Latest news with #athletepayments
Forbes
4 days ago
- Business
- Forbes
Grand Slam Track In Trouble As Founder Michael Johnson Admits League Has 'Major Cash Flow' Issues
PHILADELPHIA, UNITED STATES JUNE 1: American former Olympic champion sprinter Michael Johnson, the ... More founder and CEO of Grand Slam Track Series is seen during Day Two of the Philadelphia event at Franklin Field in Philadelphia, Pennsylvania, United States, on June 1, 2025. (Photo by STR/NurPhoto via Getty Images) On Thursday, a little over a month since Grand Slam Track announced an end to its debut season – citing a change in the 'global economic landscape" – league founder Michael Johnson appeared live on Front Office Sports Today and admitted there was more to the story. Our own reporting found on July 14 that the league owed over $77,896 for a facility rental of the Ansin Sports Complex in Miramar, Florida following its second event, Grand Slam Track Miami, and owed an additional $14,928.50 for ticket surcharge fees. But that was only the tip of the iceberg. Reports also indicate that Grand Slam Track has only paid a margin of its athlete appearance fees and owes almost all of its prize money won by athletes over three meets in Kingston, Miami and Philadelphia. In total, reports suggest that total is over $13 million. Early this week, World Athletics president Sebastian Coe said the sport's governing body is monitoring athlete payments from the league. 'It's not a good look,' Coe said. 'The one thing World Athletics has always stood behind is the athletes. So yeah, this is not a good situation. It's a startup, but the athletes do need paying.' Behind The Reported Problems Of Grand Slam Track When Grand Slam Track first unveiled its vision for a reimagined track league in June of 2024, it announced '$30 million in financial commitments from investors and strategic partners,' including from the likes of Winner's Alliance, a commercial sports licensing firm. But on Thursday, Johnson said a major investor pulled out of that agreement, reneging on an eight-figure term sheet, according to Front Office Sports. He did not name the investor. 'We've had a very difficult situation financially,' Johnson said. 'We had an investor who wasn't able to honor their complete commitment to the league. We started with the capital that we needed to get through the season as we planned it with four slams. And to make sure we can take care of everyone.' Fast spending likely contributed to the league's situation. Johnson revealed that Grand Slam Track included luxuries that most track and field events rarely offered for athletes – airfare, single-occupancy rooms at hotels and plenty of days to acclimate to meet surroundings. 'We committed to treating them that way,' Johnson said. But Johnson admitted fault in planning for the series itself, too. Scheduling four meets exactly one month apart from one another – in April, May, June and July -- placed the league in a situation which did not give it enough time to breathe. Athletes committed to that schedule, and Johnson said the league felt like it had to honor that scheduling commitment. A few weeks before the Philadelphia meet, Johnson announced he was cutting the event to two days and scrapped a long distance event entirely – the men's and women's 5,000 meters. According to Front Office Sports, investor Robert Smith, a board member and the chairperson of Vista Equity Partners, stepped in to make sure the event could even take place. 'We probably went too fast,' Johnson said of the league's planning. Soon after the Philadelphia meet, Grand Slam Track canceled its fourth and final event, which was set to take place at Drake Stadium in Los Angeles. The league then let go several high-ranking officials. Grand Slam Track has since stepped back from its social media presence. The league hasn't posted on Instagram since July 11, on X since July 4 and on Tik Tok since July 13. PHILADELPHIA, PENNSYLVANIA - MAY 31: Grand Slam Track during Grand Slam Track at Franklin Field at ... More the University of Pennsylvania on May 31, 2025 in Philadelphia, Pennsylvania. (Photo by Roger Wimmer/) What Is The Future Of Grand Slam Track Despite the league's mounting problems, Johnson still applauded the league's output in Philadelphia, saying it attracted 26,000 fans over two days at Franklin Field. Grand Slam Track's social media accounts have attracted a cumulative millions of impressions, while linear broadcast numbers have been OK, with ratings reaching an average of 243,000 households during its Kingston event. Forbes reached out to facility management at the University of Pennsylvania to inquire about any pending fees owed during the league's Philadelphia meet. Multiple officials declined to comment. Johnson continued to echo the thought that the league will go on, but questions remain on how after the founder admitted his startup has 'major cash flow issues.' When asked whether Johnson's startup made any mistakes in Year 1, he admitted fault. 'Absolutely, we made some mistakes this year. We knew we would. But one of the things that, in hindsight when we look back, we're in a very, very difficult economic situation right now, that is pretty unprecedented, and has effected a lot of folks, a lot of businesses, affected one of our investors and has affected us as well, so we will be much more cautious going forward.' Front Office Sport reported that Pitchbook lists a total of $39.5 of investments from two firms, though when asked where the money went, Johnson said much of the first year went to expenses. Johnson said he's working with existing investors and the league's board to sort through outstanding debts. Fundraising efforts also continue. 'We've been working very hard over the last couple of months to make sure we can get everyone taken care of and making sure we actually can get to next season and continue on the mission to elevate this sport,' Johnson said. He added: 'It's what I do every day. It's what I wake up every morning thinking about.' When asked whether the league will go forward into Year 2, Johnson gave kudos to the successes of the first season, but did not give a concrete answer as to what's ahead.
