Lakers Likely To Face Serious Financial Problems With New CBA

The Los Angeles Lakers are one of the most fortunate franchises the NBA has seen. No, it’s not by luck, but it’s because of the city the play and their owner who is willing to put together a championship team.

Jerry Buss is someone who is ready to spend money in order to succeed and the fact that the Lakers play in a major market helps them bring in extra cash. However, spending money on salaries eventually comes back and hurts every franchise. Although in past years the luxury-tax penalties were not too severe, they will get worse thanks to the new CBA.

The Lakers paid $12,557,264 in tax money last season, the most of any NBA franchise. For the 2012-13 season, the luxury tax penalty of $1 for every dollar over the tax line will remain the same; however, the season after that will see a much more punitive system, according to Hoops Rumors.

In the summer of 2013, teams over the luxury tax line are ineligible to acquire players in sign-and-trade deals, while clubs that exceed the tax threshold for the 2013/14 season will pay an incremental rate based on team salary.

Teams like the Lakers will face a harsh reality down the road, and they must make changes to their dealings in order to save money. Although Los Angeles is always striving for a championship, it may have to cut down on star power if it wants to maintain the success of the franchise.

Especially in this economy where things are extremely tough, being financial sound is imperative for NBA teams. Although the game is played to entertain the fans, the Lakers are a business and they want to make a profit. The CBA is the highest document in the league and the Lakers will have to adjust their game plan in order to make sure they don’t fall behind.

You May Also Like

Lakers News: Shaquille O’Neal’s Son Plays Against Metta World Peace’s Son

It doesn’t seem like all that long ago that Shaquille O’Neal was rattling the rims at the STAPLES Center with his thunderous dunks and leading the Los Angeles Lakers to victory…

Lakers Injury Update: Jarred Vanderbilt Gets In On-Court Work, To Be Re-Evaluated Next Week

As the 2023-24 season winds down, the Los Angeles Lakers have played like one of the better teams in the NBA as they’ve won…

Lakers News: Kyle Kuzma Models Game After Kobe Bryant, Kevin Durant And LaMarcus Aldridge

Player comps are often the easiest way to describe a player’s game in as short a time as possible, but doing so with…

Lakers Rumors: L.A. Would ‘Easily’ Part With D’Angelo Russell And Julius Randle

The Los Angeles Lakers may have landed the second overall pick in the NBA Draft, but that alone won’t guarantee a return to prominence….