CanadianSwede Posted March 3, 2009 Share Posted March 3, 2009 Will only new USL teams appear in Canada once current canadian USL teams join the MLS? What is the entrance fee for USL teams? Cheers Link to comment Share on other sites More sharing options...
Tuscan Posted March 3, 2009 Author Share Posted March 3, 2009 The USL-1 entrance fee is 1.25 million (according to the USL-1 2010 .pdf that includes both the franchise fee plus the letter of credit). PDL is significantly cheaper at only $100,000 (once again combining franchise with letter of credit), although for both there are other fees that increase the capital budget the new club would require. PDL is attainable by a smaller investors group, at least I believe it to be so. USL-1 has definitely hit the multimillionaire range, but that is obvious to everyone. Link to comment Share on other sites More sharing options...
dpetzz Posted March 3, 2009 Share Posted March 3, 2009 we need two new mls teams........then the return of the hamilton steelers and winnipeg fury..... maybe I could be a ball boy again for the fury....lmao Link to comment Share on other sites More sharing options...
canadianfoot Posted March 4, 2009 Share Posted March 4, 2009 quote:Originally posted by Tuscan The USL-1 entrance fee is 1.25 million (according to the USL-1 2010 .pdf that includes both the franchise fee plus the letter of credit). PDL is significantly cheaper at only $100,000 (once again combining franchise with letter of credit), although for both there are other fees that increase the capital budget the new club would require. PDL is attainable by a smaller investors group, at least I believe it to be so. USL-1 has definitely hit the multimillionaire range, but that is obvious to everyone. I thought the franchise fee was 750k for USL1? http://www.uslsoccer.com/aboutusl/franchise/123541.html Q: What is the estimated initial investment cost? A: There are variable estimated initial investments for each league. The initial franchise fee range is $75,000 to $750,000 (depending on league). Average operating budgets for the USL First Division range from $2M- $2.5M, USL Second Division range from $600K - $1M, the USL Premier Development League range from $100K - $200K, and the USL W-League from $75K to $150K. League administrative and affiliation fees vary from league to league. Link to comment Share on other sites More sharing options...
Tuscan Posted March 4, 2009 Author Share Posted March 4, 2009 I'm also including the letter of credit they require to see when applying for the franchise. But yes, the straight up franchise fee is $750,000. Link to comment Share on other sites More sharing options...
sj Posted March 5, 2009 Share Posted March 5, 2009 can a usl team sell its franchise rights Once it moves to MlS. instead of closing shop completely in USL-1 Link to comment Share on other sites More sharing options...
canadianfoot Posted March 5, 2009 Share Posted March 5, 2009 Why would they require "only" 500k from the Letter of Credit, Tuscan? It seems low to me when the operating cost is let's say be conservative 1.5mil$ for a USL-1 team, I guess disposable income IS a little bit hard to get these days. SJ interesting question haven't heard of it happening. But the whitecaps might be interested in doing that with the Highlanders. I guess what one is actually selling is a "spot" in the USL-1. A "spot" anyone can get if they got the $$$ but if the by-laws allow it who knows the Whitecaps might be able to "sell" it with some sort of discount....who am I kidding the USL would then lose 750k$ no way they would let it happen. Link to comment Share on other sites More sharing options...
Tuscan Posted March 5, 2009 Author Share Posted March 5, 2009 I am only reporting official numbers I have gotten from USL front office (Matt Weibe, Senior Director, Franchise Development). I probably shouldn't even be posting these numbers (for reasons yet unknown to me) but I am very, and emphasize the very, devoted to seeing soccer grow in this country. Link to comment Share on other sites More sharing options...
brettinhalifax Posted March 5, 2009 Share Posted March 5, 2009 A letter of credit is likely only used if the ownership group pulls out mid-season. It wouldn't have to cover all operating expenses, just the difference of expenses over revenues (eg. the losses) Link to comment Share on other sites More sharing options...
ottawaguy2009 Posted March 6, 2009 Share Posted March 6, 2009 EXCELLENT ARTICLE. http://www.potomacsoccerwire.com/news/460/5756 Just 750 K for a USL franchise! What doesn't every Canadian city have a team!? Link to comment Share on other sites More sharing options...
piltdownman Posted March 8, 2009 Share Posted March 8, 2009 quote:Originally posted by brettinhalifax $540/44 = $12.25 per game $99/8 = $12.50 per game IMO the appropriate price point for Minor league sports like PDL and GBL is whatever a movie costs. Very true on a per game basis its about the same. But the total cost is still too much for this city. A pair of tickets will set you back over a grand which is a lot of money. Corporate support is very low here, as you can see at the salmon kings games. The three main industries here are Government, construction, and tourism. Two of those just died, so things just got much harder for them. Link to comment Share on other sites More sharing options...
Richard Posted March 8, 2009 Share Posted March 8, 2009 The Whitecaps have worked diligently to stamp their brand on soccer throughout BC, witness all the Whitecaps affiliate SYL clubs from the North Shore to the Okanagan and their close relationship with BC Soccer and the provincial allstar program. They have a W-League team and their Residency plays in the PDL. That's pretty deep commitment to USL. It will be interesting to see how they organise things once their men's first team is playing in MLS and how the Victoria Highlanders' aspirations to play USL-1 play into the mix. Link to comment Share on other sites More sharing options...
