Issue 030

October 2007

By Hywel Teague

MMA is Big Business, and I mean big with a capital ‘B’. What was a morbid curiosity only a little over fifteen years ago is now a multi-multi million dollar global business. Don’t believe me? You should. 

Chuck Liddell did an accounting major at college, but that’s not the real reason he’s one of the most, if not the wealthiest MMA fighter on the planet. His purse (as declared by the UFC to the state athletic commission, which is not the same as his earnings when you take sponsorships etc into account) doesn’t quite sound up to scratch when compared to the eight-figure sums thrown around in major boxing fights Chuck earned only half a million dollars to Oscar De La Hoya’s $15 million – or when stacked next to that of premier league footballers and so on, but Liddell is one of the few names now really raking it in. 

He’s not alone. Tito, Gracie, Shamrock, and Couture – the list goes on. All of these fighters are men who are aware of their selling power. They aren’t simply relying on their fight purses alone – their earnings are often a combination of their purses, business interests, sponsorship, even cuts of the pay-per-views they appear on. 

Tito Ortiz may not be the headlining name he once was (thought he’s not exactly dropped far from the limelight) but his clothing company Punishment Athletics turns a tidy profit and keeps him in free clothes to boot. Randy Couture has his fingers in plenty of pies – when not in the Octagon or moonlighting doing movies, he is a savvy businessman who has lent his name to a number of business ventures including a US-wide chain of MMA gyms and a clothing line. 

The clothing industry is one that has particularly benefited from the success of MMA. Everyone wants to wear something that signals their support of the sport, and certain brands have become synonymous with MMA. Love them or loathe them (usually its very much one or the other) Tapout are a company that have done great things. Starting out over 10 years ago in California, the motley crew of fighters and fans gave birth to a brand that seems to be everywhere you turn. 

From sponsoring fighters to selling boardshorts, from their TV show to their t-shirts, the Tapout crew have expanded their empire considerably, and they’re starting to do so away from the cage too. A growing number of clothing stores in North America are actually selling their shirts alongside that of Affliction and other top fashion brands. Tapout is no longer just MMA – its going mainstream, and you only need to walk down the street to see it. 

Their growth has reached the point where a massive amount of money is being linked to a reported partial sale of the company. A 50% (or thereabout) share in the company is said to have been sold for a rumoured $12million dollars, and that figure is considered to be a conservative estimate. 

Pick up any business magazine or newspaper and you’ll see a mention of the ‘green pound’, the ‘pink pound’, or something equally descriptive. Well MMA now has its own term – the ‘ground and pound’, and it’s pretty clear that people are rushing to spend them, whether it is on clothing, media or gambling. Even travel companies and hotels are suddenly seeing a massive influx of cash from an ever-growing fanbase, it doesn’t look likely to slow down anytime soon. 

As a result of such visible success, every man and his dog seems to be trying his luck with his own MMA start-up. It’s not as easy as simply getting your graphic designer friend to whip up a few t-shirts and coming up with a catchy name containing one or more of the words ‘pain’, ‘fight’, ‘honour’, ‘respect’ or ‘poodle’. (I threw that last one in there as a joke. I’d actually like to see a MMA fan walk around with a poodle t-shirt on.) 

Running a business takes time, money, effort, more time, and a lot more money. There will be heartbreaks, there will be hardships ­– there may even be a little success, but none of it came overnight for those now cashing in. Do some research before you invest your life savings into an idea that may crash and burn alongside that of a dozen others, but don’t give up hope. Who knows, you could be the next Tapout.