NFL increases per-team debt limit to $200 million

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As a sign of the current financial health of the NFL, the league’s owners decided last week to increase significantly the ability of each team to tap into the financial health of the nation’s finer lending institutions.

According to Daniel Kaplan of SportsBusiness Journal, the debt ceiling for each team has been increased from $150 million to $200 million.

“We have a very solid business model,” Patriots owner Robert Kraft said in explaining the 33-percent expansion of the debt ceiling.

Kaplan points out that, five years ago, the NFL actually tried to decrease the per-team debt limit from $150 million to $125 million.  The league dropped the plan after the NFLPA objected, claiming that it was part of an effort to reel in player compensation.

Under that logic, the NFLPA should be happy about this development.  But since the NFL and the NFLPA currently are butting heads on every possible issue, it’s unlikely that the NFLPA will be saying anything good about what could be a good development for the rank and file.

21 responses to “NFL increases per-team debt limit to $200 million

  1. The owners are the owners. They finance the franchises. They finance the business’s. THEY TAKE ALL THE RISK. The NFLPA is a union that takes no risk. They do not run the business. The union should be biatch slapped to the floor and told very abruptly that this is NOT within their purview and that they will have no say whatsoever.

  2. This move by the owners will probably result in a lawsuit by either the NFL retirees or NFLPA.

  3. Yep, I can see it now…Smith/Kessler will sue because the NFL KNEW they were gong to raise the debt limit therefore the salary cap SHOULD have been higher.

  4. @backinsaddle: BS- the players are the backbone and entitled to just compensation (based on revenue generated) and should be granted lifetime medical insurance for injuries sustained while on the field.

    Without the union the players would be put in the meat grinder and spit out the other side. Just because the owners finance the BUSINESSES doesn’t mean they can abuse/take advantage of the work force.

    The best owner was Al Davis. He was a football man first and foremost. His daddy didn’t win the team in a card game (rooney) and he didn’t come from money (mara, kraft). He CREATED the RAIDERS, he created the brand.

    Every other owner is/was in it for the $$$, the business.
    Al was in it because he loved the game and his players.
    Just another reason the RAIDERS are the best.

  5. @mullman7675–better brush up on your history. I’m no Giants fan, but the Maras have owned the Giants since their inception in 1925.

  6. mullman7675 says:
    May 28, 2012 1:05 PM
    @backinsaddle: BS- the players are the backbone and entitled to just compensation (based on revenue generated) and should be granted lifetime medical insurance for injuries sustained while on the field.

    Without the union the players would be put in the meat grinder and spit out the other side. Just because the owners finance the BUSINESSES doesn’t mean they can abuse/take advantage of the work force.

    The best owner was Al Davis. He was a football man first and foremost. His daddy didn’t win the team in a card game (rooney) and he didn’t come from money (mara, kraft). He CREATED the RAIDERS, he created the brand.

    Every other owner is/was in it for the $$$, the business.
    Al was in it because he loved the game and his players.
    Just another reason the RAIDERS are the best.
    ___________________________________________________

    Here we go with the typical union propaganda and misrepresentations. Where in this topic does it say anything whatsoever about abuse of the players? The topic here is the debt ceiling with the owners operate THEIR franchises. The union should have absolutely no say in this regard. They have their CBA and this is clearly outside of it. It is NOT within their purview and they should be completely ignored on this subject. And PLEASE spare me the tired old union propaganda BS on how the poor multi-millionaire players are being “abused” in a “meat grinder” by the evil and sadistic owners. That crap is transparent and doesn’t fly. I could only wish to be in such a horrible predicament as these poor millionaire players. In reality, this is just another attempted power grab by the union. As always, their angling for more power and more control. This is clearly not a “labor” issue, has nothing to do with the union, and they should have the door slammed in their face hard and fast. They already receive 50% of the revenues. They already have their CBA. They need to be told to sit down and shut up.

  7. mullman7675 says:
    May 28, 2012 1:05 PM
    The best owner was Al Davis. He was a football man first and foremost. His daddy didn’t win the team in a card game (rooney) and he didn’t come from money (mara, kraft). He CREATED the RAIDERS, he created the brand.

    Every other owner is/was in it for the $$$, the business.
    Al was in it because he loved the game and his players.
    Just another reason the RAIDERS are the best.

