SCIENCE Discussion(NO PLAGIARISM, A++ WORK, QUALITY, ON TIME)
LAGNIAPPE
SPMT610WEEK5DISCUSSION.docxPART I
No more than 300 words (Quality Work)
his week is a look at the balance sheet and income statement as we focus on financial management. We will also cover the cash flow statement and how all the statements relate to each other. In addition, the forecasting process is introduced.
Course Objective(s):
CO2: Describe the practical application of sport income and expenditures.
CO3: Investigate the issues regarding public/private financing of stadiums and sports facilities.
CO4: Discuss the economic impact of stadiums and facilities on local communities and hosting sport events and franchise valuation.
Topics of Discussion:
· Obtaining Funding
· Capital Stocks
· Bonds
There are several ways to obtain funding in sport finance. There are different types of equity financing. There is shares, retained earnings, government funding, direct financing, indirect financing, gifts, and stocks. Bonds are another area that the government can use to procure funds for sport ventures. Bonds are a financial mechanism that organizations use to raise capital through debt (as opposed to equity). A bond is a promise to pay back borrowed money plus interest to the investor who has purchased the bond.
All for-profit businesses have equity ownership-someone owns the business, even if it is one person who owns 100% of the equity (or stock) in the business and even if the equity is not traded on a stock market.
OBTAINING FUNDING
Revenue streams for sport organizations can come from a variety of sources. For the purpose of this exercise, please select a professional sports team of your choice, or a major university athletic department, and discuss the different ways the organization generates revenue and obtains funding.
Jurek, M. (2018). Hybrid venture capital fundraising in emerging markets: A pitch. Accounting and Management Information Systems, 17(1), 167-177. doi:http://dx.doi.org.ezproxy2.apus.edu/10.24818/jamis.2018.01009obtaininBonds
Coval, J. D., Jurek, J. W., & Stafford, E. (2009). Economic catastrophe bonds. The American Economic Review, 99(3), 628-666. doi:http://dx.doi.org.ezproxy2.apus.edu/10.1257/aer.99.3.628
Gottlieb, M., Lee, S., Burkhardt, J., Carlson, J., King, A. M., Wong, A. H., & Santen, S. A. (2019). Show me the money: Successfully obtaining grant funding in medical education. The Western Journal of Emergency Medicine, 20(1) doi:http://dx.doi.org.ezproxy2.apus.edu/10.5811/westjem.2018.10.41269
Lenskyj, H. (2004). Funding Canadian University Sport Facilities: The University of Toronto Stadium Referendum. Journal of Sport and Social Issues, 28(4), 379–396. https://doi.org/10.1177/0193723504268728
PART II ***Respond to Will (no more than 125 words)
The New York J-E-T-S
NFL Teams generate revenues and obtain funding from several sources; some sources can be hard to track. The National Football League is the most-watched sport in the United States (Kandadai, 2019). Being the most popular sport comes with certain perks. As the top dawg for broadcast sports, the NFL commands millions of dollars for its broadcast rights and licensing of intellectual property (The NFL Made, 2019). Additional revenue streams in through mega sponsorship deals with powerhouses such as Verizon, $300 million, Anheuser-Busch Inbev $230 million, and Nike for $120 million (NFL Sponsors, 2020). These are just the top three organizations with sponsorships with the NFL; there are countless others. Another fruitful source of revenue for the NFL is its partnerships. The NFL has partnered with Nike, Microsoft, and Bose (NFL & Microsoft, 2013, Florio, 2017, Garcia, 2018). Watch a game, and you can see the Nike swish on uniforms, players reviewing plays on Microsoft Surface devices, and coaches wearing Bose headsets. All these organizations pay the NFL for the privilege to have their products showcased during a game. As a result, the NFL pulled in almost $17 billion in 2018 (The NFL Made, 2019).
The Green Bay Packers are the only NFL team that shares its financial statements (Bloomberg, n.d.), so to get a picture of where the NY Jets are getting their revenue from, we first go with the $17 billion pulled in by the NFL. Of the $17 Billion, 48% goes to the players, and 52% gets split between the 32 NFL Football Clubs (The NFL Made. 2019). The NY Jets piece is about $275 million.
The Jets pull in an additional $10 million annually from its deal for the naming rights of Metlife Stadium (Giants-Jets Home, 2011). Most stadiums in the NFL are paid for by the taxpayers; this is a boon for teams that spend no revenues on their stadium’s construction. This is not the case with Metlife Stadium. Metlife Stadium was funded with private money from the NY Jets and Giants (Irwin-Nunez, 2020). As the stadium’s cost was funded by the teams, the teams get to keep all revenues produced at the game to include parking fees.
As mentioned above, The GreenBay Packers are the only NFL Franchise that must make their financial statements public. As such, it is not easy to realistically list every revenue and funding source of NFL teams. That is something we must all learn to live with.
Bloomberg. (n.d.). Bloomberg - Are you a robot?. https://www.bloomberg.com/news/features/2018-09-13/nfl-makes-more-money-than-ever-and-things-have-never-been-worse
Florio, M. (2017, May 24). Bose renews deal with NFL, with extra exposure coming during replay reviews. ProFootballTalk. https://profootballtalk.nbcsports.com/2017/05/23/bose-renews-deal-with-nfl-with-extra-exposure-coming-during-replay-reviews/
PART I
No more than 300 words (
Q
uality Work)
his w
eek is a look at the balance sheet and income statement as we focus on
financial management. We will also cover the cash flow statement and how all
the statements relate to each other. In addition, the forecasting process is
introduced.
Course Objective(s)
:
CO2: Describe the practical application of sport income and expenditures.
CO3: Investigate the issues regarding public/private financing of stadiums
and sports facilities.
CO4: Discuss the economic impact of stadiums and facilities on local
communities and hosting sport events and franchise valuation.
Topics of Discussion:
·
Obtaining Funding
·
Capital Stocks
·
Bonds
There are several ways to obtain fu
nding in sport finance. There are different
types of equity financing. There is shares, retained earnings, government
funding, direct financing, indirect financing, gifts, and stocks. Bonds are
another area that the government can use to procure funds for
sport
ventures. Bonds are a financial mechanism that organizations use to raise
capital through debt (as opposed to equity). A bond is a promise to pay back
borrowed money plus interest to the investor who has purchased the bond.
All for
-
profit businesses
have equity ownership
-
someone owns the business,
even if it is one person who owns 100% of the equity (or stock) in the
business and even if the equity is not traded on a stock market.
OBTAINING FUNDING
PART I
No more than 300 words (Quality Work)
his week is a look at the balance sheet and income statement as we focus on
financial management. We will also cover the cash flow statement and how all
the statements relate to each other. In addition, the forecasting process is
introduced.
Course Objective(s):
CO2: Describe the practical application of sport income and expenditures.
CO3: Investigate the issues regarding public/private financing of stadiums
and sports facilities.
CO4: Discuss the economic impact of stadiums and facilities on local
communities and hosting sport events and franchise valuation.
Topics of Discussion:
Obtaining Funding
Capital Stocks
Bonds
There are several ways to obtain funding in sport finance. There are different
types of equity financing. There is shares, retained earnings, government
funding, direct financing, indirect financing, gifts, and stocks. Bonds are
another area that the government can use to procure funds for sport
ventures. Bonds are a financial mechanism that organizations use to raise
capital through debt (as opposed to equity). A bond is a promise to pay back
borrowed money plus interest to the investor who has purchased the bond.
All for-profit businesses have equity ownership-someone owns the business,
even if it is one person who owns 100% of the equity (or stock) in the
business and even if the equity is not traded on a stock market.
OBTAINING FUNDING
