Latest news with #DonnDavis
Yahoo
22-05-2025
- Business
- Yahoo
Trump Bill Advances as Team Owner and College Tax Breaks in Peril
The omnibus 'One Big Beautiful Bill Act' passed by the House of Representatives Thursday morning takes aim at team owners' coveted ability to write off most of the purchase price of a sports team, with a clause that would remove billions of dollars from being deducted on taxes. 'The bill itself, vis-a-vis sports teams ownership, isn't really a great thing,' Irwin Kishner, a partner at the law firm of Herrick, Feinstein, said on a phone call. 'You could argue the valuations of sports teams would be less than they were prior to that tax treatment.' More from Baseball America the Latest to Be Target of 'Bork Bill' Congress May Have to Settle NCAA Athlete Eligibility Issue Coffey Talk: Donn Davis on PFL's Rise and Sports 'Ego Money' The bill, now numbered H.R. 1, covers a multitude of spending priorities including border security, defense and taxation, among others. The legislation also takes a hatchet to amortization, which is the depreciation of non-tangible assets often termed goodwill. Typically, 90% or more of a team's purchase price is goodwill, which excludes physical assets a team might possess, such as its stadium and weight room equipment. 'Team owners were allowed to deduct 100% of the purchase price over 15 years, and now they're only allowed to deduct 50% over 15 years, if it comes to law,' Robert Raiola, director of the sports and entertainment group at PKF O'Connor Davies accounting firm, said on a phone call. Amortization is an accounting principle meant to assess a decline in value over time, like its cousin depreciation, which is meant to account for physical assets wearing out, such as machinery. In sports, values don't typically decline. The 1973 New York Yankees sale to George Steinbrenner is believed to be the last time a franchise from the big four U.S. leagues traded hands at a loss. The amortization of team values is an under-the-radar tax benefit that is a key part of the calculus used in the decision to buy a U.S. sports franchise—and it plays a role in the skyrocketing prices paid for franchises in recent years. For example, under existing law, a team owner paying $1.6 billion for a franchise where $1.5 billion is intangible goodwill could deduct that $1.5 billion over 15 years. That $100 million annual deduction of taxable income probably saves the average team owner $40 million in actual taxes, assuming a 40% blended federal and state tax rate. Those deductions do raise the taxable income if and when the team is sold—all $1.5 billion would be a gain to be taxed—but not paying taxes today is preferable to paying them in the distant future. The proposed law, which now moves to the Senate, means team owners would still get a $20 million annual tax savings under the example above. As drafted, it would cover all professional sports teams, and specifies football, hockey, soccer, baseball and basketball as examples. The amortization reduction applies only to new purchases after the bill becomes law, so any revenue bump to the federal government would be muted by the fact current team owners will be exempt under the proposal. 'The general public doesn't really feel sorry for these people either way, but for the owners themselves, it has a huge impact,' Kevin Thorne, managing partner of tax-focused Thorne Law Group, said on a phone call. 'I think it's going to be changed by the time it goes fully through [the Senate and reconciliation process]. A lot of people are going to be getting phone calls on The Hill.' Two years ago Congress eliminated the ability of team owners to immediately depreciate the value of tangible assets of their franchises. Tax benefits 'are a big part of the calculus' of buying a team, Kishner said. 'But it's still a regulated asset in that supply is less than demand and people have historically done very well owning these franchises.' H.R. 1 also seeks to tax college athletic department licensing revenue. Typically, all nonprofits must pay income tax on revenue from activities not central to their tax-exempt status to avoid giving charities a competitive advantage over for-profit businesses. Yet under current law, income from the sale or licensing by a college of its name and logo is exempt from unrelated business income taxation. This money can be significant: Ohio State University's athletic department for example, made $34.1 million in licensing and advertising revenue in the latest reported year, according to the Sportico College Sports Finances Database. Athletic department logos of seemingly every college in the U.S. are widely licensed for apparel and other goods. That money would now be subject to the 21% corporate tax rate—at the same time the NCAA is proposing expanded scholarship limits and direct payments to athletes. Another clause in the budget as passed would allow health savings account money to be used to pay for gym membership, capped at $500 a year per person and $1,000 per family. Publicly traded gym operators Planet Fitness (PLNT) and Life Time Group Holdings (LTH) were up modestly in trading today, outpacing the broader market. H.R. 1 passed the full House by a vote of 215-214 with one abstention, and it will likely see changes in the Senate, despite the Republicans' six-seat advantage. Senate Majority Leader John Thune has set a July 4 target date to pass the legislation. The bill, weighing in at more than 1,100 pages, will now be referred to the Senate finance and budget committees, which may propose amendments that will need to be reconciled with the House version. Both bodies will need to approve by majority vote a final version before it can be sent to President Trump to be signed into law. With assistance from Michael McCann Best of Most Expensive Sports Memorabilia and Collectibles in History The 100 Most Valuable Sports Teams in the World NFL Private Equity Ownership Rules: PE Can Now Own Stakes in Teams Sign in to access your portfolio