    Years ago, Al Davis was only able to keep his team because of Ralph Wilson’s generosity. Wilson loaned Davis the money because the Raiders were broke. So add Ralph Wilson in the love for the game owners, he loved the game so much he didn’t want to disrupt the league by losing a team as important as the Raiders.

  8. eaglebobby says:May 28, 2012 1:32 PM

    @mullman7675–better brush up on your history. I’m no Giants fan, but the Maras have owned the Giants since their inception in 1925.
    ———————————————————-

    Which means every owner since the original was born into it.

  9. Not that I mean to side with mullman. Owners and players both deserve a fair cut if only they could figure out what that is.

  10. THIS is the problem with the US. Instead of going into debt to finance, why not save your money and use that capital to invest in your business?
    Its all just 0s and 1s in a computer anyway, why let the money changers collect interest?

    Banksters make the world go ’round.

  11. Jags new owner paid cash. No debt ceiling needed in Jax. Shad Khan rules!!!

    ———————————————————

    Will he pay cash for the $140MM annual salary cost? How about stadium rent when half the stands are empty?

  12. mullman7675 says:May 28, 2012 1:05 PM

    @backinsaddle: BS- the players are the backbone and entitled to just compensation (based on revenue generated) and should be granted lifetime medical insurance for injuries sustained while on the field.

    Without the union the players would be put in the meat grinder and spit out the other side. Just because the owners finance the BUSINESSES doesn’t mean they can abuse/take advantage of the work force.

    The best owner was Al Davis. He was a football man first and foremost. His daddy didn’t win the team in a card game (rooney) and he didn’t come from money (mara, kraft). He CREATED the RAIDERS, he created the brand.

    Every other owner is/was in it for the $$$, the business.
    Al was in it because he loved the game and his players.
    Just another reason the RAIDERS are the best.

    **************************************

    Moron… the raiders existed before al davis bought a share and eventually assumed control.

  13. mullman7675 says:May 28, 2012 1:05 PM

    The best owner was Al Davis. He was a football man first and foremost. His daddy didn’t win the team in a card game (rooney) and he didn’t come from money (mara, kraft). He CREATED the RAIDERS, he created the brand.

    Every other owner is/was in it for the $$$, the business.
    Al was in it because he loved the game and his players.
    Just another reason the RAIDERS are the best.

    *****************************************

    You should do a little research.

    Davis, despite how brilliant a football mind he once had and sadly lost, and one of the other two partners basically forced the other partner out by out voting him.

    That third partner sued and lost and Davis and the other partner took over.

    Davis himself didn’t even own a majority of the raiders until 2005.

  14. baronvonmonocle says:May 28, 2012 2:12 PM

    Not that I mean to side with mullman. Owners and players both deserve a fair cut if only they could figure out what that is.

    *********************************************

    Hello… earth calling!!!

    They decided already and signed a new CBA last year… DUH

  15. Hello… earth calling!!!

    They decided already and signed a new CBA last year… DUH
    ————————————————-

    I don’t have much faith that the CBA settled anything. They will always disagree on how much each should get and we’ll see that again when this CBA ends.

  16. baronvonmonocle says:
    May 28, 2012 2:12 PM
    Not that I mean to side with mullman. Owners and players both deserve a fair cut if only they could figure out what that is.
    _______________________________________________________

    I’m afraid you’re somewhat naive when it comes to unions. “Fair” in union terms mean only one thing: More More More……………………

  17. Oh, I’m not naive about that at all but I would argue that it’s not just the unions that feel that way. (Not that there’s anything wrong with that.)

    I just meant that both sides do deserve their fair share no matter how many message board commenters rant about how bad one side or the other is. As for what would qualify as a fair share, that’s another matter.

  18. borisbulldog says:May 28, 2012 2:40 PM

    Jags new owner paid cash. No debt ceiling needed in Jax. Shad Khan rules!!!

    ———————————————————

    Will he pay cash for the $140MM annual salary cost? How about stadium rent when half the stands are empty?

    ———————————————————-

    Yes he will. He is the epitome of the American dream. He will make this team relevant again, like when Tom Coughlin was the head coach.
    Plus he’s the 5th richest owner in the NFL, replacing Jerry Jones.
    Shad Khan is thankful man and he cares. He IS the King of Jacksonville and is probably going to be the biggest philanthropist the NFL’s ever seen.
    BTW, when we start winning again, the stadium will be full. We’ve had such a stale product for so long, it’s about time we have the excitement we’re experiencing, right now.
    No offense to the Weavers, we love them with all of heart, too.

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