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Investing in Sports

By Consultants Review Team Saturday, 16 May 2020

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Consultants Review Team

Review of all types of investments, their pros, and cons, assessment of sports investment risks.

Thanks to the large audience that any sporting event concentrates around itself, investing in sport have become one of the most popular and interesting ways to successfully add your money. There are many ways to invest in sports - from a minimum bet on your favorite team to buying it for several million. In this area, there is a huge amount of money, which attracts more and more investors. It is worth knowing that investing in sports means not only getting positive material consequences, but also a beneficial impact on the social and cultural sphere. By investing in the production of sports equipment or in the construction of stadiums, the investor, thus, contributes to the formation of a healthy nation.

Invest in sports - sports company shares

If you invest in shares of manufacturers of sportswear, footwear, equipment, inventory, outfit, you can earn good money. Today the companies Adidas, Puma, Nike are considered promising. Such investments in sports will provide up to 15-20% per annum. You can also buy shares of sports TV channels or football clubs. But here you need to act very carefully, because such investment instruments are inherently unstable - shares of football clubs tend to rapidly lose in price. For example, one of the leading clubs in Portugal - "Porto" has depreciated 5 times over the past 5 years.

Investments in sports - subsidiaries and sports facilities

This type of investment is most commonly used by sports clubs and federation leagues. They invest their earned money in the reconstruction or construction of facilities (stadiums, ice rinks, sports centres). This allows some clubs to save money on renting a stadium or other sports ground (but clubs are not actually for sale). Investing means having substantial capital and can bring good profits on a long-term basis.

Investments in coaches and athletes

All sports clubs are interested in a stable flow of fans in the stadiums. Therefore, they invest in skillful coaches, popular players to attract even more attention of the target audience. Also, in order to educate promising young people, train coaches and other staff, organizations open special sports schools. Thus, the level of skill of players increases, and consequently, the number of interested spectators increases. The more people attend the games, the higher the advertising price for the organizers.

Investing in online sports venues

Every famous sports club necessarily has its own website. Here fans can get the latest information from the original source about all changes in the team, its plans and forecasts for the future. Coaches publish training schedules, games and so on. Readers can get feedback by asking their idol a question. Investments in websites are considered promising because the advertising space here is expensive. But you should choose an online resource with a large number of visitors per day, constantly updated content, user-friendly interface.

If you think about investing in sports, you should decide on the type of investment, choose the most successful strategy, consult with reputable experts. The most popular today in this segment is considered betting, where you can bet with a minimum capital. If you think about opening offline business, then you need to create a business plan and develop a marketing strategy. In any case, it is better to act, sometimes make mistakes and win in the end than to be static and passive.


 

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