Forbes
17-04-2025
- Sport
- Forbes
Donn Davis Talks 2025 PFL World Tournament Changes, Upsets And More
PFL (Professional Fighters League Europe) founder and president Donn Davis answers journalists ... More questions during the Professional Fighters League Europe (PFL) event at the Accor Arena in Paris, on March 7, 2024. (Photo by FRANCK FIFE / AFP) (Photo by FRANCK FIFE/AFP via Getty Images) The Professional Fighters League is in the early stages of its 2025 World Tournament. This week, the promotion is in Orlando, Florida, for Week 3 of the tournament, which features the first-round matchups in the middleweight and lightweight divisions. Three former PFL tournament winners are involved in this week's event. PFL founder and chairman Donn Davis answered some questions about the current PFL Tournament ahead of Friday's event, which ESPN will carry live. The first two events of the 2025 PFL World Tournament took place on April 3 and April 11 at Universal Studios in Orlando. That site also hosts the upcoming April 18 event. Unlike the first two cards, which streamed on ESPN+, the PFL World Tournament 2025 3 fight card will be carried on ESPN proper while also streaming on ESPN+. ORLANDO, FL - APRIL 03: Jason Jackson celebrates after fighting against Andrey Koreshkov during the ... More first round of the PFL 2025 World Tournament at Universal Studios on April 3, 2025 in Orlando, Florida. (Photo by) Davis told Forbes he is happy with the viewership numbers of this year's first two fight cards, "Yes, we're very pleased," said Davis. "Across our global media partners, digital platforms, we have seen a significant uptick from last season, and it shows that fans are responding to the fresh look of the PFL World Tournament and the stakes that surround each also have seen that MMA fans viewing habits are now heavily streaming-focused, and we are seeing growth there." In previous years, the PFL moved things around for its first-round events, hosting the fight cards in different cities. This year, the promotion decided to hold its first four events in the same location, Universal Studious in Orlando, Florida, before hitting the road for the future rounds of the tournament. "By holding the first round of our 2025 World Tournament at Universal Studios Florida, we've created a high-quality production environment to launch this historic change in our format," Davis said of staying in Florida for the first round. "This residency streamlines our logistics, enhances the global broadcast, and gives us a controlled setting that allows us to put on our best product." The decision to hold the first-round events in one location was not the only change the PFL made heading into the 2025 PFL World Tournament. One of the more attention-grabbing changes was the prize for winning the tournament went from $1 million to $500,000. "Let's be clear: $500,000 is still the highest tournament prize in MMA today," said Davis. "And in 2025, through the $20 million total prize pool, we're investing more broadly across fighter pay, including higher base purses and performance incentives. It's about creating sustainable careers. Our model puts more fighters in position to earn more, more often. That's real progress for the sport." The first two events of the year have seen upsets and weight misses, knocking some of the early betting favorites from the tournament; this is something the PFL has taken in stride and perhaps expected and even looked forward to in the case of the upsets. ORLANDO, FL - APRIL 11: Liz Carmouche speaks with Dan Hardy after defeating Ilara Joanne during the ... More first round of the PFL 2025 World Tournament at Universal Studios on April 11, 2025 in Orlando, Florida. (Photo by) "This is the beauty and the brutality of a world tournament. You've got to make weight. You've got to win. No politics. No picking and choosing opponents. It's win or go home," said Davis. "While unfortunate, it also creates room for new stars to emerge and showcases the depth of global talent in our roster. That's what makes our format so compelling. You've already seen upsets also, like Ekaterina Shakalova from Ukraine, or Justin Wetzell, who was the biggest betting underdog I can remember. You never know what will happen." The 2025 PFL World Tournament 3 fight card takes place on Friday, April 18. We will have live results for both the prelims and main card. Prelims begin at 5 p.m. ET on ESPN+, while the ESPN main card starts at 7 p.m. ET. HOLLYWOOD, FLORIDA - AUGUST 16: Impa Kasanganay gestures after his light heavyweight fight against ... More Josh Silveira during the PFL 2024 Playoffs at Hard Rock Live in Seminole Hard Rock Hotel & Casino on August 16, 2024 in Hollywood, Florida. (Photo by) 2023 light heavyweight tournament winner and 2024 PFL 2105-pound tournament finalist Impa Kasanganay vs. former Bellator title middleweight title challenger Fabian Edwards headlines Friday's event. Also on the main card is the winner of the 2024 lightweight tournament, Gadzhi Rabadanov, who faces former UFC fighter Marc Diakiese. 2022 welterweight PFL tournament winner Sadibou Sy is also part of the main card. He faces Dalton Rosta.
