“It would be a huge benefit to us if mixed martial arts became an Olympic sport,” White said. “It would create instant awareness around the world, and it would be huge.

“I would support it 100 per cent. I personally am not out there trying to get mixed martial arts as an Olympic sport … but if it popped and they said, ‘Yes, we’re thinking about it,’ I would go guns ablazing and try to make it happen.”

I think it would be great to see MMA as an Olympic event. It would legitimize the sport while showing that the IOC cares about staying current and fresh. My concerns are that on such a big stage, people will certainly condemn the sport for being too violent, unless there are rule changes, which I would almost guarantee there would be if something like this was to happen. If MMA was to become a Olympic sport, but modified to IOC rules, I don’t see Dana White being as supportive then. What I would like to see in the meantime is some of the higher level fighters competing at their strongest discipline for their country. How cool would it be to see George St. Pierre suit up for Canada against the American, Jon Fitch in a pure wrestling match? Something like that would be great to watch and could still serve to legitimize the sport, since it would be obvious to people who think that UFC fighters are just brawlers, that these men are unbelievably skilled, trained athletes.

Please continue to post any questions or comments you may have and don’t forget to follow me on Twitter @zachlipari.

If I was an NFL agent and represented a player who was maybe on a practice squad or in danger of being cut, would I suggest MMA to him as a career alternative? I would have to say no. If the player was genuinely interested in pursuing MMA, I would help him make the most educated decisions possible and support his decision, but as a fan of MMA, I don’t think that being good at football predispositions you to being good at fighting.

Another concern I have about former athletes throwing their hat into the Octagon is that, for the more famous ones, it could end up becoming a side show, something I believe would be bad for the sports credibility. After Herschel Walker’s success on Saturday, Jose Canseco has come out to essentially challenge him to a fight. Obviously looking for some publicity and a potential pay-day, Canseco represents everything that is wrong with athletes wanting to participate in MMA. I have great respect for what Herschel Walker has accomplished, especially at his age. Training with the American Kickboxing Academy and putting in the hard work necessary to go out and earn a win is admirable, and if others can come to the sport, be humble and take the time to learn, then I will support them as well.

Please continue to post any questions or comments you may have and follow me on Twitter @zachlipari

Dana White describes the new UFC Gym as not being a “fighters gym.” What he means by this is that people who might be interested in learning Muay Thai kick boxing but may be intimidated by going to a Muay Thai gym can feel comfortable learning at the UFC Gym, where they can learn with other people who are taking a more casual approach, as well. With an Octagon available for classes as well as more unconventional training such as the “caveman workout,” which involves truck tires and sledge hammers, this gym seems to have all of its bases covered for every commitment level. Also, where I think the gym will thrive is with its youth training section geared towards kids, which involves the technology to keep things interesting for them while learning martial arts and practicing fitness.

I happen to think this is a great business venture for the UFC from both a fan’s perspective as well as a business perspective. Capitalizing on a niche market in a multi-billion dollar per year industry isn’t always an option, and I think the UFC has done a great job recognizing the need for something like this. A spokesperson for the UFC has gone on record stating that they hope to open as many as 10 of these gyms nationwide in 2010 with possible locations in Toronto and Hawaii.

As I am writing this, I wonder if the NFL possibly missed out on an opportunity to throw its hat into the fitness industry. I think that the UFC is in a special place because while working out like a UFC fighter can sound pretty intense, starting at a beginner level is more interesting and useful towards fitness than anything else. It is hard for me to picture NFL combine training at anything less than full speed for people looking for a little bit of a change to their normal routines. The NFL, I suppose, is better suited with programs such as Play 60 which is geared towards children, or player-run football camps, but I do believe with the right business plan could possibly make a splash if they ever wanted to.

It will be interesting to monitor the success of this new venture and to see if it expands into other products such as health supplements or home workout equipment. For the moment though, I definitely like my neighborhood gym a lot less.

Check out a video of the UFC Gym here.

