Report: Beckham planning on joining Galaxy ownership

David Beckham won’t be playing for the Los Angeles Galaxy in 2013, but the English star could be coming back to the Galaxy eventually as an owner.

That is what the Los Angeles Times is reporting on the day after Beckham addressed the media to discuss his decision to end his playing stint with the Galaxy.

But rather than signing on with an expansion franchise, expect Beckham to become an equity partner with the Galaxy, a deal that would allow the team to continue profiting from its relationship with Beckham while allowing Beckham to learn the management business from one of the most successful ownership groups in U.S. sports.

Beckham has the option of buying an MLS expansion team at a discounted price of $25 million, but the reports suggests Beckham is more inclined to buy a stake in the Galaxy.

It remains unclear where Beckham will be playing next year, but he has made it clear he plans on returning to be a part of MLS when his playing days are over.

What do you think of this development? See Beckham being a good owner?

Share your thoughts below.

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30 Responses to Report: Beckham planning on joining Galaxy ownership

  1. The Imperative Voice says:

    But I thought AEG was selling off the business and was determined to do so as a whole rather than piecemeal, ie, someone comes in and buys AEG and gets everything it owns including LAG. I’m sure Beckham has the sort of money to part own LAG but certainly not AEG altogether.

    I say this because earlier in the year AEG rejected the Houston Rockets’ owner’s bid for the Dynamo. I don’t particularly care for the guy and think it’s just as well but at least one reason it seemed to not happen was that mid-way AEG decided to sell their whole business.

    • Brian says:

      Don’t underestimate the mutual loyalty between Beckham and AEG management.

      AEG is more likely to make an exception to Beckham than it is to the owner of the Houston Rockets. While the beginning of the relationship was rough, Beckham still did a lot for AEG by joining the Galaxy and requiring any potential buyer to include Beckham in the ownwership group or selling the Galaxy out of AEG to a group including Beckham might be how they thank/reward him.

  2. Dean Stell says:

    I’d assume that MLS has some kind of policy where they approve new owners for teams and that MLS would just tell the owner to accept Beckham as a co-owner or minority owner.

    I wondered if something like this was afoot. I mean, he seems to really like LA, he’s built a brand there, his kids are in school there, etc……it never made any sense to me that he’d end up as a co-owner of a team in Orlando City of New York. You almost wonder if his decision to opt out of his contract was hurried because of AEG’s sale of the team. They’ll have the team sold before the end of the 2013 season and he wants to be in on the action.

    I think he’d probably be a pretty good owner from a management standpoint because he seems willing to let other people manage stuff (like his brand….). He just doesn’t strike me as a micromanager, control freak which is what kills other ex-athletes who get into management.

    My big question is whether he is wealthy enough to really own a sports team and sustain the losses that come with franchise ownership.

  3. Charles says:

    The LA Times is reporting on the Galaxy ? When did that start happening ?

    • Gnarls says:

      2007 and 2012.

    • Stoopid says:

      The LA Times ain’t reporting on the Galaxy. Their reporting on a Mega-Celeb.

    • Benny Dargle says:

      When Grahme Jones retired. Once they got the Eurosnob out of the way, they started rotating in some actual reporters and finally settled on Kevin Baxter. He’s done a decent job of both covering the Galaxy and doing a weekly column that covers MLS, USMNT, and global soccer. Much more informative and intelligent takes than Jones, who was more of a crank like TJ Simers (i.e., trying to get eyeballs by being pseudo-controversial).

    • soccerhorn says:

      +1

  4. Gnarls says:

    It’s too early to buy into any speculation, but as a Galaxy fan I think this would be a fantastic move. Beckham has name power and always will. Just having him on the AEG board would be a boon for the Gs. Plus, he actually knows soccer (obviously). I like Tim Leiweke, but he’s not a soccer guy. We need someone with a real nose for talent – other than our illustrious GM.

  5. Iggy says:

    Not a Gals fan but I support this idea, more so actually than if he buys an expansion team.

  6. DoubleD says:

    Makes sense, they have the money to temporarily setup wherever he plays next (I doubt they sell their Cali home and wouldn’t be shocked if the family stays behind) They can jet to England whenever they want, jet in to stay wherever he plays next all while not disrupting family life. It isn’t just climate that makes them like Cali, their kids would never be left alone if they lived full time in England. So Becks is gonna go cash in somewhere else short term, sell Brand Beckham and end up back in LA as part owner of the Galaxy.

  7. RK says:

    I would rather he spread the wealth to some of the other cities wanting MLS.

  8. limey says:

    So he’s off to China to promote Brand Beckham, that’s a lot of people to buy shirts! Then he’s back to the Galaxy so he can sell Galaxy stuff there too and get a following for the team. Look for the Galaxy’s post season tour next year to be to China, I think that’s as close as the Galaxy fans will get to seeing Drogba or Lampard.

    • PanchoMiguelMoralesdeConejo says:

      Mark my words…he’s at PSG in January…helping them to a Champions League final….that will be his final hurrah.

      • Brian says:

        Generally speaking, I think China is the best place to build his brand…but they have issues paying wages. Therefore, he probably goes to Australia for proximity to the rest of Asia even though it’s a small market.

        Did you see the interview with the Australian football guys after the announcement? It is clear that they got their hand slapped by Beckham’s management team for letting the cat out of the bag. To paraphrase, he said something like “Well, of course he is focused on the MLS Cup right now, but after that, we full intend to make an offer.”

