War Room OT Discussion

[Lead]

He draws crazy numbers for sure. But how is UFC equity now arranged? Does the company have shares to issue or would someone need to be bought out? Might be a good way for someone regretting their investment to cash out. But why does McGregor want a tiny ownership stake when he could just take all the cash he can get and start his own promotion? Seems like a dude who'd rather run the show than be an owner with such a small share that he has no voice.

I think it depends how the sale occurred. I'm not even certain if the UFC is a C Corp, S Corp or Partnership at this point because the sales could've been for the assets of the company rather than the company itself. If it is a C-Corp (my personal guess), you can add additional shares and I believe there isn't a limit on the number of owners like an S Corp. Regardless, it's an awful idea to let fighters in on equity unless they give a bid with their own earned money and likely after their career is over.

 

[BAM]

What do you guys think of McGregor asking for a piece of the promotion? I'm pretty concerned it is the first step in the UFC collapsing as the leader in the sport and I'm a guy who always laughs at UFC is dying threads. The problem with the promotion if it has to give in to these demands is it gets more and more weighed down with prior obligations until the next superstar is able to make more money either at a leaner promotion or on their own compared to the UFC. Also, you have to add on the speculation of the debt that may be on the sale which puts pressure on huge returns in order to return the investment.

I think McGregor is the first guy that has really gotten to this point. He may be able to self promote and have major success doing so which means UFC may not be able to put it's foot down and stop this. They lose either way. Give in for a long term doom or don't give in for a short term one. It sucks cause I'm very much for a single dominant promotion as a fan.

I'd just give him more of a share on the PPV revenue for his events, his value could take a nose dive with a loss and he's only going to fight a handful of times more anyways.

 

[Lead]

I'd just give him more of a share on the PPV revenue for his events, his value could take a nose dive with a loss and he's only going to fight a handful of times more anyways.

That what I'm saying. You can't give equity everytime a guy becomes the top draw. It weighs down the company in the long run. Either Connor is foolish to expect this or UFC is foolish to give it to him

 

[BAM]

That what I'm saying. You can't give equity everytime a guy becomes the top draw. It weighs down the company in the long run. Either Connor is foolish to expect this or UFC is foolish to give it to him

I remember the Milwaukee Bucks giving George Karl equity in the team after a short period of success. They fired him about a year later, he still kept his equity.

 

[Lead]

I remember the Milwaukee Bucks giving George Karl equity in the team after a short period of success. They fired him about a year later, he still kept his equity.

I don't think with a recent sale the owners are looking to give any equity to other people. These guys want a return on investment. Even if Conor paid in the appropriate amount, I don't think they'd want him there. You add people at this stage who can do something for the business like open you up to new markets, etc. Conor isn't going to do anything new from what he is already doing as a fighter for the promotion. They would be dumb to give him equity

 

[Cubo de Sangre]

Might be a good way for someone regretting their investment to cash out.

Marky says cut him a check.

 

[JDragon]

I don't think with a recent sale the owners are looking to give any equity to other people. These guys want a return on investment. Even if Conor paid in the appropriate amount, I don't think they'd want him there. You add people at this stage who can do something for the business like open you up to new markets, etc. Conor isn't going to do anything new from what he is already doing as a fighter for the promotion. They would be dumb to give him equity

Conor is the only one capable of giving them that return. They will need to boost his salary immensely.

 

[Lead]

Conor is the only one capable of giving them that return. They will need to boost his salary immensely.

Again, that's what I'm saying. Salary you can renegotiate, equity you shouldn't because it's pretty permanent and there will always be a new top draw in time

 

[JDragon]

Again, that's what I'm saying. Salary you can renegotiate, equity you shouldn't because it's pretty permanent and there will always be a new top draw in time

But Conor cannot be replaced. I doubt we will see someone like him again too soon.

 

[Lead]

But Conor cannot be replaced. I doubt we will see someone like him again too soon.

He may not get replaced for awhile but I am certain when he falls off the top, there will be another top draw. It may take whole to get his numbers or it might not. People were panic'd when silva and gsp left around the same year thinking there would be nothing to replace them and sure enough, Rousey comes in and then eventually Conor. Talent will continue to shuffle in and I think it's more and more likely to when younger people who train grow up seeing guys like Conor handle the media. The talent will only get better.

 

[Lead]

@HomerThompson , I just remembered your answer to Fight Club having a gimmick ending. Can you explain further on this? Have you ever read the theories that Marla is also not real? What did you take from the movie?

 

[HomerThompson]

@HomerThompson , I just remembered your answer to Fight Club having a gimmick ending. Can you explain further on this? Have you ever read the theories that Marla is also not real? What did you take from the movie?

I was more referring to Norton and Pitt actually being the same guy. It's been about 12 years since I watched it, so I don't have any really good thoughts on it. I remember being disappointed in it generally, and not liking the ending either.

 

[Lead]

I was more referring to Norton and Pitt actually being the same guy. It's been about 12 years since I watched it, so I don't have any really good thoughts on it. I remember being disappointed in it generally, and not liking the ending either.

I'm somewhat young so I actually went into it not seeing a movie prior to that idea. I think the twist itself of the movie isn't what made it good however. I liked the narrative and found it to be one of the best dark comedies I've seen.

 

[Graves The Elder]

c'mon, first rule of fight club.
sheesh

 

[Lead]

c'mon, first rule of fight club.
sheesh

My bad. My bad

 

[Lead]

How did LHW get so bad the past two years. I get that it had a lot of older fighters and it was top heavy but still. It's become the least interesting division in the UFC. Three years ago, people were calling for a break to 185 195 225 and 265 or a variation. Can you imagine how shitty that would be right now with how shallow those ranges are? I personally think they should keep the weights where they are at. There may be room for one more to be added but that's it. You don't want this shit where every five pounds is a title. People say that matters a ton but somehow you see champs in boxing able to move up and down and get more titles so it can't be that crazy. Hell we have a champ who jumped 10lbs up and made it look easy. To think we need a division between that is silly

 

[Lead]

Dat belt drop doh

 

[Fawlty]

I was more referring to Norton and Pitt actually being the same guy. It's been about 12 years since I watched it, so I don't have any really good thoughts on it. I remember being disappointed in it generally, and not liking the ending either.

The reveal works way better in print. There is a lot of foreshadowing that film doesn't capture well.

 

[HomerThompson]

Dat belt drop doh

Conor v Mayweather confirmed.

 

[HomerThompson]

The reveal works way better in print. There is a lot of foreshadowing that film doesn't capture well.

I should really read the book.