It was reported earlier this week that Major League Football had received an initial term sheet for a $7.5 million equity line investment and sources speculated that a second term sheet could be on the way. League sources have now confirmed that Major League Football has received that second term sheet. Sources expect Major League Football to confirm this funding offer via press release later today. MLFB now has offers for a total of $15 million in equity line investments. This is the second massive announcement regarding funding from Major League Football (OTC: MLFB) this week.
Receiving investment and backing to this level continues to put the league closer to its goals. The league’s goals of cleats in the grass and football being played this spring/summer are now much closer. With $15 million accessible to the league upon signature of these term sheets, MLFB is closing in on making their long journey a reality.
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What This Means for MLFB in 2022
As was stated earlier this week, funding has been the missing piece so far. A great deal that Major League Football has been preparing to do is delayed without funding. Stadiums and cities are closing in on being announced and access to cash can make those a reality. Team names are decided and there is only one head coach left to announce. A media partner is the last major accomplishment between Major League Football and a breakout 2022 season.
As was reported earlier this week:
For MLFB to launch in four cities would require a substantial investment by the league. Specifically on logistics such as field rentals, travel, lodging, and more. Additionally, MLFB has already said that they are committed to paying their players and doing right by them in Year One. With this funding and access to a substantial line of credit, Major League Football is one step closer to making their 2022 season a success.
Rehashing what the Term Sheets Mean for MLFB
From earlier this week:
Getting this vote of confidence from an investor is a huge step forward for the newest player in the Spring Football scene. Major League Football differs from the USFL and XFL in that it is a publicly-traded company. This is unlike the USFL which is solely owned by Fox, while the XFL is financed by RedBird Capital.
The lines of credit are not necessarily mutually exclusive and could give Major League Football options for funding. Depending upon the language in the term sheet, or sheets, the League could select a term sheet with the most favorable terms. According to analysts, MLFB could also decide, depending on the terms, to tap into both and have access to up to $15 million in funding. This is an even stronger sign for MLFB if true as it opens up even more funding options.
The next step in this potential funding is for the MLFB board to consider the offer and formally accept it. Per the release CEO Frank Murtha said, “Terms of this offer are being reviewed by our Board of Directors and financial consultants. It has not been accepted, pending this review.”
Major League Football’s Bright Outlook with Funding
MLFB is closing in on cementing a place in an ever-crowded spring football landscape. The league has made clear they plan to stick with their plan to launch in four emerging markets this year. Major League Football, with funding in hand, will be in a much stronger position to begin making announcements about the 2022 season.
The League has made a commitment to “Do what is right” by all players, coaches, investors, and communities involved. This commitment is central to the league and is its driving force. With votes of confidence in the form of two term sheets for $7.5 million in equity line investments, MLFB is many steps closer to a successful season.
These back-to-back announcements are a major win for CEO Frank Murtha and the rest of the executive management team. They have had to delay minor announcements pertaining to a fourth coach and league apparel. However, securing $15 million in funding is a massive win for the league. Funding is what has torpedoed many spring leagues and led to controversies surrounding others. This means that MLFB locking in this capital is a priority and a win. Securing funding on this level makes the dream of Major League Football closer to reality.