

1. Team-specific Revenue

• Ticket Revenue will be divided between home and away teams for every contest according to the league's revenue sharing arrangement. Ticket revenue will be determined by attendance. Attendance will be dependent upon ticket prices, the popularity and success of the home and away teams, and the size of the local market. Ticket prices in four separate sections of the stadium (lower, middle, upper, and luxury) will be set by the franchise owner and may vary for each individual contest.
• Concessions Revenue will be divided between home and away teams for every contest according to the league's revenue sharing arrangement. Concessions revenue will be determined by attendance. Attendance will be dependent upon ticket prices, the popularity and success of the home and away teams, and the size of the local market. Concession prices for hot dogs, nachos, beer, and t-shirts will be set by the franchise owner and may vary for each individual contest.
• Stadium Sponsorship Revenues are not shared (each franchise receives an individual sponsorship contract) and are only collected for the regular season. For weeks 1 and 2 each franchise will receive a $1 million sponsorship each week. For each week 3 through 10, the teams will receive sponsorships depending on team performance.