Please post any questions or comments you may have and don’t forget to follow me on Twitter @zachlipari

Once again, I have to believe that the UFC is ahead of the curve on this front. Fighters, in addition to working for the UFC, are their own brand and websites such as Twitter can help the fighter to directly grow their own personal iamge and receive more exposure. There are different, creative ways for a fighter to use Twitter and other social networking sites to actually make money for themselves. A fighter can tweet about their sponsor or hold sponsored contests through their Twitter account as an incentive for people to follow them and to pay attention, leading to increased value for the fans, the fighter, and the sponsoring company. UFC hall of famer and former champion, Chuck Liddell has even taken the next step and has developed MMAJacked.com a site specifically designed to connect Mixed Martial Arts fighters to their fans on a more personal level. Dana White frequently participates in “Twitter Tag,” an idea that was developed for Shaquille O’Neal by Digital Royalty that allows fans to find you in a public place such as a mall, or restaurant based on your tweets, usually for a prize, or in Dana White’s case, tickets to a UFC event. Georges St. Pierre’s Twitter account isn’t personally run by him, but his handlers had the idea to have fans e-mail Georges during his training by clicking a link that required you to sign up for his fan site before sending the e-mail, which ultimately attracted thousands of new fans.

The UFC is now more accessible than any other sports organization on a personal level. Everyone from the ring girls, to the announcers, to the fighters, to ownership all have highly personal Twitter accounts that are more than just company fluff and that actually give you insight into their lives and opinions which helps us, as fans, relate to them. As social media technology grows I am confident that the UFC will always be at the forefront and it will be interesting to see different business plans develop around these websites.

Please continue to post your comments and follow me on Twitter @zachlipari.

A few weeks ago, I wrote about how the UFC is planning on taking its product to a global market in far reaching countries such as the United Arab Emirates and Australia. The fact remains; however, that the UFC still can’t legally hold events in some of the states here in the United Sates. The biggest fight the UFC might face all year will take place outside of the octagon, and instead in Albany, NY where lobbyists and industry executives will try to persuade the Legislature to legalize the popular sport in New York State. This past week, the UFC was finally granted the approval to hold fights in Massachusetts; huge news for the company and northeastern United States MMA fans.

Massachusetts has become the 42nd state to legalize and regulate MMA, which will now fall under the Massachusetts State Athletic Commission. The bill was signed by Massachusetts Governor Deval Patrick this past week. UFC president Dana White updated his Twitter confirming the good news November 30, and was especially excited because Boston was where he grew up. White and the UFC are already planning events for 2010 and looking at Fenway Park or the TD Garden Arena as possible venues.

New York fans and the UFC alike are hopeful that 2010 will be the year for MMA regulation in the state. This year, the UFC has rethought its strategy and developed a pricey study that says hosting fights in Buffalo or Manhattan would produce millions of dollars for the cities at a time when the state’s economy is staggering under the weight of its current recession. The UFC has retained an influential lobbying firm and sent out its top executives to explain the sport to New York legislators.

Personally, being from New York City, I can not wait for MMA to come to New York. A UFC event at Madison Square Garden would be a tremendous fan experience and I believe would greatly benefit the state and the UFC financially. Boxing won’t bring their top fights to New York due to greed amongst fighters. The potential of a Floyd Mayweather/Manny Pacquiao fight would be a huge draw, but will never happen in New York due to state taxes that would cut too deeply into the fighters purses. Marquee UFC fighters such as Brock Lesnar or Georges St. Pierre would never question fighting on such an important card and the sport is better because of that. In the meantime, I will continue to monitor the events and hope to have good news in the near future regarding the subject.

Please continue to post your comments and follow me on Twitter @ZachLipari.

It is easy to make the argument that the UFC is the fastest rising sport in the country and possibly in the world. For someone who is looking to get into the sports industry, it could seem like a potential “gravy train” to financial success. With the landscape of potential major league clients diluted due to heavy competition, MMA may look like a nice alternative to leagues such as the NFL or MLB for prospective agents, managers, or companies. I decided to look a little deeper into the cash flow of a UFC fighter, and his potential to make money down the line.

