Collaborative Fund, a New York-based venture capital firm managing around $1 billion, has taken a stake in the soccer club D.C. United and its home venue, Audi Field. This investment represents a newer approach by venture capital firms to engage in professional sports ownership, a path recently pioneered by Thrive Capital.
Thrive Capital, led by Joshua Kushner, established a dedicated vehicle called Thrive Eternal to acquire and hold iconic sports franchises and cultural institutions over the long term. The firm’s initial investments included a stake in the San Francisco Giants and later the outright purchase of the Los Angeles Lakers for $12.5 billion, with former Disney CEO Bob Iger joining as a co-owner.
Traditionally, ownership of professional sports teams has come from individual tech billionaires or private equity firms. Notable examples include Vinod Khosla’s family acquisition of the Seattle Seahawks and private equity firms like Sixth Street and RedBird holding stakes in various major league teams.
Unlike these models, Collaborative Fund is investing through its early-stage venture fund, treating the sports franchise less as a long-term asset and more as a platform for brand and portfolio integration. Founder Craig Shapiro described D.C. United as the "ultimate consumer product," highlighting the club’s historic presence in Major League Soccer and its potential to engage a growing American soccer fan base.
Shapiro emphasized the strategic value of Audi Field, envisioning it as a venue to showcase Collaborative Fund’s portfolio companies, such as fitness wearable maker Whoop and beverage brand Olipop. The stadium’s consistent foot traffic offers a unique distribution channel for these brands, especially as live experiences gain importance amid increasing digital and AI-driven interactions.
The investment also benefits from rising valuations in soccer franchises. D.C. United’s valuation has increased substantially over the past decade, reflecting broader growth in Major League Soccer’s market value, which has surged since high-profile player signings and expanding youth participation.
This venture capital approach to sports ownership signals a shift in how investors view professional teams—not only as appreciating assets but also as dynamic platforms for consumer engagement and brand development. The deal is pending approval from Major League Soccer.