United States

Ownership and regulation

MLS is a single-entity league. Owners buy a share in MLS LLC and receive operating rights to a club, not ownership of an independent entity. The league controls player contracts, revenue sharing, and salary caps centrally. This means MLS owners have less autonomy than European club owners but also less downside risk (no relegation, guaranteed revenue share). USL Championship and USL League One clubs are independently owned franchises with their own P&L. MLS NEXT Pro is the MLS-affiliated development league.

No restrictions, though MLS requires Board of Governors approval (a supermajority vote) for any ownership change. USL ownership approval is simpler and faster.

Governing body: United States Soccer Federation (USSF), Major League Soccer (MLS)

Tax and legal structure

Federal corporate tax at 21%, plus state taxes ranging from 0% (Texas, Florida, Nevada, others) to 13.3% (California). Sports franchise owners can depreciate player contracts and certain intangible assets under Section 1056, which can shelter income in early years. Stadium construction frequently receives state and municipal subsidies, tax increment financing, or bond issuances. Property tax abatements for stadium sites are common.

Valuations

MLS: £400M-£1B+. USL Championship: £5M-£40M. USL League One: £1M-£10M.

Recent deals

San Diego FC entered MLS with an expansion fee reported at $500M (2025 entry). Several USL clubs have been launched or acquired by ownership groups explicitly positioning for future MLS expansion bids.

Entry points

USL Championship and League One are the accessible tiers at £1M-£40M. The investment logic for USL splits into two categories: (1) standalone operations in markets too small for MLS, built around matchday revenue and community engagement, and (2) MLS expansion plays, where the bet is that the city earns an MLS franchise and the USL club's infrastructure, fanbase, and market presence become part of the bid. The second category carries more risk and a longer time horizon but a larger potential payoff.

Our view

The US is the largest untapped football market in the world by population and GDP, but the structure is alien to European football investors. There is no promotion or relegation. MLS controls player movement, salaries, and competitive balance centrally. The upside of this structure is that franchise values have only gone up (no MLS franchise has ever lost money on exit), and the league's single-entity model prevents the kind of financial mismanagement that plagues European lower leagues. The downside is that you are buying into a managed system with limited operational freedom. For European football operators, the USL is more familiar: independent ownership, open player markets, and operating risk that more closely mirrors European lower-league economics. The 2026 World Cup (hosted across the US, Canada, and Mexico) will drive a step change in American soccer interest, stadium investment, and sponsorship spending. The question is whether that attention converts into sustained growth at the sub-MLS level, or whether it accrues primarily to MLS and the national team. We think the USL is underpriced relative to what the 2026 effect will deliver, but the operating model requires patience and local market expertise that most European investors underestimate.

For comparison, see our guides to England, Spain, and Italy.

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