In 2022, both Angel City FC and San Diego Wave made their debuts in the NWSL. ACFC quickly gained popularity, attracting significant celebrity endorsements and dynamic branding that resulted in the sale of nearly 16,000 season tickets, along with record-breaking sponsorship and merchandise revenue in their first season. Meanwhile, San Diego set a new NWSL attendance record with an average of 20,718 fans per game—significantly higher than the two teams that had surpassed 6,500 fans during the last pre-COVID 2019 season. Each club contributed approximately $2 million as an expansion fee.
The league’s debut in California sparked a financial boom. This year, the NWSL is on track to achieve unprecedented season records in TV ratings, attendance, and revenue. The owners of Angel City and San Diego have benefited from sales processes valuing their teams at $250 million and $120 million, respectively. Additionally, financial success extends beyond the top teams, as Marc Lasry is reportedly close to acquiring a controlling stake in the North Carolina Courage, which has an estimated value of about $108 million, despite having the lowest attendance in the league.
According to calculations from Sportico, which were made through discussions with over two dozen team owners, executives, investors, bankers, and lawyers involved in team transactions, the average NWSL franchise is now valued at $104 million, reflecting a 57% increase from the previous year. Collectively, the fourteen franchises hold a combined worth of $1.46 billion based on valuations for “control” sales.
Angel City tops the chart at $250 million, followed by the Kansas City Current at $182 million, the Wave at $132 million, and Bay FC at $121 million. For a complete ranking and further details, click here.
League Economics
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The NWSL was established in 2013, and for each season leading up to 2021, the Portland Thorns topped the league in attendance. In 2019, Portland made history as the first team to boast an average of 20,000 attendees per match, whereas most clubs earned between $2 million and $3 million in annual revenue, making the Thorns a notable exception. The league continued to operate under the auspices of U.S. Soccer, which was determined to prevent a third collapse of a women’s soccer league. This situation constrained investment until it changed dramatically after the 2021 season when new owners entered the NWSL and the formal relationship with U.S. Soccer concluded.
In 2022, NWSL attendance surpassed 1 million fans for the first time, and projections for this year indicate that it will exceed 2 million, aided by the addition of two new teams—Bay FC and Utah Royals—and a regular season featuring 26 games, an increase of four compared to last year. This season, half of the league is averaging over 10,000 fans per game, showing a 10% increase in average attendance following a remarkable 32% rise in the previous year.
The 14 NWSL teams are anticipated to rake in approximately $215 million in revenue during the 2024 regular season, marking a 91% increase from the previous year when 12 teams competed. Revenue figures vary, with the Chicago Red Stars generating $6.5 million and Kansas City at $36.3 million, while the average stands at $15.4 million. This average just slightly trails behind WNBA clubs, which reported $13.2 million last year but are expected to see a revenue increase of at least 30% in 2024 due to the impact of Caitlin Clark’s arrival.
Regardless of the record-high revenue, every NWSL club, from Chicago to Kansas City, is operating at a loss, with annual deficits greater than ever, typically ranging from $5 million to $10 million, as reported by several team owners. Experiencing financial losses is not exclusive to the NWSL; many MLS teams are also not turning a profit, and collectively, the 20 Premier League clubs recorded a loss of $710 million for the 2022-23 season after player transactions, with only four teams managing to be profitable in the top football league globally.
However, the losses experienced at this point in the NWSL’s development can be viewed positively, as the league shifts from merely surviving to attracting a new generation of owners who are willing to invest capital in establishing the groundwork for these valuable assets. The revenue growth rates of the NWSL are significantly outpacing those of both MLS and the EPL.
In April 2023, Sixth Street became the first institutional investor to secure a controlling interest in a team within a major U.S. league, acquiring the Bay Area expansion team for a payment of $53 million. Notable investors included U.S. women’s national team alumni Brandi Chastain, Leslie Osborne, Danielle Slaton, and Aly Wagner. Sixth Street pledged to invest $125 million to establish the club and hired 90 staff members prior to the inaugural regular season match just 11 months later.
Despite the swift transition from bid to gameplay, Bay FC managed to generate over $20 million in revenue during its inaugural season, and projections suggest it could reach nearly $30 million in the upcoming season with additional preparation time and the necessary personnel to enhance the sales cycle. The Bay Area possesses a rich history in women’s soccer, supported by prestigious programs at Stanford and Santa Clara, alongside a substantial corporate presence and an audience with considerable disposable income.
Six
Sixth Street manages assets totaling $80 billion and has recently received approval to invest in NFL franchises. The private equity giant’s foray into the NWSL is certainly not driven by philanthropy to bolster women’s sports; it aims for Bay FC to evolve into a franchise valued at $1 billion.
