IPL: How will India Inc recover its money?

New Delhi: As the IPL bids for players touch a rocketing high, the franchises have only one question on their mind — will they be able to recover their money?

Here's how it works: There are four ways in which the franchise can recover their money

• The first on the list is Broadcast Revenues: World Sport Group bought the media rights for IPL at a whopping $1.75 billion out of which $918 million will be left after deducting around $100 million for promotion. The $918 million will be split between three entities — the eight sponsors, BCCI and the prize money.
• The second in the line is title and ground sponsors: DLF bagged the title sponsor for $200 million.This money too will be split with between BCCI , the teams and the prize money.
• But the most important decider of the returns will be the local revenues. This will come from ticket sales of the matches and the team merchandise How much money a team makes thus depends on the response from the audience.
• Finally there is the money made by valuing each team — either by listing the team on the stock exchanges or selling it to a new owner.

As a concept, IPL is a new beginning for cricket following the time tested and money spinning history, especially in international football.

But whether or not Shah Rukh Khan's team becomes as profitable as a Manchester United in England depends cricket fans and their love of the game.