Zuffa should sell UFC right now...

Underground
1

That's right... Zuffa should get out while the gettin's good.

They've made multiple tens of millions, but mostly due to the fact that they've kept costs low and prices high because of the lack of competition.

Just look at the competition that will arise over the next year or so in the United States:

Pride

Bodog

WWE

Showtime

HBO

IFL

MMA will never rival the NBA, MLB, NFL or any other major sport in popularity.

Their costs are going to have to go up to compete... their market share will definitely come down. Not to mention... the market is going to change significantly if someone like HBO just decides to hold one-offs like Silva-Ortiz that pay each fighter 3 million dollars each.

Sell now. The UFC will never be more valuable to a potential buyer than it is right now.

2

Even if we were to accept your premise, you have to consider that the owners enjoy the sport and their inolvement in it. As people of great wealth already, this likely outweighs any of the money that might potentially be left on the table by not selling the business at its peak.

3

Agreed GMan99.

It's obvious the Fertitta's and Dana White love MMA and being involved in it.

4

LOL. None of these groups would even be interested in MMA if it weren't for the UFC.

5

They should sell the UFC aye? Well, I'm sure Zuffa will run straight to the UG for advise on their major business decisions.

6

Expect mergers. Especially among some of the newest independent promotions.

7

good post. makes sense.