The MLS has become a big-money league in terms of individual team value and the TV deals that it gets offered. The league and its teams are not short of change, as a number of teams have become some of the most valuable teams in soccer.
With all that money being tossed around in the MLS, you’d assume that the teams spend a crazy amount of money to bring in star players from across the globe.
That hasn’t been the case, as the salary cap rule, which is common for American sports leagues, has prevented teams from opening their wallet and bringing in world talent.
This has hurt the league in several ways, but has also preserved it and allowed there to be parity across the league.
YOU MAY ALSO LIKE: Looking at Each MLS Contender for Golden Boot
Pros to having no Salary cap
The league is looking to expand and be respected by fans and players alike across the global soccer landscape.
Having no salary cap will reward teams and owners in a few different ways while punishing those who refuse to adapt.
Clubs that invest their money in proven talent and bring in big names to fill their roster spots will get more fans in the seats, more shirts being sold, and more competitive games later in the season if the team competes.
This can also boost the value of the club in the long term, as the league won’t have a big-money club at the beginning of this switch.
Other clubs will want to save their money for resigning homegrown talent and bringing in the occasional veteran to help the younger players. Investing in their youth development and selling some players while their market is high can make this happen.
Not selling every offseason, but every few years to make changes and help the team stay competitive for the long run.
No salary cap will help get players from across Europe who may not have joined the MLS in their primes due to the contract restrictions that only exist in the MLS, thanks to its American financial structure.
Cons of no Salary cap
The league is competitive each year, with no reason why teams may fall to the bottom of the league after having a strong season or even winning the championship. This helps keep the league fresh each season as dynasties are mainly prevented as players quickly move from their teams.
This season, teams like Nashville have been a surprise as they have become a contender for the Supporters’ Shield. Last season, they were one of the bottom teams in the league as they struggled to get winning results with what they thought was a proven roster.
LA Galaxy did a 180 on Nashville and went from the MLS Cup winners willing themselves to repeat to a team that may not win another game in MLS play.
A Salary cap will naturally separate the league into three groups. The contenders, the midfield, and the relegation teams.
Fans of the MLS enjoy that the league is equal and that any team in the league could compete, no matter where they fall in the standings, as long as they make the MLS Cup playoffs or qualify for any of the other cups in the American system.
Despite the love from the fans, it will not allow the MLS to expand its teams’ brands and pay for major talent, considering the DP rule will no longer apply if the salary cap is broken.
Main Photo
Credit IMAGO/TheNews2
Recording Date 10.08.2025