Kurt Badenhausen of Forbes Magazine broke down how much each NBA team is worth. (Full article here) Forbes ranks each of the team and lists their revenue and operating income as well. It's no surprise that the big market teams (the Los Angeles Lakers ($2.6 Bn), New York Knicks ($2.5 Bn), Chicago Bulls ($2.0 Bn), Boston Celtics ($1.7 Bn), and Los Angeles Clippers ($1.6 Bn)) are the most valuable. What about our Utah Jazz? Well, Forbes reports that their current value is $850 million dollars, which ranks them at 20th in the NBA. Also Badenhausen writes that the Jazz had a revenue of $142 million, and an operating income of $33 million. Furthermore, he opines that:
The Jazz had their worst season in 34 years in 2013-14 with a record of 25-57. Team payroll has ranked among the NBA's bottom five the past two seasons. This year's roster includes seven rookies or first year players and only one veteran with more than four years experience.
Yeah. I guess one way to not win a lot of games is to not spend money, and not spending money is a great way to have a positive income. If you gauge your luxury purchase (a sports team) in terms of how large it is compared to your cash cow car dealerships then maybe you don't get the luxury aspect of this type of property. Personally, I am happy that the LHM Group of Companies have the cap space needed to sign our younger players beyond their rookie contracts. So I'm not complaining. The Jazz are going to win games real soon, and be a force again.
Even if they have to do it on a budget where other teams in the league are worth three times as much. The average worth of a franchise is $1.1 Bn, and the Jazz are at $0.8 Bn. A below average worth franchise is still one I want to root for.