  9. Duneman says:

    Not sure I get it….I could see buying a minority stake in LA but wouldnt he stand to make much more with the growth of another club? If he can buy a new team at $25mill and the current rate is $50mill+ then that is a pretty big jump even if he just sells it after a few years.

    LA makes sense for his “home” and marketing the hollywood vibe as an owner…but his deal was for an expansion (and none LA/NY market) team. Maybe its a deal on paper, where he buys/starts a new MLS club and owns it for a year and then sells it to a new owner at some discounted rate like $40mill which saves them from needing to wait for a club to go up for sale or pay full price….or he buys into LA now, helps continue to grow the league and LA, and in a few years still gets to buy into a totally new club at his still discounted rate. I have never heard how many years from the time he leaves to when he can buy before it is no longer an option. I mean he can buy LA, grow things, wait another 10-15 and then just drop his $25mill into a new expansion club which at that point might be selling for $100mill+ or something. …..oh well will be curious to see in Jan any news on this….was hoping to hear about a new city getting a team soon.

    • Brian says:

      Actually, makes perfect sense.

      The Galaxy still have more upside potential than any other potential expansion club other than the NY Cosmos. There is no way he is buying into a club in Atlanta or STL or Miami.

      Plus, he is loyal. The Galaxy is his American version of ManU. Just like he said he’d never play for another EPL team when he left ManU, he likley wouldn’t want to be associated with another MLS club after accomplishing so much with his current one.

      • Duneman says:

        I agree…LA and NY and big market teams always have more marketing potential abroad for fans, apparel, attracting talent, etc. Also, he likes LA and as an owner can sit in the box, go to events, and invite his buddies like Tom Cruise and Snoop Lion to hang out as well as big players from abroad for those shots on TV or get his pals to go on some talk show or red carpet in a Galaxy Kit, etc….I also get the loyalty and he is a big reason LA has improved in attention and talent. BUT…an expansion team might cost 50+ now. He can buy for the rate from a few years ago so on day one he pays 25m and day 2 (or however, long he has to hold his take) instantly gets a 100% return. If he buys LA, its not the price from 2007, etc…its at today’s price and an LA/NY club would already be at a premium over what you could buy into in say Columbus, Dallas, etc. So it would be more money for a lesser stake. I don’t see him wanting to really spend time in a market like St Louis, Atlanta, etc….I could maybe see something with Orlando (hit a game and take the kids to Disney ;-) ) or certainly using the glitz of a place like Miami (especially to push the Becks brand which is already big in UK/EU, Asia, US…out south more to the Latin market.) It has the fashion people his wife needs plus the LA type glitz and social scene you might get in NY/LA and is already a city a lot of the big names would like to play in if they came to MLS. My other thought was maybe Las Vegas….smaller market for sure, but a short flight on your Jet from LA and again has the glitz and draw an LA/Miami market might offer with big money connection from some of the casino folks. I still am not convinced it would have the fan base needed full time to support the team (and its hot) but on paper it has been an interesting expansion city. So i 100% get the loyalty and fit with LA….but he is really paying a premium for LA at today’s prices ….unless the current owners retain some share and feel like bring Becks is worth more to the other owners then just his share price offer alone. Leaving a new expansion club option at 2007 prices seems too good to pass up even if it never becomes the never Man U but becomes the next Hotspur or even Everton……unless it nullifies his deal…i could see buying a large stake of LA, learn the ownership ropes, expand the club and MLS while he still trys to play another year or two….and once NY gets a second team if there is still room go in for a full expansion club….although…there may not be many more slots left at the current pace.

        • Brian says:

          Beckham is a brand and he will invest in a brand. Like it or not, the LA Galaxy is the closest thing MLS has to a global brand. I believe he’d pass on a opportunity to turn a quick profit by buying another franchise at a discount in favor of investing in a brand with more growth potential.

  10. Jeff says:

    Why does he get a discount on an expansion team?

    • Steve says:

      It was in the contract he signed with MLS back in 2007 that he could buy a franchise at $25 million (which was the going rate when he signed on).

      I don’t see how starting a franchise in, say, Phoenix would be disloyal to the Galaxy. AEG owns or part owns several football clubs. He could still be promoting and selling the Galaxy while also owning a franchise. Like AEG, he would probably not own it for very long anyway.

      • Brian says:

        I disagree. Beckham and his management team have demostrated time and again that they take a long term approach to investing and branding. I don’t think he is looking to a flip a team. That’s why he will look to invest in the Galaxy, the team with better long term prospects.

        • JRP says:

          He will invest in the Galaxy. Then when the AEG sells, he will buy an expansion. He wants his own team eventually.

  11. Joe Dirt says:

    If he brings an expansion team to Atlanta, I would more than support them naming the team…

    FC BECKHAM

  12. KarenB says:

    Buy into the Galaxy and then when the leagues ready to expand again…..San Diego. Close to home.

  13. Garber Said So says:

    Commisioner Don Garber mentioned this possibility (made it sound like a sure thing) when he was quoted in this article.

    link to lagalaxy.com

    “When David Beckham signed with the LA Galaxy in 2007, he set out to help grow MLS and the sport of soccer in North America,” MLS Commissioner Don Garber said. “There is no doubt that MLS is far more popular and important here and abroad than it was when he arrived. David has achieved great things on and off the field during his time with the Galaxy, and he will always be an important part of our history. WE LOOK FOWARD TO HIS CONTINUED INVOLVEMENT WITH THE LA Galaxy and the League.”