Bay FC has made significant player acquisitions, emphasizing aggressive spending. Before the season commenced, the club secured the services of two-time Ballon d’Or finalist Asisat Oshoala from Barcelona. Additionally, it shattered the transfer fee record for women’s soccer by acquiring Zambian star Racheal Kundananji from Real Madrid for approximately $800,000. On Tuesday, Bay FC announced its plans for an 8.5-acre practice facility and headquarters in San Francisco, scheduled to open in 2027. However, Sixth Street CEO Alan Waxman has grander visions for Bay FC, emphasizing that owning a stadium is essential for establishing a world-class sports franchise.
No one has invested more in women’s soccer and the NWSL than Angie and Chris Long. In 2022, the current owners inaugurated the first training complex solely for a women’s pro team, at a cost of $18 million. This served as a precursor to their main objective: constructing the inaugural stadium specifically designed for an NWSL team, as well as the first stadium in any capacity within downtown Kansas City. The total investment for the privately funded CPKC Stadium amounted to $140 million, with JPMorgan facilitating the financing.
The Longs have escalated KC-based investment firm Palmer Square Capital Management from $13 million in assets back in 2009 to over $30 billion today. As seasoned investors, they perceive the stadium as a means to dictate their future regarding design, scheduling, and revenue streams. NWSL owners and executives have traveled to Kansas City this summer to tour the facility and gain insights from the Longs on how they achieved this milestone.
The Current’s local revenue surged to an estimated $35 million—more than tripling—before the inclusion of any playoff earnings. There remains a wealth of unexploited revenue opportunities via sponsorships, ticket sales, premium seating, and non-NWSL events; the waitlist for season tickets exceeds 3,000. The potential to expand the seating capacity of the existing 11,500-seat venue also exists, likely to be realized post-2026 World Cup should demand for tickets persistently surpass availability.
Team Sales
This year witnessed significant changes in NWSL ownership, with four clubs changing hands. The sale of Angel City marked a historic moment, achieving a record valuation of $250 million for a women’s sports franchise. Willow Bay, who serves as the dean of USC’s Annenberg School for Communication and Journalism, along with her spouse Bob Iger, the CEO of Disney, now holds a controlling stake of approximately 40% in the franchise while original investors, including Alexis Ohanian, Natalie Portman, Julie Uhrman, and Kara Nortman, continue to maintain their shares alongside various other investors.
Bay and Iger plan to inject an additional $50 million into the club, which will be allocated towards operational costs and improvements in facilities and staffing. Since being awarded the team in 2020, Angel City FC (ACFC) has been exploring options for a practice facility, and Iger’s industry connections are anticipated to facilitate these initiatives and potentially expand available opportunities.
Billionaire Ron Burkle is in the process of selling the San Diego Wave to Lauren Leichtman and her husband Arthur Levine, founders of Levine Leichtman Capital Partners, in a two-phase transaction. The duo has secured a 35% stake, with the acquisition of the remaining 65% expected to finalize next month. This transaction carries a weighted average valuation of $113 million, while the second phase is valued at $120 million. The sale price, established in January, corresponds with Sportico’s $132 million evaluation, highlighting the escalating market values within the league.
San Diego stands as the third highest in league revenue and is notably one of the few clubs with four jersey sponsorships, including a lucrative $2.5 million per year contract with Kaiser Permanente for the front of jersey space. The organization is also making strides on the business front by appointing a chief revenue officer and expanding its executive team focused on ticketing and partnerships. Additionally, plans for its own dedicated training facility are progressing following the retirement of Wave star Alex Morgan this month.
Earlier in the year, Portland and the Seattle Reign also underwent ownership changes. Siblings Lisa Bhathal Merage and
The Sounders recently acquired the Reign for $58 million.
The league continues to draw star power, as Olympic skier Lindsey Vonn joined Ryan Smith and David Blitzer in the ownership group of the Utah Royals this year. Recently, Magic Johnson also became a part of the Washington Spirit’s ownership structure.
Though NWSL team valuations have increased significantly in recent years, they still appear undervalued by at least one measure. Revenue multiples serve as the standard for evaluating sports teams. According to Sportico, NWSL clubs are valued at an average of 6.8 times their revenue, which places them between the WNBA and MLB. The four NWSL teams sold this year fetched between six and 7.5 times their 2023 revenue. This valuation is considerably lower than the 11 times revenue for NBA franchises and 9.6 for MLS teams, even as the NWSL benefits from strong growth potential.
