Buccaneers and Man United owner gets PPP loan, with Glazer family among many sports organizations on SBA list


A Glazer family-owned company that also owns the NFL’s Tampa Bay Buccaneers and the Premier League‘s listed Manchester United – teams worth a combined $ 5.4 billion at the current value of the United company – Received a loan under the Paycheck Protection Program, according to the Small Business Administrative Report released Monday. Glazer Management, a commercial real estate company run by Kevin Glazer, one of six children of the late Patriarch Malcolm, received between $ 350,000 and $ 1 million to save 39 jobs.

Although the SBA says the loan was filed for a company operating as a sports team, spokespersons for Glazer Management and the Buccaneers separately said the funds were being used for the real estate business and neither team did not have access to money. Yet it is one of 531 PPP loans, with a total value of between $ 173 million and $ 429 million, which had been made available to sports teams and associated spectator businesses as of June 30.

After the Los Angeles Lakers, the second most important team in the NBA, is worth $ 4.4 billion, were publicly ashamed to return $ 4.6 million in PPP money in April, the sports world seemed to be wondering whether it should get help from the coronavirus loan program. The biggest criticisms of the PPP loan program have been the lack of oversight by the SBA in loan approval, the number of loan applications per wealthy individuals and public companies with access to other stock markets, and the allocation of money to organizations that may not be what most people think of a small business.

The appearance of Glazers on the latest list of loan recipients shows that pushback has not eliminated these problems. Forbes believes that the value of family is just outside the list of the 20 richest sports team owners in the world. And neither Glazer Management nor the Buccaneers could explain why the company used the sports industry classification on its loan application if the money was for the real estate business.

Perhaps anticipating a backlash, the front offices of America’s Big Four leagues decided to ignore the two rounds of PPP loans, each recounting Forbes in April that they didn’t have and were not going to apply.

It was a different story for MLS, where the team’s average value is $ 313 million and most of the teams are operating with a large loss. In May, the Athletic reported that at least 12 clubs had approved PPP applications but that not everyone was sure they would accept the funds.

Yesterday it turned out that at least five did. The league’s most recent expansion team, Inter Miami, received between $ 1 million and $ 2 million, as did DC United and the Philadelphia Union. The Seattle Sounders and Orlando City Soccer Holdings, which is also the parent company of the NWSL’s Orlando Pride, each received between $ 2 million and $ 5 million.

The National Women’s Soccer League did not hesitate to receive money. In an interview with the New York Times Last week Commissioner Lisa Baird said the money was used to cover player salaries and had helped his league become the first American team sports league to return to the game when the Challenge Cup kicks off on June 27. All players were guaranteed their full season salary and benefits whether or not they participated in the tournament. She and other front desk staff suffered pay cuts.

Although the minor league baseball season has been in jeopardy since the coronavirus shutdown began and has been canceled entirely Several teams last week, including affiliates of the New York Yankees (the most valuable MLB team, at $ 5 billion) and Boston Red Sox (worth $ 3.3 billion), have received loans.

While esports has helped fill a void left after the closure of live sports, several companies in this space have applied for loans. FaZe Clan, which closed a A funding round of 40 million dollars in April and is worth $ 240 million, received up to $ 2 million. Envy Gaming, which competes as the Dallas Empire in Call of Duty‘s league and as Dallas Fuel in the Overwatch League, were approved for loan in the same range.

The loans went beyond teams. Famous batmaker Louisville Slugger, who ran out of cash in the first round, received over $ 2 million in the second round of PPP loans and brought 171 staff back on leave as the baseball tried to come back to the field.

Several agents and arts agencies have also signed up for the SBA’s list. Scott Boras, who racked up $ 118.8 million in contract commissions last year to rank second in most powerful sports agents worldwide, took between $ 1 and $ 2 million for his agency and over $ 700,000 more for his marketing business and training institute.

A total of 4.9 million PPP loans had been approved as of June 30, according to the SBA report. In total, these loans are worth $ 521 billion, and there is about $ 130 billion left in the pot.

Disclosure: Forbes Media has been approved to receive between $ 5 million and $ 10 million in PPP funds, according to SBA data.


About Hannah Schaeffer

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