Yahoo
02-04-2025
- Sport
- Yahoo
As the 2025 PFL season kicks off, is it make or break time for MMA's co-leaders?
Are Donn Davis and the PFL brass facing a pivotal crossroads in 2025? (FRANCK FIFE/AFP via Getty Images) (FRANCK FIFE via Getty Images) Whether it's a good idea or not to trot out MMA's greatest relics is a matter of personal taste, but for better or worse the GFL is creeping — very slowly — onto the fight scene. We've heard all the jokes. Geriatric Fight League. Only five fighters among the current batch of heavyweights on the roster fall under the age of 40. The other seven carry an average age of 43, with the eldest being Aleksei Oleinik, who is 47 years young. Advertisement Oleinik isn't the oldest in the GFL, though. That distinction belongs to Yoel Romero, who is documented to have been born a few months earlier than the 'Boa Constrictor.' Of the seven men's weight classes, a collection of 84 men from bantamweight to heavyweight, only six are under the age of 30. The other 78 have much longer teeth. Andrei Arlovski, who is on Team Los Angeles, competed at UFC 28 nearly a full year before 9/11. In other words, what could possibly go wrong? And why bring up the GFL's free-wheeling gamble at recycling legacies, for a column about the PFL? Because that's where potential disaster looms! Because curiosity is the first step in achieving pure, borderline-spiritual morning-after guilt, which is of course the sport within the sport of MMA. And because, well, it's at least a talking point. Advertisement You won't find as many talking points heading into the 2025 PFL tournament, which kicks off Thursday night in Orlando. In fact, the buzz has been next to nil, which is a little worrisome for the so-called co-leaders in MMA promotion. It's been dubbed March Madness x MMA, a single-elimination tourney featuring 64 fighters spread over eight weight classes (the seven men's and women's flyweight). More simply put, eight miniature eight-person brackets, all slugging it out in the ultimate battle of attrition for the chance at $500,000. Not a million dollars this time. Five-hundred thousand. Half of what we're used to. This is one of the many things that have changed, and uncertainty becomes part of the PFL's storyline. Advertisement In past years, the PFL's biggest, most compelling draw were those seven figures at the end. Where it lacked an identity, it made up for in prize money. The $1 million reward was a great, big, dangling carrot, because we knew how much harder that kind of cash would be to come by in the UFC. Kayla Harrison was a millionaire before she ever set foot in the UFC's Octagon because she'd come from the playgrounds of the PFL. That at least could be considered a 'positive reflection.' Now — even if the PFL claims to be distributing $20 million in total for the tournament — that distinction is gone, meaning it's left to the fighters themselves to create the hook. It doesn't help that none of the participants are named Dakota Ditcheva, perhaps the most marketable star on the PFL's roster. None are named Francis Ngannou, who is among the very best heavyweights in the world (if not the best). None are even named Paul Hughes, who took Usman Nurmagomedov to the wire in one of the great inspiring performances back in January. Those fighters belong to a special stratosphere in the PFL's (ever mysterious) grand scheme, which to many fans has come to resemble purgatory. When will we see any of them again? When is the next PFL Champions Series? That's been the new real million-dollar question. The 39-year-old Cris Cyborg reminded everyone of the kind of killer she is by dramatically overcoming Larissa Pacheco back in October, and here we are nearly six months later and … crickets. Cris Cyborg has been absent since her win over Larissa Pacheco. (Matt Davies/PxImages/Icon Sportswire via Getty Images) (Icon Sportswire via Getty Images) She obviously won't be competing in the tourney. Nor will Patricio Pitbull, who jumped ship for the UFC after a very public