Just like in major league sports, you have your stars and your role players, your rookies and your veterans. With the UFC; however, the gap is a little larger and the talent pool is a lot smaller. The UFC signs its fighters to contracts based on number of fights and not years like in major league sports. A rookie contract is greatly reduced from that of an established veteran, unlike football where a rookie can come in and be paid millions of dollars before stepping foot on a field. The contracts aren’t guaranteed, and if you find yourself in a losing slump, you will be looking to work elsewhere fast. For most fighters though, you get paid to show (fight) and you get paid to win. Usually the figures are the same to show and to win, so a loss could mean half of your potential purse for the fight. The UFC also offers fight bonuses as added incentives for their fighters. Fight bonuses are rewarded for the fight of the night, knockout of the night, and submission of the night and could be substantial to a fighter. It is the UFC’s way to sweeten the pot for a good fight.

After looking at salary figures from the last few Pay Per View events, it seems that the average fighter’s salary ranges from around $6,000 to $35,000 to show and to win, hardly a fraction of an NFL game check. Marquee fighters who have re-negotiated their rookie contracts earn in the lower six figure range, with the top level salary per fight that I have seen topping out at $500,000. Fight bonuses usually vary, but range between $50,000 to $70,000, a potential substantial bonus for someone in the lower pay range. A fighter could also be awarded multiple bonuses for a fight, which could make for a huge pay day. This past weekend, UFC Welterweight Josh Koscheck earned both fight of the night and submission of the night bonuses for his win over Anthony Johnson. Koscheck’s salary for the fight was $53,000 to show and $53,000 to win, and added to the $70,000 per bonus award, equaled a total of $246,000. Not bad for a night’s work, but hardly the norm.

It is safe to say that fighters make most of their money through endorsements. Companies pay good money to advertise their brand on a fighter through some sort of signage or apparel. I was curious to see how much fighters could potentially make through these kind of endorsements. After looking into it I found some numbers for Joe Lauzon, a ‘The Ultimate Fighter’ veteran and mid-level UFC fighter with not too much name cache’ but someone who was certainly going to be on T.V. The numbers are as follows:

• Team hat: $5,000
• Front of team shirt (entire front): $15,000
• Back of shirt:
  • Top banner (large font, across entire shirt): $1,000
  • Small banners (about 8 total): $500
• Fight Shorts:
  • Butt banner $5,000
  • Outside sides of thighs, front or back: $3,500 each (there’s 4)
  • Inside of thighs (4 available): $2,500

These numbers, when added up equal $54,000, which was likely more than Joe made for the entire fight. Remember this is for a mid-level fighter, so I would have to think that fighters such as Chuck Liddell and Brock Lesnar, etc are making in the six to seven figure range for their sponsorships in addition to their fight salary and potential bonuses. If you were someone who wanted to get into the business of MMA and represent fighters, it would be your job to secure these sponsors for your fighters, and would also most likely be your main source of revenue.

Fighters could also take these sponsorships, and with the help of a good manager, turn them into endorsement deals. Print ads, commercials, and online signage is a very profitable business and could be a great way to add increased revenue for your fighter. Also, endorsement deals are different from sponsorship deals in the sense that the UFC doesn’t ban their fighters from endorsing brands, but have recently put certain sponsors on their own little blacklist at UFC events. Brands who have challenged the UFC in some way, big or small, have found themselves on the outs with the UFC, and it can affect some fighters profoundly. The UFC can justify this by saying that in other promotions, the sponsorship dollars don’t even come close since the UFC is so popular. They feel that controlling sponsorships is perfectly justified. There was talk around UFC 100 that the UFC was going to charge potential sponsors $100,000 for the right to sponsor a fighter at the event because of the sheer magnitude of the night. Is this any different than the NFL charging millions of dollars for 30 second commercials during the Superbowl? That is to be debated, but is something to be considered if you are a company looking to get involved.

There is money to be made if you are a fighter or represent a fighter in the UFC. Compared to other professional sports organizations and boxing, the UFC still seems to be on the lower side of things as far as compensation for their athletes, but for a privately owned company who puts on and promotes their own events, it is reasonable for the moment. Still, some fights feature fighters who make $300,000 against fighters who are making $30,000, something I wouldn’t exactly call fair, especially when the $30,000 fighter wins. Such is life in the UFC at the moment, and one would think it is just going to get better as it gets bigger.

