NBA: 5 Teams That Are In Serious Financial Trouble

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3. Chicago Bulls

May 15, 2013; Miami, FL, USA; Chicago Bulls shooting guard Kirk Hinrich (left) sits next to teammate point guard Derrick Rose (right) during the second half against the Miami Heat in game five of the second round of the 2013 NBA Playoffs at American Airlines Arena. Miami Heat won 94-91. Mandatory Credit: Steve Mitchell-USA TODAY Sports

The Chicago Bulls owe the fourth-most of any team next year and will be paying $17 million to a player whose uniform was a suit for the 2012-13 season. The All-Star and 2010-11 season MVP, Derrick Rose, will return next year, and it could not be at a better time.

The Bulls paid a nearly $4 million fee in 2012-13. Like all of the other teams on this list, once incremental rates come into play, the Bulls will pay more. Assuming there were incremental rates for the 2012-13 season, the Bulls would have owed almost $6 million.

 The Bulls’ financial difficulties are compounded when you consider that they owe about $4 million more next year than they did this year, due mostly to the fact that Taj Gibson’s contract triples in 2013-14, going from $2,155,811 this year to  $7,550,000 for 2013-14. Gibson’s extension adds even more financial pressure to team that already feels the pressure to perform.

However, Chicago’s prime location as a major TV market helps alleviate some of those pressures, as the Bulls management have a little wiggle room when it comes to going over the tax level.

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Tags: Boston Celtics Brooklyn Nets Chicago Bulls Golden State Warriors Los Angeles Lakers Miami Heat New York Knicks

  • Jack Hoang

    “Biedrins’ most memorable playoff moment was probably his truly un-matchable ability to get five fouls in just 11 minutes of playtime.” haha good one

  • AJ Reuter

    I did not read past the first team. What a load of shit, I am sorry but is this written by a highschooler? High spending ≠ Financial trouble.

    • Dhara Taheripour

      You are the one of the least profitable teams in the league yet you have one of the highest expenditures. How is that not financial trouble? It’s not just high spending, that’s why I brought in the Forbes valuations as well. Its high-spending combined with the fact that the Nets are not nearly making as much money as the Lakers or Knicks. If you read the rest of the article, you would have seen that. That is why I didn’t mention the Lakers or Knicks having troubles.

      • AJ Reuter

        Its the term ‘financial trouble’

        Financial trouble, for me, is when the team is losing money and not having enough to keep it up. A risk factor related to the teams inability to provide sufficient financial resources to meet minimum needs. A family that cannot afford to feed their kids is having financial trouble. .The nets went through their first year with the new branding, its not like the teams worth is going to skyrocket in the first year (But it actually did). Fact is, they *are* making money. And the teams value is growing exponentially. You don’t just move the team and all of a sudden they are the most marketable team. It takes time.

        Financial trouble is poor wording, in my opinion. There is no trouble.

        • Dhara Taheripour

          I understand what you mean and I appreciate the criticism. You are correct when you say that the Nets aren’t really in “trouble” as long as Prokhorov has money to spend, but then again you could say the same about any NBA team. I only meant “trouble” in the way that they will have to pay luxury taxes. Perhaps it was poor wording because I did not mean to imply financial crisis, just that going into the tax is not something any team wants and that is something the Nets will have to contend with in the coming years. What I should have said was “Unsatisfactory Financial Conditions” or “Undesirable Financial Issues” . Re-branding and profitability aside, the tax issues will only get worse with time as teams will have to pay repeater rates. That’s all I was trying to say.