The Price of Progress: How Private Equity Is Pricing Out America’s Youth Sports

The U.S. men’s national team’s loss in the World Cup was a devastating blow to American soccer fans, but it also highlighted a more insidious issue plaguing our country’s youth sports landscape. Critics argue that the “pay-to-play” system is not only keeping talented athletes from low-income backgrounds from competing at the highest levels, but it’s also creating a culture where investment groups prioritize profits over people.

Parents spent an average of nearly $1,500 per kid on youth sports last year, with some cases reaching as high as $25,000. According to an Aspen Institute survey, 46% of parents reported increased costs since 2019, and the average costs now include over $400 for travel and lodging, $280 for team registrations, and almost $265 for lessons and instruction. Research suggests that a majority of kids playing organized soccer come from households with incomes between $100,000 to $150,000.

This issue is not just one of affordability; it’s also one of equity. Landon Donovan pointed out in the wake of the World Cup loss that only 2% of kids participating in organized soccer come from households making less than $50,000. This means that countless talented athletes are being priced out of their dreams, and with them, the soul of our nation is at risk.

Private equity investors are blamed for fueling this trend by snapping up businesses tied to youth sports and using Wall Street tactics to drive profits. Private equity-backed operators have been accused of mandating hotel stays, requiring subscriptions to watch games online, and exploiting parents’ desire to give their children every advantage. While some argue that these practices are necessary to maintain competitiveness, it’s hard to ignore the fact that they disproportionately affect low-income families.

Congress has proposed legislation to crack down on private equity investment in youth sports, but the response from Republicans has been hesitant. This lack of action is a missed opportunity to address the issue at its root: the pursuit of profit over people.

Recent high-profile deals illustrate the scale of this problem. Global investment giant KKR & Co. paid $4.5 billion for Varsity Brands in 2024, which makes uniforms and organizes cheerleading competitions. EQT also bought IMG Academy in an all-cash deal valued at $1.25 billion. In a statement to the Times, Josh Harris and David Blitzer, owners of teams including the NBA’s Philadelphia 76ers and the NHL’s New Jersey Devils, claimed their business was still “in the early innings” of building a youth sports platform.

The language used by these investors is telling – they see themselves as pioneers in a new era of youth sports. But to many families struggling to make ends meet, it sounds like empty rhetoric. They know that every dollar spent on private equity deals means less money for facilities, coaches, and most importantly, athletes themselves.

As the debate continues, one thing is clear: we’re at a crossroads in our nation’s approach to youth sports. Do we prioritize profits over people, or do we take steps to ensure that every child has access to these opportunities, regardless of their family’s income? The answer will shape not only the future of American sports but also the very fabric of our society.

We’re losing sight of what makes America great – its competitive spirit, its willingness to innovate and improve. By allowing private equity to dictate the terms of our youth sports landscape, we risk erasing the heart and soul of our nation’s athletic identity. It’s time for a change – one that puts people over profits and gives every child a chance to shine.