Please post any questions or comments and have a safe and happy Thanksgiving! Follow me on Twitter @Zachlipari

Sports Business

• A job very well done by Red Bull [Red Bull's Project X = Sports Marketing Idea of the Year].
• Maybe not the world just yet, but starting off at the high school level is a good strategy [Can Under Armour, IMG Take the World By Storm?].
• St-Pierre t0 serve as the face of Under Armour’s Underwear [Under Armour signs UFC champ Georges St-Pierre to multi-year endorsement deal].
• I actually just yesterday had this discussion with somebody [End of the Day, Live Events Make Sports, Brands, King…].

Baseball

• A little baseball trademark law conversation [Wide world of ‘Series’].

Football

• No sense of urgency on the part of the owners [League rejects "lock-in" bargaining proposal].
• A two-paragraph statement that included no explanation – bothers me [Bryant loses final appeal].

Basketball

• BJ Armstrong answers a few questions while promoting the launch of Windows 7 [An Interview with BJ Armstrong].

Sports Business

• Federer has a lot going against him, yet he still wins…moreso on the court than off of it [Off The Court, Federer Is Trumped].

Football

• Comfort is key [Wilfork seeks 'comfortable' contract].
• I also love the pullover jackets [Iconix Using Romo To Resurrect Starter].
• I’ll see your pool jump and raise you with a pickup truck jump [YouTube Video Helps Eloi Get Jump on NFL].
• Apparently there was no violation of Alabama’s sports agents law [Alabama AG closes Smith case].

Basketball

• A member of the U.S. House of Representatives is sick and tired of the NBA’s one-and-done rule [Steve Cohen asks NBA to stop barring 18-year-olds from the league].
• Is there anything to be surprised about here? [Agent Won’t Let Big Ben Retire].

Tennis

• A struggling economy means nothing to die-hard tennis fans [Tennis laughs at your recession!].

Baseball

• Think people would shower in Strasburg’s sweat at this point? Lots of love being thrown around and he hasn’t pitched an inning of professional baseball yet [The kid named Strasburg]
• I have to hand it to this guy for his persistence. Good luck paying back those loans! ['I never saw it as hanging on']

Basketball

• So no one wants to endorse a Kia? [NBA MVPs Don't Keep Cars]
• Will the team with the highest social media authority also win the NBA championship? [NBA Team Social Media Authority Rank].

Sports Business

• Congrats are in order for my friend, Ben Sturner, after receiving a nice investment in his company [New Sports Marketing Partnership Comments On Future].
• If you are in NYC, go network and socialize with Russell Scibetti and others [NYC Sports Business Networking Event - May 26].

Football

• Does the UFL have a solid chance at success because of its great management team? [UFL: A major challenge to stay minor]

Horse Racing

• The winner of the Kentucky Derby has a lot of love for his agent [Athlete Chat: Kentucky Derby Winner Calvin Borel].

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This is the fourth interview in an on-going series by Gary Wimsett, Jr., lawyer and MMA enthusiast, about the business of Mixed Martial Arts. In Part I, Gary spoke with Sports Illustrated Senior Contributor, L. Jon Wertheim, about his new book, “Blood in the Cage” about the history of MMA, the career of Pat Miletich, and the rise of the UFC. In Part II, Gary and Sam Sheridan, author of “A Fighter’s Heart” engaged in a Q & A regarding Sam’s insights into the fighting world as a writer and fighter. In Part III, Gary talked to Pat Miletich about WAMMA, the UFC, and unionization. In this interview, Gary speaks with Ken Pavia of MMA Agents about what life is like for one of the sport’s busiest men. Ken answered these questions while in Montreal for UFC 97. Gary exchanged e-mails with Ken before – from Finland, Japan, and points all over the globe, but rarely from Ken’s home in California

Wimsett: When/Why did you start MMA Agents? What were you doing before and what was it about the industry that appealed to you? Do you exclusively represent MMA fighters or do you have other sports clients?

