The UFC has a Money Problem
By Brandt DeLorenzo on Oct 16, 2007
No; not that kind of money problem. I have absolutely no idea what happens behind closed doors at Zuffa aside from their little lawyer war regarding piracy on the web. I do, however, know that the UFC has another type of money problem; fighter earnings. Like a large percentage of recent UFC headlines, this article also involves the resignation (not retirement!) of UFC heavyweight champion Randy Couture.
When Couture decided it was time to leave the UFC organization behind, he openly divulged why. Not only was Couture upset that he was most likely unable to fight Fedor Emelianenko, the fighter that many regard as the number one heavyweight in the world, but he was tired of the disrespect from UFC president Dana White and majority owners, the Fertitta brothers.
That’s not all. On top of feeling like he was being disrespected by smaller guys in bigger suits, he thought that the UFC was blatantly lying to him about how much he made as a fighter compared to others in the organization. Some of these others fighters included those were acquired from the now obsolete Pride Fighting Championships. Couture made his feelings very clear in his interview with MMA Weekly last week.
“I think the final straw for me was meeting with Dana and Lorenzo (Fertitta, UFC co-owner) where they claimed I was the No. 2 paid athlete in the organization, which I know is a bold-faced lie,†Couture said. Polling other athletes, said Couture, he learned that his compensation — some $250,000 a fight with pay-per-view bonuses, according to the Couture camp — was nowhere near what other top UFC fighters were making.
“All us athletes are all pretty tightly intertwined,†he said. “You hear what other guys were paid signing bonuses and what other guys were paid on the record and off the record with bonuses. I’ve heard Chuck’s numbers. Tito’s numbers. Hughes’ numbers. Quinton’s numbers. Cro Cop, Wanderlei. I heard what they were offering Fedor, and it’s insulting.â€
I’m sure Dana and the Fertitta’s wanted Couture to think that he was making more than most other fighters considering he was their heavyweight champion. He did bring in a big percentage of the pay per view buys for UFC 74, but he was also given a percentage of the earnings on top of the $250,000 he made for 25 minutes of fighting. Although I have the utmost respect for Randy Couture and his fighting abilities, I’m starting to wonder if some of the fighters, Couture included, are letting money get to their head. Do MMA fighters deserve to make millions for less than 15 or 25 minutes in the cage? Should fighters be openly discussing their undisclosed earnings with each other? Is it illogical that Human Resources departments across the U.S. tell company employees not to divulge personal information, including salaries, with other employees at the water cooler? I think Randy has a moot point regarding his earnings. He made plenty of money for his role in his two 2007 fights for the UFC. The UFC had other productions and other champions to pay as well. How much did Sean Sherk earn for his title defense earlier this year?
Now I know the topic of year-long training is next to come up. Do other professional athletes train year round? Some do and some don’t. And even if we did compare Couture with one of the higher paid professional football players like Brett Favre, who makes $11 million per year, we would find that some MMA fighters are making a lot of money compared to other professional athletes – the same professional athletes who are harassed by the media for being overpaid. The few UFC fighters who make $250,000 per fight are making enough money to stay. I do realize this wasn’t the only reason that Couture decided to resign from the largest MMA organization, but as he publicly stated, it was one of final straws that led him to his decision. Enough about Randy, he comes off as a really good guy and I hate to make him look bad for no reason. He’s not the only fighter to demand more than what he might be worth to an organization like the UFC. Dan Henderson, the Pride 185 pound champion and ex-light heavyweight champion, has also turned down a recent offer to re-sign with the UFC. Steve Sievert from the Houston Chronicle had a notable quote from Henderson regarding his financial situation.
The 37-year-old Team Quest fighter has one bout left on the Pride contract he brought with him to the UFC. White offered an extension, but Henderson didn’t bite. He thought the offer was low and chose to take the fight against Quinton Jackson at UFC 75 under the terms of his Pride contract, which left him with no opportunity for a fight bonus.
Despite assurances from White that he would be taken care of in the UFC, Henderson is waiting for what he thinks is an equitable offer.
“He was telling me that, ‘We haven’t had guys leaving. We take care of the guys, that’s why they’re happy. We don’t want guys that are unhappy,’ †Henderson said about initial negotiations with White. “I haven’t seen that.â€
But, as addressed by our favorite R-rated MMA commentator, Fightlinker, does Dan Henderson deserve more money? His latest fight against Rampage Jackson wasn’t spectacular and he lost his Pride belt in the process. Most people would say yes; he does deserve more – due to the fact that he is a great fighter. And to be honest, I probably wouldn’t disagree with them because I want to see a MMA fighters make enough money to live comfortably for the entertainment that they provide. But to say that Dan Henderson deserves more money would be absurd. The UFC doesn’t need Henderson or Couture to continue producing their shows. Should Couture get $1 million per fight? Sure, he’s a great fighter. Does the UFC need to pay him that much money to keep their productions profitable? Certainly not; they have other champions and top notch fighters to promote.
