16 replies to this topic

[scokim]

Has anyone done or know of a listing of how much the F1 teams worth ?
i.e. how much is 1% share in a F1 team ?

shhhhh!!! i just won the lotto !!

[The Swerve]

The one with the waggly tail?;)

[Gemini]

Last year Renault bought Benneton for $120 millions if I remeber correctly.

[Witt]

I reckon if you dangled a fiver in front of Giancarlo Minardi he'd sell ya the whole lot.

[scokim]

I wonder how much Diniz paid Prost ?
He finally realised that he should 'hire-purchase' a F1 car rather than 'leasing' one ?

[Cheever]

Diniz, who competed for Sauber this year, will take an active role in the management of the Guyancourt-based team with paddock observers believing that the Brazilian paid close to $10 million (US Dollars) for a 40 per cent stake.

A bargin with Alesi contracted for 2001 ;)

[Ali_G]

Does that make sense Benetton for 120 million. Ferari spent 3 times that on last years budget.

Niall

[Force Ten]

Ali_G, budget and team's worth are by far not the same things, not in the same ballpark even...

[Ali_G]

They are the first "Companies" that I have ever seen that spend more than their own fixed capital every year. Thats unbelieveable.

Niall

[Cheever]

Scokim Just start shopping...

MARCH 3, 2000
BY JOE SAWARD
Ferrari SpA - Estimated value $1bn
Williams Grand Prix Engineering Ltd - Estimated value $500m
Jaguar Racing - Estimated value $ 100m
McLaren International Ltd - Estimated value $1.2bn
Jordan Grand Prix Ltd - Estimated value $180m
Benetton Formula Ltd - Estimated value $120m
PP Sauber AG - Estimated value $ 80m
Arrows Grand Prix International - Estimated value $ 80m
Gauloises Prost Peugeot - Estimated value $ 120m
Minardi Team - Estimated value $50m
British American Racing - Estimated value $80m

[Gemini]

Ali_G,

What they spend has nothing to do with what their fixed capital is, or what they are worth their "budget" is the value ralated to their Profit & Loss statememt not their Balance Sheet.

[crbfbr]

F1 teams have quite an infastucture in place to help them
develop cars. but 1.2 bill for mclaren seems to high,
I heard something like 500 mill for the whole thing and
Mclaren is probably the biggest team in F1.

Ferrari, if your just talking there F1 operation,something
in the ballpark close to Mclaren, their whole operation
including the road car division,add another billion
or so.Ferrari is a very small car comapany without Fiat
to help out.

The rest of the F1 teams 1 to 2 hundred mill or so.
I think a lot of the worth of an F1 team has to do with
the level of succes of the team, not just their facilities
or personel.

When you look at the cost to buy a fortune 500 company,
To a big operation like Ford or Daimler-Chrysler buying
an F1 team is small change to them.

Ford will spend in excess of 1 billion just to engineer
one car,400 million to retool a factory..

F1 is expencive but when you look at the big picture,
to a company like Mercedes, it's not a lot of money.

[Nathan]

Hmmm, well here is my take.

Most of the value I think is in the teams potential. I doubt (other than Ferrari and McLaren) anyone has $100-million worth of equipment, tools, buidlings etc. In fact I guarantee it.

Most of it is what the team has done, and what it is currently capable of. Im sure Williams GP is worth maybe $100-125M material wise, but look what you get if you buy it. A instant competitive team, established sponsors, established and well trained team, and all that nice stuff. Now start your on team for say $250-M, including your entry fee, all your factories and equipment, a years worth of R&D leading up to it, your not anywhere near winning form. You have growing pains to go through, you have to find funding blah, blah. It would be much easier just to buy a "used" team. Thats why the value is what it is.

As for McLaren International. Does that include all the other sub divisions? Or is that JUST the GP team?

As for Ferrari, **** thats cheap! For a well established, well known sports franchise, thats very, very well worth it.

Consider this. Manchester United has been valued in excess of $1.4-billion-US, the NFL's San Franisco 49ers are well worth over $1-billion, the Washington Redskins with stadium sold for nearly $800-million a few years back (and it was a very poor team at the time) and the New York Yankess are worth some $700-million, no stadium...just the team.

[Nathan]

Originally posted by crbfbr
When you look at the cost to buy a fortune 500 company,
To a big operation like Ford or Daimler-Chrysler buying
an F1 team is small change to them.

Ford will spend in excess of 1 billion just to engineer
one car,400 million to retool a factory..

F1 is expencive but when you look at the big picture,
to a company like Mercedes, it's not a lot of money.

Sorry I have to disagree with your last 3 statements...

#1 While there sales and overall value is very high, there profits and revenues to buy a $200-million team just for the heck of it, that will cost an additional $100-M+ a year to fund isnt.

#2 and going back to number 1. Yes it costs roughly $1.5-billion to make design and test a car, market a new car, get everything ready, tooling etc..but that $1.5-billion is paid back over the cars 5-6 year existance.

But look at it this way. They buy a team for say $200-M. They put in another $500-million over the next 5 years to fund it and this and that. So after 5 years you have sunk in say around $700-million.

Now when you sell 200,000 cars a year for 5 years, $1.5 billion is easy to make back. But making $700-million back from 5-years in F1? Racing wont sell you that much, not even F1.

As the saying goes, to become a millionare in F1, you have to start with 2 million.

[NYR2119935]

I feel honored that my Yankees are worth $700 million

The Rangers, Knicks, and MSG were bought a few years back for $1.2 billion.

[bleakuzs]

The way to determine how much a sports franchise is worth, including F1, is by how much profit potential their is by selling their merchandise. McLaren and Ferarri sell alot of merchandise and that is why they are valued at so much.

Simple economics really, your only worth what you can sell.

[Ali_G]

NYR: BSkyB wanted to buy Manchester United for nearly 1 billion dollars. But it fell through.

Niall