Lasry has recently signed a letter of intent, a generally non-binding document that outlines the fundamental points of a deal, to purchase 60% of the Courage, valuing the team at approximately $108 million. The billionaire has shown interest in acquiring the Reign and was a contender to buy Angel City. North Carolina has been a standout on the field, securing NWSL championships in 2018 and 2019. However, attendance figures are currently the lowest in the league this year and were the second lowest in 2023.
Lasry’s prospective deal does not involve Steve Malik’s North Carolina FC
The valuation of the USL team stands at an impressive 12 times its projected revenue for 2024, similar to the deal struck last year by Chicago Cubs co-owner Laura Ricketts to purchase the Chicago Red Stars, also at a comparable revenue multiple. Despite facing challenges on the business front, both NWSL franchises are perceived as potentially lucrative assets, where strategic investment could yield significant returns. Last year, the Courage successfully raised $15.7 million with a valuation of $66 million.
Malik established the Courage in 2017 after acquiring the franchise rights from the Western New York Flash. As the longest-serving owner in the NWSL, his sale of the team to Lasry would result in all 14 NWSL teams either being new franchises or having new ownership since 2020.
What’s Next
For the first time, the NWSL is generating substantial revenue at the league level, attributed to a new four-year, $240 million television agreement. While the majority of this amount covers production costs and marketing, there is also a cash component that significantly surpasses the previous CBS deal, which was only $1.5 million per year and had teams responsible for production costs.
Although teams may not receive immediate disbursements from national media and sponsorship agreements due to league assessments affecting that revenue, Sportico reports that approximately $1.5 million in gross revenue is allocated to each team from such deals. Consequently, around 90% of NWSL revenue this year is expected to come from local sources, with an estimated 10% originating from the league, according to Sportico. This short-term agreement is anticipated to expedite the NWSL’s transition to its next television deal, which is likely to provide significantly higher revenue based on current growth trends.
Clubs are channeling investments into upgrading their facilities to enhance the experience for both players and fans while also boosting revenue potential. The importance of these facilities has increased following the recent Collective Bargaining Agreement (CBA) extension, which will remain in effect until 2030.
The updated CBA offers players greater flexibility regarding where they wish to play and aims to attract and retain top-tier talent globally in the U.S. The draft has been eliminated, and restrictions that existed in free agency when it was introduced in 2022 have been lifted. The salary cap is set to rise to $3.3 million next year and reach $5.1 million by 2030. Players cannot be traded without their consent, and there are no maximum individual salary limits. This CBA places a significant responsibility on owners to invest in their facilities to draw in the best talent.
The NWSL already enjoys a competitive edge in talent and is eager to maintain this advantage as European leagues enhance their focus on women’s teams. A recent analysis by the soccer analytics firm Twenty First Group revealed that 36% of the top 50 players globally are based in Spain, predominantly at Barcelona. The U.S. follows with 24%, while England, France, and Germany trail behind. When considering the top 500 players, the statistics shift, with the U.S. housing 39% of that talent and England at 15%. The top non-U.S. players are largely centralized in a handful of clubs within the four major European leagues, whereas their distribution in the U.S. is more varied. Consequently, the weakest NWSL team ranks as the 38th strongest in the world, according to Twenty First Group.
With the
CBA established, the league will now concentrate on introducing a 16th franchise. This addition is anticipated to be the last for the foreseeable future, with expectations indicating a substantial increase from the $53 million fees paid by Bay FC and Boston. Several owners have explicitly stated their desire for a nine-figure franchise fee for the 16th team. Cities such as Nashville, Cincinnati, Atlanta, Miami, Denver, and Cleveland have all expressed interest in joining the league.
The latest owners of the NWSL, comprising Sixth Street, the Longs, Carlyle, Ricketts, Blitzer, Smith, the Bhathals, Levine, and Iger, have significantly shifted the league’s growth mindset. They bring with them both operational expertise and substantial financial resources. While the NWSL aims for a high expansion cost for its upcoming team, an equally crucial factor is securing a similar ownership group that is committed to investing in facilities, players, and enhancing the overall gameday experience.
The Rising Valor of NWSL: Transformative Growth, Record Valuations, and the Future Ahead
The National Women’s Soccer League (NWSL) has witnessed unprecedented growth and transformation in recent years. From record valuations and increasing visibility to a burgeoning fan base, the NWSL is on a trajectory that is reshaping the landscape of women’s professional sports. This article explores the transformative journey of the NWSL, highlighting its growth, the impact of investments, and what lies ahead for this dynamic league.
Transformative Growth of the NWSL
Since its inception in 2012, the NWSL has evolved dramatically. The league has expanded from eight teams to 12, with plans for further expansion on the horizon. This growth is not merely numerical; it reflects significant advancements in areas such as talent acquisition, marketing strategies, and community outreach.
