FanOfAll8472

in general (for sports though)?

Storyteller

In general, it's an agreement between the teams in the league to throw some (or even all) of the revenue that they individually make into a large pot for equal distribution among all the teams.

Example: A three team league. Team #1 puts $10 million in revenue into the pot. Team #2 throws $5 million into the pot. Team #3 throws $3 million into the pot.

Each team would then get $6 million out of the "revenue sharing plan".

FanOfAll8472

is that how it works in bball and baseball? what teams didn't make any money?