CFL Expansion Stimulus, Number Six: Start Networking

In order to expand, the CFL needs strong investors that believe in the league.

If you go to the CFL Web site and other Internet articles, the CFL believes it has found such investors in its "group of four" in order to expand to Ottawa.

However, if the CFL wants to expand beyond its traditional nine-team base, it is going to have to find such investors for other Canadian cities.

So the question arises: How much networking among investors does the CFL do? 

It would be an interesting question to pose Commissioner Marc Cohon and members of the CFL Board of Governors.

In regards to CFL expansion, Cohon has always maintained that the two main factors are stadiums and investors.

My question for him would be: How much does the CFL actively search for new investors to start new franchises in Canada?

We can't really judge, because this topic is shrouded in mystery, confined to the backrooms and boardrooms of Canada.

It's when you compare the CFL to the NHL that questions arise.

In the cities considered for NHL expansion, Hamilton, Quebec, Saskatoon, and Winnipeg, there are investors of various degrees of involvement.

For Saskatoon, the Ice Edge group wants to get the city's toe wet by bringing the Phoenix Coyotes to play for a minimum five games a year.

Hamilton has or had Jim Balsillie, who made an active, determined effort to transfer an existing team, and instead wound up antagonizing Gary Bettman and the Board of Governors.

Winnipeg claims to have a member of the rich Thomson family associated with a return of the Jets.

The most active investor to watch at present is Quebecor, a Canadian media giant which failed to buy the Montreal Canadiens and then fronted an effort to build a new arena and get the Nordiques back to Quebec City.

All these investors could easily own and operate a CFL franchise in Canada, especially when you compare the small franchise fee of $7 million and the supposedly small cost of building football stadiums ($17 million in Moncton and $14 million for a "temporary" stadium in Vancouver.)

But you never read about the CFL hobnobbing with any of these people.

In contrast, last year the press was filled with the many talks/clashes between Balsillie and Bettman.

Quebecor and the mayor of Quebec have had behind-the-scenes discussions with Bettman who has certainly been encouraging the city to find $400 million to build a new arena.

And Bettman also invited Ice Edge to make a renewed bid for Phoenix-Saskatoon.

In contrast, all you read about for the CFL is the opposition of the Ottawa city council which has delayed the return of football to the city.

I've been told there are a couple of people interested in getting a CFL franchise for Quebec, but the CFL regards them as financially unstable. The investors with the deep pockets are nowhere to be seen.

Other possible investors could be the Weston family (Loblaws) and the Bronfmans (Seagrams) who once owned the Montreal Expos. Also, there are other investors in Canada and foreign owners.

When there are no investors like that, the results can be costly.

Ottawa and Montreal lost their franchises, and the second time for Ottawa cost former commissioner Tom Wright his job, as well as his failed attempt to add a fifth Eastern Conference team before 2010.

So when Commissioner Cohon decides to open the CFL Web site to questions again, somebody should ask him how much networking the CFL does with investors for expansion and with who.

For now, it is all a mystery.