Finances in the Nfl

Cole Charboneau
October 2, 2014
Professor Norton
Discipline rough draft
Finance of the National Football League
Within the past ten years, there has been an incredible amount of record breaking contracts within the National Football League. Teams in the National Football League today are generating more money than ever before. This money is slowly launching football into America’s new favorite sport to watch. To truly understand the financial beast that is the NFL, one must examine revenue on a team basis, and exactly where that cash is flowing.
The NFL is one of the most lucrative businesses in the world. The worth of the combined 32 teams in 2012 was roughly 34.7 billion dollars, higher than the GDP of over 119 countries in the world according to (all figures based on 2012 season). To prove just how dominant football is over other professional sports, the Dallas Cowboys franchise alone is worth enough to purchase the five least grossing Major League Baseball teams. The real question is how these teams are able to generate this wealth. defines the usual purchases that fans will make at a game using average prices around the league. They are as follows:   ticket $78.38, beer $7.28, soda $4.57, hot dog $4.84, parking $27.35, program $4.06, hat $21.38 equaling $147.86. After multiplying that 147.86 by total attendance of the 2012 season, 34,357,146, giving us $5,080,047,607.56 in game day revenue. But wait! There’s more! Also according to, merchandise sales increased approximately $3 billion from 2011-2012 to 2012-2013. One of the most unknown aspects of professional sports, is how television channels go about getting the rights to broadcast the games. In 2012 CBS paid the NFL $1 billion, Fox paid $1.1 billion, NBC made a deal at $950 million, and ESPN paid an astounding $1.9 billion to the rights to air a game.
Let’s take a look at where teams are investing their capital. In the past...