Toggle sidebar

Clown U will have access to up to a $30M line of credit from RedBird Capital Partners that would have to be paid back w/ a Double-Digit Interest Rate

Franisdaman

Franisdaman

Heisman
Nov 3, 2012
15,388
22,963
113
RedBird will provide the Big 12 with a $12.5 million capital infusion and help create more commercial revenue for the conference. The league's 16 schools also will have access to up to $30 million each, a line of credit that would have to be paid back with a double-digit interest rate over time.

The partnership is designed to grow revenue for the league at a time when some schools are strapped for cash and vying to better position themselves for the next iteration of the ever-changing landscape of college sports.

The full story:

www.espn.com

Big 12 aims to grow league-wide revenue with private capital deal

The Big 12 is the first conference in major college sports to strike a league-wide, private capital deal.
www.espn.com www.espn.com
 
  • Haha
Reactions: EbbyCalvin, LaQuintaHawk, PedMaller and 2 others
U

uihawk82

All-Conference
Nov 17, 2021
2,428
3,676
113
Franisdaman said:
RedBird will provide the Big 12 with a $12.5 million capital infusion and help create more commercial revenue for the conference. The league's 16 schools also will have access to up to $30 million each, a line of credit that would have to be paid back with a double-digit interest rate over time.

The partnership is designed to grow revenue for the league at a time when some schools are strapped for cash and vying to better position themselves for the next iteration of the ever-changing landscape of college sports.

The full story:

www.espn.com

Big 12 aims to grow league-wide revenue with private capital deal

The Big 12 is the first conference in major college sports to strike a league-wide, private capital deal.
www.espn.com www.espn.com
Click to expand...
This sounds like Pay Day Loan insanity. What is ISU doing with their money or lack of it. Their tv revenue must be poor.
 
  • Like
Reactions: LaQuintaHawk, EvilMonkeyInTheCloset, LetsGoHawks83 and 2 others
I

iahawkeyes17

All-Conference
Apr 22, 2014
688
1,814
83
Franisdaman said:
RedBird will provide the Big 12 with a $12.5 million capital infusion and help create more commercial revenue for the conference. The league's 16 schools also will have access to up to $30 million each, a line of credit that would have to be paid back with a double-digit interest rate over time.

The partnership is designed to grow revenue for the league at a time when some schools are strapped for cash and vying to better position themselves for the next iteration of the ever-changing landscape of college sports.

The full story:

www.espn.com

Big 12 aims to grow league-wide revenue with private capital deal

The Big 12 is the first conference in major college sports to strike a league-wide, private capital deal.
www.espn.com www.espn.com
Click to expand...
This is sounds like some mafia level stuff. Lending $ and charging some hefty interest on the vig. Can’t wait to see how pollard sells this to their fans.
 
  • Like
Reactions: LaQuintaHawk, EvilMonkeyInTheCloset and Franisdaman
Franisdaman

Franisdaman

Heisman
Nov 3, 2012
15,388
22,963
113
rchawk said:
Clones are a high risk of foreclosure.
Click to expand...
Jerry Seinfeld Popcorn GIF by Sheets & Giggles
 
Franisdaman

Franisdaman

Heisman
Nov 3, 2012
15,388
22,963
113
uihawk82 said:
This sounds like Pay Day Loan insanity. What is ISU doing with their money or lack of it. Their tv revenue must be poor.
Click to expand...

Check this thread out. Their future looks kinda bleak.

www.on3.com

Clown U facing a $147 million budget deficit through 2031; will postpone Hilton Coliseum renovation & construction of new Wrestling Practice Facility

Gotta feel bad for Clown U both now and for their future. ;) It is time they drop to FCS. The story from the Gazette: Facing $147M deficit, ISU Athletics halts Hilton Coliseum renovation, ups Ticket Prices Vanessa Miller Cedar Rapids Gazette Jul. 24, 2025 AMES — Iowa State University...
www.on3.com www.on3.com
 
  • Like
Reactions: uihawk82
D

DuddyB

All-Conference
Jul 14, 2022
1,546
2,683
113
Guarantee they are going to put the taxpayers on the hook for their athletic department when it’s all said and done.
 
paednoch23

paednoch23

Senior
Oct 23, 2009
396
938
93
DuddyB said:
Guarantee they are going to put the taxpayers on the hook for their athletic department when it’s all said and done.
Click to expand...
The idea of using taxpayer dollars to fund Iowa State Athletics sounds appealing on the surface, but it doesn’t survive legal or practical scrutiny.

