• Loading stock data...
Monday, June 2, 2025

WNBA Franchises Are the Next Big Sports Investment

 VC pro Kai Cunningham predicts WNBA franchises will become more of a focus, and valuations will soar.

Front Office Sports

The momentum of women’s sports as an asset class is real, and WNBA teams in particular may be the next big moneymaker, according to Kai Cunningham, a former Goldman Sachs banker who created his own venture capital firm to work with athletes before turning 30.

“I think something very special is happening in women’s sports,” Cunningham told Front Office Sports on the latest episode of Portfolio Players

Cunningham sees a near future where WNBA ownership continues to decouple from NBA ownership as investors and operators realize the value of leaning further into the women’s game.

“I think there’ll be a sort of schism at some point to put more resources and infrastructure around people who want to focus on these WNBA franchises full-time,” he said.

Right now there are 13 WNBA teams, including expansion franchise the Golden State Valkyries. The Valkyries are operated by Golden State Group, the entity that also owns the Golden State Warriors and the Chase Center. Of the other 12 teams, six are still tied to NBA franchises, including the New York Liberty (affiliated with the Brooklyn Nets), Indiana Fever (Indiana Pacers) and Phoenix Mercury (Phoenix Suns). 

The model where WNBA clubs are treated like companion pieces to an NBA franchise will shift given the growing popularity of the women’s game, and that will send valuations skyrocketing, according to Cunningham. The rationale behind the expected rise in valuations is twofold, he told FOS: economics and emotion.

“A lot of times the traditional fundamentals of investing don’t actually apply to the purchase price of these teams,” Cunningham said. “It’s emotional. Maybe the Celtics were worth five [billion dollars], but I’m willing to pay six to beat out this person because I really love the Celtics.”

Cunningham believes the same dynamic in NBA franchise price tags will unlock long-term upside in women’s sports. 

Cunningham, who co-founded Limited Ventures to back emerging sports, media, and lifestyle properties, advises athletes and others on investment opportunities in realms including tech and real estate, with notable clients including Kyler Murray, Lamar Jackson, and Breanna Stewart. He pushed back on the notion that real estate investments aren’t as sexy as sports team ownership—“there’s nothing sexier than getting a check every 30 days,” he said—but admitted that owning a team is “the cream of the crop.”

Increasingly, capitalizing on investing in sports means looking to an area that has historically not been viewed as the biggest moneymaker but might be on its way up. That’s how he views the WNBA.

“When we think about WNBA teams from an exit perspective, if someone really wants to be involved because they love the sport, or their kids play, or their kids love it—that can actually represent an amazing return on investment,” he said. “Just because you love the team and the sport, it doesn’t mean the underlying fundamentals won’t get there eventually.”

Linkedin
Whatsapp
Copy Link
Link Copied
Link Copied

What to Read

As TNT NBA Era Ends, Charles Barkley Calls ESPN Move an ‘Honor’

TNT’s final NBA game was Pacers–Knicks on Saturday night.
Oct 27, 2022; Oklahoma City, Oklahoma, USA; Oklahoma City Thunder guard Shai Gilgeous-Alexander (2) and LA Clippers guard Paul George (13) walks down the court during a time out during the first half at Paycom Center.

Pacers, Thunder Both Built Finals Teams Off Trading Paul George

George is a key piece of trivia in this year’s NBA Finals.

WNBA Championship Ring Boom: ‘Way Bigger. Way More Diamonds’

The Liberty’s WNBA championship ring value soared to $60,000.

Pacers-Thunder Is Lowest-Payroll NBA Finals in Years

Neither team is in the luxury tax, despite rosters with multiple All-Stars.

Featured Today

PSG and the City of Paris Can Join European Soccer’s Elite

What a maiden Champions League title would mean for the French club.
May 30, 2025

How the Champions League Anthem Took on a Life of Its Own

The composer didn’t know he wrote a timeless hit three decades ago.
May 25, 2025

How Rolex Paved the Way for Luxury’s Love Affair With Tennis

“It’s almost impossible to think about tennis without thinking about Rolex.”
Mar 23, 2025; Miami, FL, USA; Alexandra Eala (PHI) reacts after winning a point against Madison Keys (USA)(not pictured) on day six of the Miami Open at Hard Rock Stadium.
May 24, 2025

Alex Eala Is Defying Her Country’s Odds to Make French Open History

The Philippines native has overcome a unique set of financial odds.
exclusive

Newly American-Owned Italian Hoops Team Hires Ex-Pelicans Exec as GM

Napoli Basketball is hiring the Pelicans’ former chief of staff as GM.
Jayden Cofield awaits the start of a dirll during the Texas Tech football team's spring game, Saturday, April 19, 2025, at Jones AT&T Stadium.
May 30, 2025

Colleges Don’t Want to Be ‘Trailblazers’ in Private Equity

The commissioner says the conference isn’t ready to deal with PE.
Rangers Football Club
May 30, 2025

49ers Venture Arm Buys 2nd Soccer Team With Rangers FC Deal

49ers Enterprises also owns Premier League club Leeds United.
Sponsored

Game On: Portfolio Players Stories, Brought to You by E*TRADE from Morgan Stanley

In Episode 7 of Portfolio Players, go inside the boardroom with Avenue Capital CEO and former Milwaukee Bucks co-owner Marc Lasry on Giannis’s future, women’s sports, and upstart leagues like TGL and Unrivaled. 
Jan 11, 2025; Houston, Texas, USA; Los Angeles Chargers wide receiver Ladd McConkey (15) scores on a pass in the fourth quarter against the Houston Texans in an AFC wild card game at NRG Stadium.
May 30, 2025

Why the NFL Isn’t a Sure Bet for Private-Equity Firms

Three teams have gotten PE investments since owners approved the rule change.
Jun 7, 2023; Arlington, Texas, USA; Eva Longoria throws the first pitch prior to the game between the Texas Rangers and St. Louis Cardinals at Globe Life Field.
May 29, 2025

Can ‘Welcome to Wrexham’ Spin-Off on Mexican Team Necaxa Be As Big..

Ryan Reynolds, Rob McElhenney, and Eva Longoria are executive-producing the series.
May 27, 2025; Tampa, Florida, USA; Minnesota Twins second baseman Kody Clemens (18) celebrates after hitting a home run against the Tampa Bay Rays in the second inning at George M. Steinbrenner Field.
May 28, 2025

Twins Sale Process Making Progress: ‘There Is Momentum’

The asking price is $1.7 billion.
May 17, 2025; Brooklyn, New York, USA; The New York Liberty are introduced prior to the game against the Las Vegas Aces at Barclays Center.
May 27, 2025

Alibaba Billionaire, Supermodel Headline New Liberty Investors

The investment must still be approved by the WNBA’s board of governors.