How Do MLS Teams Spend Their Money?
The two most important factors to consider with MLS team spending
MLS teams have spent $1.9 Billion since 2017. Let’s take a look at how this money has propelled the league to new heights in 2023 and also consider that some have spent that money better than others.
Who Employs The Most Millionaires?
Why is $1 million in guaranteed compensation for one player an important distinction? There are two main reasons:
Firstly, this is the amount of money that is needed to bring in the superstars like David Beckham, Lorenzo Insigne, Zlatan Ibrahimović, and many others that have increased the name recognition of the MLS around the globe.
This global-scale marketing was crucial for the MLS to get off the ground and legitimize itself as a professional league.
The second reason that millionaire players are a big deal is that this amount of money is needed to bring in the players that add substance to the MLS game, even if they are less heralded than the older European superstars.
Consider how Miguel Almirón’s contributions to Newcastle has helped legitimize the MLS to many younger players hoping to make the jump to a top 5 league in Europe. Also, consider how World Cup-winning Thiago Almada is months away from doing the same. Both of these players required millions in salary during their time in the MLS.
These players also contribute to the massive gains MLS has made on its own field, for example, Nicolás Lodeiro and Raúl Ruidíaz were crucial to Seattle winning the MLS’ first Continental trophy over a Liga MX team.
So, the MLS teams that employ the most millionaires need to be celebrated. The teams that continue to push this boundary will bring in more eyes and push MLS to higher levels of soccer on the world stage.
Since the MLS is still expanding, we will narrow this question down to who has employed the most millionaires per season.
Seeing Miami, the LA teams, Seattle, and Toronto top this list is not surprising. But special congratulations to FC Cincinnati for pushing the boundaries in their young MLS life. This spending is finally paying dividends and is one of the main reasons for their surge up the standings in the past two seasons.
Has That Spending Paid Off?
While this spending definitely pushes the MLS forward from a marketing perspective, it is not guaranteed to be great for the specific team spending the money. So, who has figured out how to spend their money wisely?
Kudos to the NY Red Bulls, who just edged out Philadelphia, for being the most efficient spending team in the MLS. Spending recklessly can cause significant damage (is anyone going to follow this year’s Toronto FC model?).
While efficient spending is crucial to the future growth of the MLS, focusing on the most efficient teams is not the takeaway here. While the NY Red Bulls are the most efficient spender in MLS, it is largely because they spend less on players than any other team.
The true future of MLS will be written by teams like LAFC and Atlanta United. These teams combine the benefits of high-wage spending on stars, with the ruthless efficiency of ensuring these players contribute to winning at the highest levels.
What Is This Spending For?
Why do MLS owners spend money? Of course, it is to make more money at the end of the day! MLS has reached a crucial stage in its development where spending money on the right name, and the right player, are important considerations. How has your team spent its money over the past few years? And where would you like them to spend it moving forward?
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