NASCAR Rumors 2016: Sanctioning Body and Owners Make New Charter System Official
NASCAR made history right before the start of the 2016 season with the announcement that a deal has been agreed upon by the body and the team owners to come up with a new charter system. The confirmation about the deal was made by chairman and CEO Brian France.
The new charter system is reportedly going to be enforced as a means to address three crucial aspects, namely the participation, governance, and economics, with the ultimate objective of promoting a more sustainable, valuable, and predictable team business model.
The 2016 NASCAR season begins at the end of this week at Daytona International Speedway, and every team that has made an attempt to qualify for all races beginning in 2013 will be provided a charter by the sanctioning body, which in turn will guarantee them a spot for a Sprint Cup race every week. However, the field will be limited to 40 cars instead of the usual 43, while there will be four open spots every week.
Get Our Latest News for FREE
An integral part of the new agreement also provides that there will be a "Team Owner Council" that will have the power to provide advice and participation in making decisions. Furthermore, the agreement will afford charter teams with better revenue opportunities.
However, the most important addition in the new charter is the fact that teams now have the right to re-sell their charters privately and they can charge for that. It suggests that an ownership can sell charters via bidding and the highest bid wins.
Overall, the major changes in the ownership structure that was agreed upon by both parties last Tuesday will change the relationship of the sport with its corporate sponsors, but the change is certainly on the positive side. It is no secret that teams and the organization as a whole rely on corporate sponsors to keep everything running smooth.
