Wednesday, August 23, 2006

ABA or IBL?


I have started this venture with the goal in mind of buying an ABA franchise and have been in discussions with the league regarding this. Then I discovered there was another minor pro league out there, the International Basketball League. I have been in contact with the commissioner of this league as well and there ar epros and cons to both leagues.

The ABA and the IBL both have teams that are in some difficulty with the ABA having some teams that did not finish the most recent season. The IBL had every team finish its season last year but they admit that many teams limped home. The IBL sends out a set of documents to anyone intereste din owning a team that is just tremendous. It is basically a step by step template for starting and running a franchise. Everything from hiring staff, budgeting, game day operations and so on. It is tremendous and the league should be very proud of it.

It seems to me the ABA teams play in slightly bigger venues and draw larger crowds. I saw some boxscores from one IBL team with attendance in the range of 325 but one of the new franchise averaged 2400. The ABA plays a schedule of 36 games while the IBL only plays a 20 game season. The ABA has a salary cap of $150,000 for players while the ABA rcommends paying players around $100/game. I think the ABA would attract better players since there is more money involved. However, the IBL has a unique "one flight" plan that means that teams can play other teams from all over the country but make only one flight per year meaning costs stay low.

Both leagues seem to have their good and bad points and I have to decide which way to go. I am still leaning towards ABA but the IBL is now a very viable option.

Sunday, August 13, 2006

Vacation



Just a quick post to say I will be on vacation starting August 13 until the 19th. However work will still be happening as I will be working on a business and marketing plan and being in contact with the league and various markets by e-mail. Thanks for continuing to be interested in this venture.

Monday, August 07, 2006

Narrowing the choices


I have been researching possible destinations for the new franchise and I have been actively communicating with the head of the ABA regarding various issues. I must say that Joe Newman, the man behind the ABA, has been nothing but helpful towards me. He answered all my e-mails in a timely fashion and has done his best to steer me in the right direction. The ABA is expanding and growing rapidly and it is no small feat to run a league like this and Mr. Newman has done an outstanding job in that regard.

I am happy to have narrowed down the choices to a couple cities which I have had preliminary contact with regarding facilities and other matters. I am certainly leaning in one direction and will divulge the choices shortly. Those who have contacted me about investing or being involved with the team in another way will be added to an e-mail list that will be kept up-to-date on updates to the blog and also will get information that other readers won't get. If you want to be added to the mailing list please E-Mail Me with the subject Mailing List.

The process is long but we are making progress and the dream is starting to come a little more into focus. Rememeber, I welcome your involvement and your input. There have been a few qho have expressed interest in investing or otherwise being part of the team and I appreciate your interest.

Wednesday, August 02, 2006

Some New Information From The League



I have heard from the Chairman of the ABA Mr. Joe Newman and we have had a couple back and forth e-mail discussions about the league and acquiring a franchise. The cost of reserving a market is $20,000.

We had a good discussion about a few markets and will continue to do so. Mr. Newman told me that the operating budget for a team should be around $400,000 and I imagine some teams have gone higher. He also recommends a venue with between 2500-5000 seats.

So armed with this information I can now set about forming a business plan and trying to attract investors. The ABA is generally a ticket sales and sponsorship driven league with merchandising also contributing to the revenue stream.

Again, I welcome your comments, thoughts and ideas as this process continues.

Scott