Sports Enthusiast
Not Here To Be Liked
I don't believe that is true. The majority of AHL teams are now owned by NHL teams. They may not be profitable in the strict sense of AHL income exceeding AHL expenses, but the economic advantages to the NHL team outweigh those considerations for those teams. Most of the privately owned AHL teams are at least making a modest profit - the ones that weren't profitable were bought and moved for the most part.
As far as the ECHL goes, I had the chance to drive commissioner emeritus Pat Kelly to the airport last season, and I asked him about that. He still attends all the league meetings and knows the owners. He said all but a few are at least breaking even. Of those that lose money it isn't a lot, and most of those are satisfied with that. The Quad City team he mentioned was operated by the owners son, who was a very poor businessman, and wouldn't listen to any help or advice from the league office or other owners. He had plenty of opportunity to do better financially, but just didn't run the team properly.
You aren't going to make millions owning an ECHL team, but the idea that every team loses money just isn't true.
Theres obviously varying factors. Most AHL teams suffer because of NHL ownership. On the ice, with the NHL teams taking over the whole income thing is more of a moot point.
The ECHL is kind of a different ballgame though. A lot of it comes down to arena ownership. If you get a certain amount of attendees per game that you need to hit to break even or even turn a profit thats one half of the battle. Theres expenses though to take care of. Obviously youre gunna pay a staff but you eill also either be paying rent or paying vendors and other stuff. Nobody really got privy to the finances but I found it interesting last year with the arena deal that was in place the guy who was to be involved figured it would be cheaper to pay for an entry fee of an expansion team rather than pay off the team debt. It was mentioned a few posts above the amount of butts you need per game to break even in juniors and this league but I always wondered about the ECHL and AHL. I figured in the ECHL it was close to 3,000. For most of the years the Jackals did hover around the mark. Granted nobody ever really knew the finances and the Nichols years they were giving free tickets away like hotcakes. I assume because they owned the arena they banked on concession sales to offset.
I should say when I heard this it was maybe about 8 years or so ago and the league landscapes were entirely different. The ECHL had all those floundering Southern markets and you had the teams in California in cities like Stockton who actually declared financial bankruptvy as a city. You also had the CHL. Maybe taking the strong CHL teams and getting rid of the smaller ECHL markets has changed things. Though im stunned Wheeling is still surviving.