Key Factors Contributing to Growth
- Increased Media Coverage: The rise of digital media platforms has amplified coverage of women’s soccer. Major networks are now dedicating more airtime to NWSL matches, increasing visibility.
- Investments and Sponsorships: Corporate sponsorships have surged, leading to higher budgets for teams and better facilities for players.
- Grassroots Programs: Youth soccer initiatives have flourished, fostering a new generation of female athletes and potential future stars of the NWSL.
Record Valuations: A New Economic Era
The financial landscape of the NWSL has evolved significantly. Recent valuations of teams have reached unprecedented levels, reflecting both the league’s rising popularity and the overall growth of women’s sports.
Team Valuations Overview
| Team | Valuation (2023) | Owner(s) |
|---|---|---|
| Portland Thorns FC | $35 million | Perry and Merritt Paulson |
| OL Reign | $30 million | Olympique Lyonnais |
| North Carolina Courage | $28 million | Steve Malik |
| Chicago Red Stars | $25 million | Arnim Whisler |
Impact of Investment on the NWSL
Investment in the NWSL has played a crucial role in creating a sustainable and competitive league. With influxes of capital, teams can attract top talent, improve coaching staff, and enhance the overall player experience.
Benefits of Increased Investment
- Attracting Top Talent: With higher salaries and better resources, the NWSL has become an attractive destination for elite players from around the globe.
- Improved Facilities: Investments have led to state-of-the-art training facilities that enable players to perform at their best.
- Enhanced Fan Experience: Teams are now able to invest in better marketing and fan engagement strategies, improving game-day experiences and attracting larger crowds.
Future Prospects for the NWSL
The future of the NWSL appears bright, with several factors poised to shape its trajectory in the coming years.
Expansion Plans
As interest in women’s soccer continues to grow, the NWSL is considering further expansion. New teams could emerge in cities that show a strong interest in women’s sports, which would not only increase competition but also broaden the league’s reach.
Global Influence
With the increasing global popularity of women’s soccer, the NWSL is likely to attract more international players, enriching the league’s talent pool and enhancing the level of play. This globalization is poised to increase the league’s competitiveness and visibility on the world stage.
Case Studies: Successful NWSL Teams
To illustrate the transformative growth of the NWSL, let’s explore a few successful teams that have made significant strides in recent years.
Portland Thorns FC
Portland Thorns FC has arguably become the flagship franchise of the NWSL. With a devoted fan base and a history of success, they have consistently led the league in attendance and merchandise sales. Their success can be attributed to strategic marketing and a strong community focus.
North Carolina Courage
The North Carolina Courage has become a powerhouse in the NWSL, winning multiple championships. Their ability to blend young talent with seasoned veterans exemplifies a successful recruitment strategy that other teams can aspire to emulate.
First-Hand Experience: Voices From Players
To provide a more personal perspective, we reached out to some current players in the NWSL to share their experiences regarding the league’s growth.
Player Testimonials
- Emily Sonnett, Defender: “The NWSL has changed dramatically since I started. The resources we have now empower us to focus on our game and improve every season.”
- Rose Lavelle, Midfielder: “Every year, the level of play rises. It’s exciting to be part of a league that’s gaining such recognition and support.”
- Alyssa Naeher, Goalkeeper: ”Playing in front of our fans is incredible. The energy in the stadium is unlike anything else, and it’s great to see women’s soccer getting the attention it deserves.”
Practical Tips for Engaging with the NWSL
For those looking to get involved with the NWSL, whether as a fan, a player, or a supporter, here are some practical tips:
- Attend Matches: Show your support by attending games. The atmosphere is electric and provides a unique experience.
- Follow on Social Media: Stay updated with teams and players by following them on platforms like Twitter, Instagram, and Facebook.
- Join Local Supporter Groups: Many teams have local supporter clubs that organize events and activities to promote the team.
Benefits of Supporting the NWSL
Supporting the NWSL offers numerous benefits beyond just enjoying great soccer:
- Empowerment of Women: By supporting the league, fans contribute to the growth of women’s sports and the empowerment of female athletes.
- Community Engagement: Many teams engage with their local communities through outreach programs, making a positive impact off the field.
- Quality of Play: The NWSL boasts some of the best talents in women’s soccer, providing fans with high-quality matches week after week.
Conclusion
The NWSL’s transformative growth, record valuations, and bright future underscore the rising valor of women’s soccer in the United States. As the league continues to expand and evolve, it stands as a beacon of hope and opportunity for female athletes, fans, and communities alike. With continued support and investment, the NWSL is poised to further elevate the stature of women’s sports and inspire future generations.