Pavia: I purchased UFC 1 and became a fan. I was introduced to Ricco Rodriguez soon after he lost to Nog in Japan and he approached me for representation. I was a baseball and hockey agent for 12 years prior. I now only represent MMA fighters.

Wimsett: How many fighters do you represent? Who are your top guys? Do you represent women fighters?

Pavia: I represent 55 fighters. One female. Erin Toughill. They are all top guys…

Wimsett: Do you oversee/coordinate your fighters’ training schedules and programs?

Pavia: I leave the training to the professionals. I seek business opportunities for my clients. They choose which fights to take.

Wimsett: How many different promotions do you work with? Which one is the easiest to work with? What kind of services are you able to provide to a fighter under a UFC contract?

Pavia: In 2007 we sent fighters to 32 promotions in 8 countries. In 2008 we sent them to 35 promotions in 8 counties. We will blow those numbers away this year. We provide compliance support, media support, travel support, sponsorships, PR, legal, appearances and seminars, and fight procurement.

Wimsett: Who are some of the biggest sponsors in the industry? How do you ensure them a return on their investment? How has the slumping economy affected sponsorship and/or endorsement deals you get for your fighters?

Pavia: TapouT is an industry leader. This question is best answered by the sponsorship department.

Wimsett: Where do you see the UFC in five years? Still the “King of the Mountain” or will there be some other large-scale promotion competing for PPV dollars?

Pavia: Really your guess is as good as mine. I will say they have a significant head start.

Wimsett: Describe a typical workday for you. Do you travel a lot?

Pavia: I travel 7 out of 8 weekends. I get up about 9 or 10 and just break to eat and continue to work until generally 3 or 4 AM, 7 days a week. I will never be out worked.

Wimsett: Other than your law degree, do you have any other certifications or licenses? Anything really necessary?

Pavia: I was certified to represent athletes by the player associations of the NFL, NBA, MLB, and NHL.

Wimsett: Where is MMA Agents headquartered?

Pavia: We are based out of Huntington Beach with affiliate offices in Korea, London and Paris.

Wimsett: Do you feel you have to be in or around Las Vegas or be able to travel there regularly to make your business work?

Pavia: I get there enough and with my blackberry, I am global. I represent about 8 fighters out of Vegas.

Wimsett: Do you have an East Coast operation?

Pavia: No I do not.

Wimsett: Thoughts on WAMMA? A Fighter’s Association?

Pavia: Don’t really know much about them. But will say I really like Mike Lynch.

Wimsett: What MMA websites do you stay up to date on? How do you stay informed about what’s happening in this ever-changing industry?

Pavia: Junkie, Sherdog, Weekly, MMA.tv, Facebook, and Myspace are always open on my computer. I also peek at CBSsportsline and USAtoday.

Wimsett: As a fan, what MMA matchup would you most like to see right now?

Pavia: Tito v Babalu, Radach v Lawler, Vitor v Anderson, Riggs v Shields or Diaz, Baroni v Davis or Diaz, Cyrille v Houston or Irvin, Hieron v Goat, AJ v Howard or Alves, Pyle v Condit, and Kampman v Swick.

Wimsett: How many employees do you have? How do you recruit and hire? Do you have an internship program?

Pavia: We have 5 employees and 5 interns, and one full time consultant. We do have an intern program and usually take law students.

Wimsett: Who is your biggest competition?

Pavia: Ourself. We are first and second best.

Wimsett: Who do you look up to in the sports business? Role models?

Pavia: I admire Drew Rosenhaus and Lee Steinberg. I admire Jim Rome and Tommy Lasorda.

Wimsett: What’s the most important skill/attribute of an effective MMA agent?

Pavia: Personality, ice in veins, ability to be rational not emotional, and ability to solve problems. Thick skin too…

Wimsett: Are you actively recruiting college wrestlers? How do you recruit clients?

Pavia: No we are not. We only sign fighters that have experienced a significant amount of success at a local circuit and are ready for major shows.

Wimsett: What do you do to get away from the chaos? When was your last vacation?

Pavia: I haven’t had a real break in three plus years, I don’t get away from the chaos. It defines me.