NBA: Rise in a Parallel World

New York, NBA Headquarters.

A high-level meeting was underway, with all the key executives of the NBA present.

Sitting at the head of the table was NBA President Nathan Cole, carefully listening as Chief Financial Officer Richard Caldwell presented the league's financial report for the season.

"Mr. Cole," Richard began, adjusting his glasses as he flipped through a detailed financial document. "The sponsorship income of the NBA league this season has reached an impressive $4.798 billion."

A murmur of approval rippled through the conference room. The NBA had come a long way since its inception, and the financial growth was nothing short of astonishing.

Richard continued, "The total ticket revenue collected from all 30 teams amounts to $310 million. That brings the NBA's total revenue, excluding individual team profits, to $5.108 billion."

Nathan nodded in satisfaction.

The sponsorship deals alone accounted for nearly five billion dollars—an indication that the league had cemented itself as one of the most valuable sports organizations in the world.

However, ticket revenue was another story.

During the regular season, NBA teams were required to allocate 6% of their home game ticket sales to the league. During the playoffs, this percentage increased to 45%, ensuring that the league benefited from the increased ticket demand during the postseason.

Richard continued, "According to NBA financial regulations, the league is required to distribute 48% of its total revenue among all 30 teams equally.

That means $2.451 billion will be divided, giving each NBA team an equal share of $81.75 million. The financial transfers have already been processed."

Nathan leaned back in his chair, deep in thought.

The remaining 52%—$2.656 billion—was used for league operations, marketing, and administrative costs, as well as funding NBA Cares, the league's charitable division.

Richard then placed another document on the table and continued his report.

"Now, let's go over the profit and loss statements for each team."

He flipped to the first page.

The New York Knicks generated $372 million in total revenue, with a net profit of $127 million, making them the most profitable team in the league.

The Los Angeles Lakers followed closely with $334 million in revenue and $148 million in profit.

The Golden State Warriors earned $340 million, with a net profit of $89 million.

The Chicago Bulls reported $201 million in revenue and $73 million in profit.

The Boston Celtics, fresh off their championship win, had $204 million in revenue and $58 million in profit.

Nathan noted the pattern.

Teams in major markets like New York, Los Angeles, San Francisco, and Boston had a massive financial advantage.

However, as Richard continued, the numbers revealed a harsh reality for smaller teams.

The Oklahoma City Thunder reported $158 million in revenue but suffered a $15 million loss.

The Memphis Grizzlies generated $124 million but ended up with a $6 million loss.

Nathan glanced around the room. The executives were deep in thought.

It was no secret that small-market teams faced an uphill battle.

New York, Los Angeles, Boston, and San Francisco were financial powerhouses due to their massive fan bases and lucrative sponsorship deals.

Meanwhile, smaller-market teams like Oklahoma City, Memphis, and Cleveland struggled to turn a profit without superstar players or deep playoff runs.

Richard then turned to Nathan directly.

"Mr. Cole, since you own all 30 NBA teams, your total profit for the season is $1.2 billion."

Nathan nodded. It was a staggering number.

However, he knew that running an entire league wasn't just about making money.

While his teams were managed by some of the best executives in the industry, their conservative financial approach wasn't necessarily helping the NBA grow.

Without independent team owners willing to take risks—such as exceeding the salary cap to chase a championship—many teams were playing it safe.

That wasn't good for business.

Nathan made a decision.

"I'm going to sell some teams," he announced.

The room fell silent.

Nathan continued, **"Right now, every NBA team is owned by the league. Because of that, our team executives are hesitant to take financial risks, which is slowing down the league's growth.

If we sell some of these teams to wealthy investors, they'll be more aggressive in spending, which will drive competition and increase overall revenue."**

Richard nodded. "That makes sense. When outside owners are involved, they are more likely to invest in their teams, spend on star players, and improve their franchises."

Nathan smirked. "Exactly. Once the teams are sold, what the owners do with them is their problem. They can choose to spend big or remain conservative—but either way, it'll no longer be my responsibility."

Then, he turned to NBA Vice President Louis Carter.

**"Louis, I want you to hold a press conference tomorrow. Announce the league's total revenue, team profits, and our plan to allow private investors to purchase NBA teams.

Let the market decide who's interested."**

"Understood, Mr. Cole," Louis responded.

Nathan then outlined the key details for the upcoming NBA Draft before wrapping up the meeting.

---

Later, inside his office, Nathan found himself deep in thought.

Even though his net profit from this season was $1.2 billion, there was one problem—taxes.

A massive problem.

The United States had a progressive tax system.

For individuals earning over $518,400 per year, the federal tax rate was a crushing 37%.

New York also had one of the highest state and local tax rates in the country—an additional 12.6%.

Nathan did some quick calculations.

He would owe nearly $600 million in taxes.

That realization made his stomach turn.

"$600 million? That's robbery!" he muttered to himself.

Before this, he had only heard stories of billionaires paying enormous taxes, but now that he was experiencing it firsthand, it was painful.

He took a deep breath and opened his financial report.

---

[Host: Nathan Cole]

Age: 23

League: NBA

League Teams: 30

Total League Revenue: $5.108 billion

Salary Cap for Next Season: $81.72 million

Luxury Tax Threshold: $93.64 million

Average Market Value of NBA Teams: $800 million

TV Broadcasters: ESPN, TNT, CBS, YouTube TV, Fox Sports...

Personal Assets: $1.7 billion

---

Nathan skimmed through the numbers.

The NBA's average franchise value had skyrocketed from $300 million to $800 million this season alone.

At this rate, he estimated that within a few years, the average NBA team could be worth over $2 billion—just like in his past life.

His personal assets had grown significantly as well.

Out of the $1.7 billion in his account, $500 million was his original investment in creating the NBA. The league had since returned that money to him.

The remaining $1.2 billion was his profit from this season alone.

Of course, there was still the issue of $600 million in taxes.

Thinking about it again, Nathan felt extremely heartbroken.

"$600 million in taxes? That's enough to buy an entire team!" he thought to himself.

He sighed.

It was the price of success—and the cost of doing business at the highest level.