In a sweeping move that may go unnoticed by most fans, the NFL has ushered in a major change to team ownership structure. Adopting a new policy on Tuesday, the league has now allowed private equity ownership in teams, altering the ownership landscape that was previously dominated by family-owned franchises with minority stakes sold to individuals.

Under the new policy, private equity ownership can account for up to 10 percent of a franchise, providing teams with an opportunity to raise capital without solely relying on wealthy individuals making passive investments. The move is seen as a way to make it easier for team ownership to sell smaller portions and generate additional funds.

Ben Fischer, the Sports Business Journal reporter, has shed light on the initial parameters of the policy. It states that private equity funds can invest a minimum of three percent in any given team, but can also diversify their holdings across multiple teams. This means that a single fund can potentially own pieces of up to six different teams, leading to an intriguing mix of affiliations for investors.

For instance, a private equity fund could concurrently hold interests in both the Pittsburgh Steelers and the Baltimore Ravens, or alternatively, have stakes in the Dallas Cowboys and the New York Giants. Such diverse rooting interests could generate unprecedented combinations among the NFL franchises.

Interestingly, the new policy also permits league owners and their immediate families to collectively own up to three percent of a private equity fund that invests in NFL teams. This provision indicates that a controlling owner of one team could indirectly hold ownership in up to six other teams, paving the way for potential cross-ownership scenarios.

While the involvement of private equity is not expected to influence the day-to-day management of team business, some funds may attempt to influence decision-making processes. Although minority owners typically lack voting rights or a voice in team affairs, larger private equity funds could potentially yield more influence based on their size and resources.

The NFL's shift towards private equity ownership marks a significant departure from the traditional model of team ownership centered around families and individual investors. This change has the potential to bring about a fresh wave of financial support and strategic partnerships for franchises, while the impact on team dynamics and governance remains to be seen.