falling out with the PFL. Many of the bigger Bellator names are now in other organizations or at large, nowhere to be found in the PFL ranks. Advertisement Instead, the tournament will be comprised of a hodgepodge of respectable names who fall into a select group of competitors — Bellator holdovers, professional tournament limboists, woodwork fighters with key associations (wasn't Rob Wilkinson Israel Adesanya's first fight in the UFC?), former UFC fighters, Russians, second-winders, and Mads Burnell. If there are blood feuds in these brackets, you're going to have to research them yourself. Right now, the central idea is that you lose you go home. Go home? That seems kind of stark to a fighter just trying to make a living. Especially when so many of these fighters just want to fight. Not that there aren't new concepts in play this year. Gone is the regular season format — a smart move because if there's anything MMA can't stand, it's foreplay — in are the elbows. Elbows are totally legal for this tourney, which is a welcome change. The training wheels didn't help sell the PFL to MMA fans used to the rules as they stand. So, there's that… Advertisement Yet the major story is where PFL stands as a whole. More directly: Is 2025 the beginning of the end? To judge by the overall dissension among the fighters in 2024, optimism isn't at an all-time high. There are plenty of warning signs that the problems are outpacing the positive vibes. It's not just that so many fighters came to distrust the promotion over the past year, butting heads over contractual disputes while wasting away on the sidelines. It's the red flags that come with restructuring, when company theories are having a hard time becoming fact. When cutbacks become a reality. It's the blurred lines between a roster purge and an exodus, which is never a good sign. Patricio Pitbull made it clear he wanted out, and the PFL, to its credit, ultimately granted his wish. Advertisement The thing is, when indifference sneaks into equation, fight brands have a tendency of going away. And part of the problem with the PFL — which purchased Bellator at the end of 2023 and had massive plans — is that indifference quickly became the norm. There were some good inroads made in Europe, especially when Ditcheva beat UFC veteran Taila Santos in November to become one of the breakout stars of 2024, yet four months later she is out of sight, out of mind. The momentum that came from Ngannou's triumphant return to MMA back in October? Feels like an eon ago. And wish-casting for a fight with UFC champ Jon Jones does nothing to close the distance. What helps differentiate the UFC from other promotions is that it's set up to be a naturally forward-thinking machine. Big fights are fun, but it's the fixation on 'what's next' that makes it thrive. Stars are made within the possibility of just how far they can take things within that structure. The endless projection of what comes next feeds everything, week to week, with fans, media and the fighters themselves. With the PFL, the 'what's next' has been nearly impossible to track — to the point that the question itself begins to feel a little grim. There are those of us who hope it's not the beginning of the end. Even if the idea of being a 'co-leader' in MMA came with a wink, a second platform in the sport is a necessary thing. Fighters need options, and the UFC shouldn't be left in control of so many fates. PFL bought Bellator to combine forces in bringing the MMA world that other option. Advertisement On Thursday night, from the Universal Studios in Orlando, Florida (the prelims airing live on ESPN+ at 7 p.m. ET, and the main card on ESPN+ and ESPN2 at 10 p.m. ET), PFL's main event will feature a bout between former Bellator welterweight champions Jason Jackson and the Andrey Koreshkov, with a co-main clash between bantamweights Adam Borics against Jesus Pinedo. Fine fights to kick things off, for anybody who cares to tune in. If you don't, the bigger battle remains the one the PFL is fighting.