Winnipeg Fury Posted March 8, 2009 Share Posted March 8, 2009 Richard, Do you think when Vancouver makes the jump to MLS, Victoria will fill the void in USL-1 ? If so, how long will that take ? Link to comment Share on other sites More sharing options...
Guest Jeffery S. Posted March 8, 2009 Share Posted March 8, 2009 The problem with USL is that you get the impression they are just waiting around for someone to show up with a team for this or that division. You have little sense they actually try to build the league systematically, looking at regions, divisions, breakdowns. Maybe I am totally wrong, I don't know. But you'd think they'd have worked a bit more on helping some of the stronger PDL teams move up, for example, since I think there is room there. Saying this as if Vancouver goes to MLS Portland is a bit stranded for travel and if they get in too USL ends up with no teams on the West coast. Expecting Victoria to step into a USL Div 1 with no nearby teams is a bit much I think. Link to comment Share on other sites More sharing options...
Winnipeg Fury Posted March 9, 2009 Share Posted March 9, 2009 I know what you mean about the 'impression', and because it is USL, there is virtually no media coverage so these questions are never answered. But Marcos is not a stupid man, and there will be movement behind the scenes. Link to comment Share on other sites More sharing options...
Richard Posted March 9, 2009 Share Posted March 9, 2009 quote:Originally posted by Winnipeg Fury Richard, Do you think when Vancouver makes the jump to MLS, Victoria will fill the void in USL-1 ? If so, how long will that take ? The Highlanders owners did say early on that their plan was to move up to USL-1 within a couple of years but as of now the Whitecaps have the BC rights to USL-1. I have no idea what will happen when the 'Caps move their first team to MLS hence my earlier post. Link to comment Share on other sites More sharing options...
masster Posted March 9, 2009 Share Posted March 9, 2009 quote:Originally posted by Richard The Highlanders owners did say early on that their plan was to move up to USL-1 within a couple of years but as of now the Whitecaps have the BC rights to USL-1. I have no idea what will happen when the 'Caps move their first team to MLS hence my earlier post. I think it all depends on what the USL looks like on the west coast in the future. It was reiterated in an article in the Victoria Times Colonist last week that the Victoria ownership group still has their eyes on USL1. But if Vancouver and Portland are both gone in 2011 with no other replacements, I don't see it working. Link to comment Share on other sites More sharing options...
hamiltonfan Posted March 9, 2009 Share Posted March 9, 2009 Future Canadian USL1 Content Spring 09- MLS announces Vancouver will join in 2011. 2010- USL announces Victoria Highlanders to USL1 for 2011 2012-MLS announces Montreal and/or Ottawa for 2014/15. 2011/12-USL announces Hamilton to USL1 for 2014 Link to comment Share on other sites More sharing options...
Tuscan Posted April 16, 2009 Author Share Posted April 16, 2009 So would it be fair to speculate that in the next 5 years, USL-1 Canadian content should be in the following centers: Hamilton Edmonton Quebec City Victoria Not bad, considering Saputo's new focus on getting the Impact into MLS for 2012 (does he honestly think that is possible?), which would hopefully mean that Quebec City could be considered. I don't think Melnyk will ever consider USL, so Ottawa seems set to be MLS or bust straight up. Edmonton, I hope, will be it's own private organization, and not just a feeder farm club to Vancouver. On the flip side of that, if it means that Edmonton would be a main hub for developing youth talent, to sort of take the residency and prospects program over from Vancouver, maybe that wouldn't be such a bad thing (Edmontonians tell me why not). Link to comment Share on other sites More sharing options...
SteveBeau Posted April 16, 2009 Share Posted April 16, 2009 quote:Originally posted by Tuscan So would it be fair to speculate that in the next 5 years, USL-1 Canadian content should be in the following centers: Hamilton Edmonton Quebec City Victoria Not bad, considering Saputo's new focus on getting the Impact into MLS for 2012 (does he honestly think that is possible?), </u> which would hopefully mean that Quebec City could be considered. I don't think Melnyk will ever consider USL, so Ottawa seems set to be MLS or bust straight up. Edmonton, I hope, will be it's own private organization, and not just a feeder farm club to Vancouver. On the flip side of that, if it means that Edmonton would be a main hub for developing youth talent, to sort of take the residency and prospects program over from Vancouver, maybe that wouldn't be such a bad thing (Edmontonians tell me why not). Why not?? Link to comment Share on other sites More sharing options...
Tuscan Posted April 16, 2009 Author Share Posted April 16, 2009 When I wrote that, I'd totally forgotten about Garber's used car salesman approach to dealing with MLS expansion, and how he talks a lot of hot air before revealing what's really going to go down. I guess it isn't such a long shot to think that Montreal could be in MLS by 2012, hell, even 2011 by the new info that has been surfacing lately. So if Montreal leaves in 2011, leaving no Canadian USL-1 content (assuming Victoria doesn't enter immediately in 2011), won't that make things harder for people to convince investors for new Canadian franchises? I base this comment on the idea that it will be hard to convince investors that people in Canadian centers will give two sh*ts about going to see the Carolina Railhawks or the Atlanta Silverbacks. Link to comment Share on other sites More sharing options...
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