From Fortune Magazine:

When she was nine years old, Virginia McCaskey attended the first NFL playoff game, at Chicago Stadium in December 1932. The game was played indoors due to a blizzard, and it marked the beginning of a lifelong connection to the league for McCaskey. Her father, George “Papa Bear” Halas, was the founder and owner of the Chicago Bears, and they went on to win the game, becoming the then 12-year-old league’s champions.
The National Football League brought in nearly $20 billion in revenue last year and is responsible for 93 of the 100 most-watched TV broadcasts. McCaskey’s team alone is worth $6 billion. But the league faces succession-planning challenges, with aging team owners and rising franchise values. In September, the NFL formed a committee to consider ending a block on private-equity funds, potentially opening the doors for new investors. This has sparked interest from investors in buying minority stakes in teams, with six to eight teams potentially selling within a year.
The US taxes inherited assets at a 40% rate after an individual exemption of $13.6 million, with an additional 40% levy on assets passed to grandchildren. The exemption is expected to be cut nearly in half in 2026. The average age of the league’s 32 principal owners is 72, and eight teams are still owned by their founding families. As values of NFL teams rise, estate tax concerns could lead to a series of team sales.
Over the past decade, the NFL has seen record-breaking franchise sales, with some teams selling for billions of dollars. Meanwhile, other investors have expressed interest in taking a smaller slice of a team. This surge in franchise values has led to concerns from old owners about the future of their teams.
Some longstanding NFL owners are concerned about the surging franchise values and the influx of new money that could change the character of the league. Allowing more outside investors could shift the pressure to push revenues higher and ultimately change the traditional ownership structure of the NFL. The NFL has historically had strict ownership regulations, with single persons required to own at least 51% of each team and limits on ownership groups to no more than 25 people. However, these regulations have systematically been pared in the past 20 years. Overall, there is concern about how rising franchise values and increased investor interest will affect the future of the NFL.



Read more: NFL succession: Billionaire families’ tax concerns bring private equity plan