Independent Singapore
6 days ago
- Business
- Independent Singapore
World Athletics reviewing outstanding payments to athletes from the Grand Slam Track series
Photo: Freepik Sebastian Coe has admitted that World Athletics is closely watching unpaid fees to athletes from Michael Johnson's Grand Slam Track series. Last month, Michael Johnson cancelled the last event in Los Angeles because not many people showed up at the first three meetings in Miami, Philadelphia, and Kingston, Jamaica. When the series started, a total amount of $12.6 million (£9.3 million) was promised, but unfortunately, some athletes still haven't been paid. Normally, it takes some time after a race for athletes to receive their money. However, because the first season ended suddenly, runners are worried about not receiving their full payments, given that some amounts are very large. Coe said: 'There is no point in pretending this is a satisfactory situation.' 'It's not good… The one thing that World Athletics has always stood strongly behind is the athletes. So yeah, this is not a good situation. It's a startup, but the athletes do need paying. 'For these things to work, they can't be vanity projects. They have to be suffused in practicality and deliverability. I just want the events that are going to add lustre, that we can find space for, and we will encourage them to at least have the courtesy of spending that kind of time and that kind of effort, both intellectual and resource, in making sure they work,' Coe added. Grand Slam Track didn't want to comment, but some agents were told their athletes will get paid for the Kingston event this month — and for the other meetings by the end of September. Winners of the Grand Slam Track events at each meeting get $100,000 plus large appearance fees. Sebastian Coe said he still fully supports privately funded athletics events. He said: 'It was in everybody's interest for something like this to be successful. We're not the 'computer says no' command-and-control federation… From the very moment I became president of World Athletics, I talked about the need to be more creative and partner – don't shy away from forming those relationships. So we were very clear that this had to be done properly and executed properly. Hopefully, [create] an additional attraction in the sport.' Grand Slam Track cancellation The last event of the Grand Slam Track (GST), supported by Olympic Champion Michael Johnson, has been cancelled. The final meeting was supposed to take place from June 27 to 29 in Los Angeles. The cancellation was said to be caused by financial difficulties. Johnson said the organisers will now focus on planning and improving the series next year. Read more about the Grand Slam Track cancellation event here. () => { const trigger = if ('IntersectionObserver' in window && trigger) { const observer = new IntersectionObserver((entries, observer) => { => { if ( { lazyLoader(); // You should define lazyLoader() elsewhere or inline here // Run once } }); }, { rootMargin: '800px', threshold: 0.1 }); } else { // Fallback setTimeout(lazyLoader, 3000); } });
The Guardian
21-07-2025
- Business
- The Guardian
World Athletics monitoring outstanding Grand Slam Track payments to athletes
Sebastian Coe says World Athletics is closely monitoring outstanding athlete payments from Michael Johnson's Grand Slam Track series, admitting: 'There is no point in pretending this is a satisfactory situation.' Johnson unexpectedly cancelled the final Los Angeles leg of his new four-meeting series last month following low spectator numbers at the opening three editions in Kingston, Miami and Philadelphia. The series announced a total prize fund of $12.6m (£9.3m) at its launch earlier this year, but a number of athletes are understood yet to receive payment. It is not unusual for a time lag between competition and remuneration but, given the abrupt end to the aborted first season, runners are increasingly concerned over individual payments that stretch well into six figures. 'It's not good,' said Lord Coe, the global governing body's president. 'The one thing that World Athletics has always stood strongly behind is the athletes. So yeah, this is not a good situation. It's a startup, but the athletes do need paying.' He added: 'For these things to work, they can't be vanity projects. They have to be suffused in practicality and deliverability. I just want the events that are going to add lustre, that we can find space for, and we will encourage them to at least have the courtesy of spending that kind of time and that kind of effort, both intellectual and resource, in making sure they work.' Grand Slam Track champions at each meet receive $100,000 (£74,000) in addition to substantial appearance fees. Britain's 400m Olympic medallist Matthew Hudson-Smith won the short sprint category in Kingston and Philadelphia, with Josh Kerr triumphing in the short distance category in Miami. While Grand Slam Track declined to comment, it is understood agents have been informed that their athletes will receive payment for the Kingston event by the end of this month, with later meet payments following before the end of September. The Guardian understands that some athletes have received appearance money from the opening meet. Asked if World Athletics has the power to intervene on athletes' behalf, Coe replied: 'Well, let's just watch this space.' Johnson's brainchild has been touted as a direct competitor to World Athletics' Diamond League circuit, which had stood unchallenged as the primary season-long athletics competition since it succeeded the Golden League in 2010. Speaking to the Guardian in April, Johnson denied fears that the $30m of investment in Grand Slam Track could run out before he is able to change the sport. 'We're in this for the long haul,' he said. 'Startups aren't profitable in year one. You know, if anybody comes to you with a startup, saying: 'Hey, we're going to be profitable in year one,' run away as fast as you can. But we will continue to grow.' Coe insists he remains fully supportive of privately funded athletics events. 'It was in everybody's interest for something like this to be successful,' he said. 'We're not the 'computer says no' command-and-control federation. Sign up to The Recap The best of our sports journalism from the past seven days and a heads-up on the weekend's action after newsletter promotion 'From the very moment I became president of World Athletics, I talked about the need to be more creative and partner – don't shy away from forming those relationships. So we were very clear that this had to be done properly and executed properly. Hopefully, [create] an additional attraction in the sport.' Meanwhile, Coe confirmed World Athletics remains committed to introducing DNA tests for all elite female athletes ahead of September's world championships. Coe initially announced the policy in March to 'guarantee the integrity of female women's sport'. It will involve a non-invasive one‑time cheek swab or dry blood test. Tests are due to begin in the coming weeks once the World Athletics Council has confirmed procedural regulations.