Any legislative effort to direct state funds exclusively to ISU would almost certainly trigger an immediate lawsuit from the University of Iowa and UNI on equal protection and preferential legislation grounds. Iowa doesn’t have a single consolidated university system with one flagship D1 program. It has three public universities with legitimate claims on state resources. You can’t fund one and not the others without a serious legal fight, and you’d lose.

The Wisconsin NIL law that just passed works because Wisconsin operates with one dominant D1 football program in a unified system. Iowa’s structure is fundamentally different. That model doesn’t transplant here.
The deeper problem is demographic. Iowa simply does not have the population base to sustain two major college football programs at the highest level. ISU’s financial difficulties aren’t a management failure… they’re a structural symptom of that reality. The market isn’t big enough.

The only path that changes ISU’s long-term trajectory would be an invitation to the SEC or Big Ten, and neither conference has a compelling financial incentive to add Iowa State. The math doesn’t work for them.

What we’re likely watching instead is the early stage of a major restructuring of college athletics below the Power 2 level. The Big 12 is already showing significant stress fractures. A de facto second division in college football, separate from the SEC and Big Ten, seems increasingly inevitable, and ISU will end up there whether anyone plans for it or not.

Taxpayer money won’t fix a structural problem. It would just delay the reckoning while creating a legal and political mess in the process.
 
  • Like
  • Love
Reactions: hawksfan2025, Hawksbyamillion_rivals316961, Hawkeye7 and 3 others
B

BunchofAholes

All-Conference
Jul 9, 2025
2,167
4,106
113
Clowns love to bring up the loan Iowa took during the "pandemic" as if it was a bad move or some sign of desperation. It was $50M @ 2% with an open payback schedule within a 15 year window.

Now ISU is looking at a potential line of credit up to $30M with double digit interest.

Which of these businesses is stronger?
 
Last edited:
  • Like
Reactions: rchawk
Hawk_4shur

Hawk_4shur

All-Conference
Jan 2, 2009
823
1,953
93
BunchofAholes said:
Double digit interest rate? So...they're a bad credit risk.
Click to expand...
Not necessarily. It's a combination of a capital infusion and a $480 million line of credit. Banks don't make capital investments and they don't make big loans without collateral.

You need a PE firm to do this, and they're not interested in an 8% return.
 
B

BunchofAholes

All-Conference
Jul 9, 2025
2,167
4,106
113
Hawk_4shur said:
Not necessarily. It's a combination of a capital infusion and a $480 million line of credit. Banks don't make capital investments and they don't make big loans without collateral.

You need a PE firm to do this, and they're not interested in an 8% return.
Click to expand...
Could all be true. That said, Iowa got money @ 2% with flexible payment terms. The clones are going to pay at least 5x that interest on their loan.
 
C

Cidhawkeye

All-Conference
Jan 1, 2023
1,229
1,845
113
paednoch23 said:
The idea of using taxpayer dollars to fund Iowa State Athletics sounds appealing on the surface, but it doesn’t survive legal or practical scrutiny.

Any legislative effort to direct state funds exclusively to ISU would almost certainly trigger an immediate lawsuit from the University of Iowa and UNI on equal protection and preferential legislation grounds. Iowa doesn’t have a single consolidated university system with one flagship D1 program. It has three public universities with legitimate claims on state resources. You can’t fund one and not the others without a serious legal fight, and you’d lose.