As noted by John Philipavage in his article “In Defense of Danaâ€, the UFC also has the dilemma of fairly paying ex-Pride fighters who received their last paychecks in the form of cash from the Japanese mob. This is another matter that Dana and Co. needs to tackle considering their insistent acquisition of Pride is continuing to do more harm than good. And that’s a whole other story for another rainy day. In closing, maybe it is time for a fighter’s union to keep the fighters in check.
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You do not state what Dan makes or what he was offered. And since he decided to “keep” his Pride contract, one can rightfully assume that the UFC offered less. So we are not talking about a pay raise, but rather a pay cut.
Also, you can’t just look at it as if they make/want “millions” for 25 minutes. You have to consider the months of hard training that goes into a fighter’s preparations.
“Does the UFC need to pay him that much money to keep their productions profitable? Certainly not; they have other champions and top notch fighters to promote.”
While the UFC is going to continue to be proftable in the near future, Couture leaving probably cost them far more than 1 million in terms of lost PPV buys. You can’t just look at if they are profitable or not, you have to look at how profitable they are. So with Couture leaving, UFC is probably less profitable.
Your article is biased almost to the point that it is lying and/or withholding facts so you can shoehorn everything into “UFC is doing the right thing” and “its their fault”.
In the end it is not about the UFC. It is about the fighters.
Nobody ever complains when the security of a long term contract protects a fighter who has lost a few fights and had their market value shifted downward.
Hold up chr; I’m not saying the UFC is doing the right thing. I’m merely taking the other side of the “UFC doesn’t pay enough” debate for once. This isn’t about the bottom-feeder fighters who make $3k per fight. This
is about the guys who are making millions.
I will safely assume (because you are right, I don’t know) that Henderson was offered less. The UFC can’t dish out the same kind of cash like Pride could. The UFC is legit while Pride was not.
“Also, you can’t just look at it as if they make/want “millions†for 25 minutes. You have to consider the months of hard training that goes into a fighter’s preparations.”
I did. I briefly brought up Brett Favre, a professional football player who makes $11M a year. He trains almost year-round as well. If what Kevin Iole reported is true (hey, I’m being nice!), then Couture could theoretically make between $6.5 – 7.5M million per year for 50 minutes of actual performance (if he retains the title for two fights in one year) and a year of training. Also keep in mind that training is different than fighting. I’m not saying there is anything wrong with what Couture is doing, I’m saying that top-paid professional fighters shouldn’t be worrying about who gets paid what. If you can make that much money, it should be enough to fight.
“While the UFC is going to continue to be proftable in the near future, Couture leaving probably cost them far more than 1 million in terms of lost PPV buys. You can’t just look at if they are profitable or not, you have to look at how profitable they are. So with Couture leaving, UFC is probably less profitable.”
Sure, but the UFC, as a business, will move on no matter what happens with Couture. This isn’t a personal friendship (and I’m sure you already know this) so they have to continue moving forward and promote their newest heavyweight champion if they can’t come to terms with Couture soon.
“Your article is biased almost to the point that it is lying and/or withholding facts so you can shoehorn everything into “UFC is doing the right thing†and “its their faultâ€.”
Please post up said facts!
“In the end it is not about the UFC. It is about the fighters.”
Again, agreed. A fighters union might just be the answer. It may also be the end of $40 5 fight Pay Per Views for us fans as well. It’s a compromise, but the fighter, with his/her health at stake, should be #1.
Psygone
It’s basically the same for any pro athlete who signs a longterm contract. Keeping with my example, Brett Favre could start performing terribly this weekend and as long as his contract keeps him employed, he’s making the money.
Very true. It’s not our money, why should we care?
Keep the comments coming!
One VERY important bit of information left out here, and I can’t find it anywhere. What percentage of the UFC take at the door and PPV goes to the total pot for fighter pay out. This and this alone should be the determining factor regarding how much each fighter gets. Depending on the star appeal of the fighters on the ticket, each should be paid accordingly. So for example, UFC Fight Night 14 with Silva/Irvin We know >$600K was paid out overall, but how much was made at the door?
this article is so stupid, just because Henderson lost his title to Jackson does not determine whether or not he should get paid more, and his fight was great, i think it was a bad call by the judges because Rampage was at home (UFC). If you fight great and if you have earned your keep in a place, whether you are fighting an hour or finishing a fight in the two first seconds, you should get your worth. So i think people should be fair in receaving what they deserve, this is their lifes work, they maintain a house, provide for their families and its show biz, dude it should be paying better, u know injuries do happen.Cotoure and Henderson deserve to be paid there worth, Chuck is not better than Couture and he gets paid 500k. So dude this article is so not genuine man, its really off.
This article is also a year old and many things have changed.