Yahoo
12-03-2025
- Sport
- Yahoo
Josh Thomson urges PFL to 'get their sh*t together'
Josh Thomson worries about the state of PFL, and there's one recent moment he experienced with PFL co-found Donn Davis that understates why. "Let me give you an example," Thomson told MMA Junkie Radio. "I worked the (Battle of the Giants) Riyadh show for them. Donn Davis literally walked up to me, 'Hey, man, love watching your fights. I'm pumped to watch your fight tomorrow night.'" Thomson, a former Strikeforce champion, hasn't competed since Bellator 172 – in 2017. "I just shrugged it off," he said. Thomson, who co-hosts the "Weighing In" podcast with John McCarthy, said the PFL has been a mess since their acquisition of Bellator, for which he fought and worked as a commentator. Many fighters, such as Patricio Freire, Aaron Pico, and Patchy Mix have wanted out due to being shelved, with former champion Freire recently getting his wish. Thomson thinks it's important for fighters to have options outside of the UFC and doesn't like what he's seeing out of PFL. He was particularly critical of Davis and PFL CEO Peter Murray. "I wish PFL would get their sh*t together," Thomson said. "The bottom line is we need another promotion (other than the UFC). We need another promotion that has access and can build upcoming talent. I don't know if they can build it. Mike Kogan is there so, I know that there's a potential for the athletes to be built. Do I have faith in Donn Davis and Pete Murray? I have absolutely no faith in them in being able to get the job done. They don't watch the sport, they don't know the sport, they don't know their athletes. ... "If you don't know, you don't know. So, if you're not following the sport – (Davis has) come out and said 'I don't watch fights, I don't know everything that's going on.' That's not how you build stars. You've got to know who they are." The PFL ditched its regular season format and instead this year is running eight separate division tournaments, with the brackets announced Tuesday. As of now, it's unclear what the PFL plans for its prized signing, Francis Ngannou, who debuted for the promotion last October. Also, when will Jake Paul, who signed a deal with the PFL in January 2023, make his promotional debut – if ever? While Thomson is skeptical of the original PFL brass, his faith remains in Kogan, the former Bellator matchmaker who worked for Scott Coker and was retained by PFL during the acquisition. "Mike Kogan can definitely step in and do that," Thomson said. "He's built stars in Elite XC, in Strikeforce, and he's helped alongside with (Scott) Coker, Rich Chou, and those guys. He can do it again for the PFL, but you've got to give him some reigns to go ahead and do that." Aaron Pico implores Donn Davis to 'do what is right,' grant PFL release so he can join UFC Bellator champion Patchy Mix still frustrated with PFL: 'I've been shelved' Donn Davis defends activity of Bellator fighters, hears from Patricio Freire in response This article originally appeared on MMA Junkie: Josh Thomson urges PFL to 'get their sh*t together'
USA Today
12-03-2025
- Sport
- USA Today
Josh Thomson urges PFL to 'get their sh*t together'
Josh Thomson worries about the state of PFL, and there's one recent moment he experienced with PFL co-found Donn Davis that understates why. 'Let me give you an example,' Thomson told MMA Junkie Radio. 'I worked the (Battle of the Giants) Riyadh show for them. Donn Davis literally walked up to me, 'Hey, man, love watching your fights. I'm pumped to watch your fight tomorrow night.'' Thomson, a former Strikeforce champion, hasn't competed since Bellator 172 – in 2017. 'I just shrugged it off,' he said. Thomson, who co-hosts the 'Weighing In' podcast with John McCarthy, said the PFL has been a mess since their acquisition of Bellator, for which he fought and worked as a commentator. Many fighters, such as Patricio Freire, Aaron Pico, and Patchy Mix have wanted out due to being shelved, with former champion Freire recently getting his wish. Thomson thinks it's important for fighters to have options outside of the UFC and doesn't like what he's seeing out of PFL. He was particularly critical of Davis and PFL CEO Peter Murray. 'I wish PFL would get their sh*t together,' Thomson said. 'The bottom line is we need another promotion (other than the UFC). We need another promotion that has access and can build upcoming talent. I don't know if they can build it. Mike Kogan is there so, I know that there's a potential for the athletes to be built. Do I have faith in Donn Davis and Pete Murray? I have absolutely no faith in them in being able to get the job done. They don't watch the sport, they don't know the sport, they don't know their athletes. … 'If you don't know, you don't know. So, if you're not following the sport – (Davis has) come out and said 'I don't watch fights, I don't know everything that's going on.' That's not how you build stars. You've got to know who they are.' The PFL ditched its regular season format and instead this year is running eight separate division tournaments, with the brackets announced Tuesday. As of now, it's unclear what the PFL plans for its prized signing, Francis Ngannou, who debuted for the promotion last October. Also, when will Jake Paul, who signed a deal with the PFL in January 2023, make his promotional debut – if ever? While Thomson is skeptical of the original PFL brass, his faith remains in Kogan, the former Bellator matchmaker who worked for Scott Coker and was retained by PFL during the acquisition. 'Mike Kogan can definitely step in and do that,' Thomson said. 'He's built stars in Elite XC, in Strikeforce, and he's helped alongside with (Scott) Coker, Rich Chou, and those guys. He can do it again for the PFL, but you've got to give him some reigns to go ahead and do that.'