The Wisconsin NIL law that just passed works because Wisconsin operates with one dominant D1 football program in a unified system. Iowa’s structure is fundamentally different. That model doesn’t transplant here.
The deeper problem is demographic. Iowa simply does not have the population base to sustain two major college football programs at the highest level. ISU’s financial difficulties aren’t a management failure… they’re a structural symptom of that reality. The market isn’t big enough.

The only path that changes ISU’s long-term trajectory would be an invitation to the SEC or Big Ten, and neither conference has a compelling financial incentive to add Iowa State. The math doesn’t work for them.

What we’re likely watching instead is the early stage of a major restructuring of college athletics below the Power 2 level. The Big 12 is already showing significant stress fractures. A de facto second division in college football, separate from the SEC and Big Ten, seems increasingly inevitable, and ISU will end up there whether anyone plans for it or not.

Taxpayer money won’t fix a structural problem. It would just delay the reckoning while creating a legal and political mess in the process.
Click to expand...
How does UNI fund athletics?
 
H

Herky T Hawk

Senior
Feb 5, 2003
270
628
93
Madman_1 said:
This seems like a gambling addict borrowing from a loan shark.

Will Iowa taxpayers ultimately be on the hook for this?
Click to expand...
This is so true. This is an arms race and if a school blinks when it comes to spending, it is all over for them. ISU needs to blink as these are bad terms for an institution like them.
 
Franisdaman

Franisdaman

Heisman
Nov 3, 2012
15,388
22,963
113
Last year Pollard said that Clown U couldn't really afford to pay the full $20.5M in revenue sharing but they were going to do it anyway in order to remain competitive.

This was from July 1, 2025:

Between the revenue sharing, scholarships and other athletic benefits, the NCAA believes that compensation to athletes could push close to 50% of athletic revenue in many athletic departments.

Source:

www.cbssports.com

How athletes will be paid as July 1 ushers in new era for college sports: NIL changes, enforcement, contracts

Players are eligible to receive direct payment from schools for the first time, but how will this all work?
www.cbssports.com www.cbssports.com
 
D

Driftless_Hawk

Sophomore
Oct 12, 2025
103
164
43
Given the new TV deal each year that passes by Iowa athletics will be making more than double (maybe triple in some years if we make the playoff) what ISU athletics brings in. We're already way ahead financially, but 5-10 years from now as this difference compounds!!

They already can't afford to pay a second non conference team to play them at home. Having to play @ Bowling Green next year!!
 
ketelmeister

ketelmeister

Heisman
Dec 10, 2006
43,297
17,983
93
Driftless_Hawk said:
Given the new TV deal each year that passes by Iowa athletics will be making more than double (maybe triple in some years if we make the playoff) what ISU athletics brings in. We're already way ahead financially, but 5-10 years from now as this difference compounds!!

They already can't afford to pay a second non conference team to play them at home. Having to play @ Bowling Green next year!!
Click to expand...
How has that worked out so far?
 
Last edited:
  • Like
Reactions: cyclone plastic
Franisdaman

Franisdaman

Heisman
Nov 3, 2012
15,388
22,963
113
It will be interesting to see how Clown U makes up for their annual, VERY LARGE, deficits.

Texas Tech has billionaire donors; they don't need the money.

Clown U on the other hand....

 
P

Passing Is For COMMIES

Senior
Oct 30, 2023
233
485
63
Driftless_Hawk said:
Given the new TV deal each year that passes by Iowa athletics will be making more than double (maybe triple in some years if we make the playoff) what ISU athletics brings in. We're already way ahead financially, but 5-10 years from now as this difference compounds!!

They already can't afford to pay a second non conference team to play them at home. Having to play @ Bowling Green next year!!
Click to expand...
I still don't get that decision.

Ticket Sales at 50% Capacity, assuming $25 a ticket: $750k
Concessions, assuming everyone spends $10 on food/drink: $300k
Payment to School: -$500k
Net Profit: $550k

Yes there are other costs associated with hosting a game, but I'm being very conservative on their income. I think Pollard just isn't great at his job to be honest.
 
You must log in or register to reply here.
Top Bottom