How would NBA Europe work, with 12 permanent franchises and 16 teams?

By McKinley Malbrough III, J.D., MS-HRM · Certified WNBA player agent · Former certified NBA agent

Published October 31, 2026. Last updated October 31, 2026.

This guide explains how the proposed league is built, using the NBA's own announcement and reported details on ownership and money. Nothing here is final: the NBA says it is still working with partners. The vote by the EuroLeague's owners is covered in the post on the EuroLeague rejecting the NBA offer, and the effect on players is covered in the guide to what NBA Europe means for American players and agents.

What is NBA Europe, and when would it start?

NBA Europe is a proposed professional league in Europe with a first season planned for fall 2027, per NBA.com. NBA Deputy Commissioner Mark Tatum leads the project, and FIBA, basketball's world governing body, is the NBA's partner, per NBA.com. See the glossary entry for FIBA and the guide to what FIBA does.

Sportico reports a launch in October 2027, per Sportico. The league is not yet confirmed: Tatum said on October 20 that talks with prospective founding clubs were nearing completion, and no club deal had been announced as of that date, per The Sports Encounter.

How do 12 permanent franchises and four qualifiers make 16 teams?

Twelve teams would hold permanent spots and four spots would be earned each year, per NBA.com. A permanent franchise holds its spot without earning it each year, unlike the four qualifier places, which are decided annually.

The planned format is a round-robin regular season followed by a multi-game playoff, per Sportico, and ESPN describes the same layout, ending in a finals, per ESPN. The NBA says the calendar would line up with domestic leagues and national-team competitions, per NBA.com. That detail matters for players who also suit up for a country.

Which cities does the league target, and who can own a team?

The 12 target cities are Athens, Barcelona, Berlin, Istanbul, London, Lyon, Madrid, Manchester, Milan, Munich, Paris and Rome, per NBA.com. These are target markets, not confirmed teams, and no complete list of confirmed clubs has been published, per The Sports Encounter.

Teams may come from existing basketball and soccer clubs or be new, per NBA.com. More than 20 clubs and groups bid, including current EuroLeague teams, and viable bids came in for all 12 cities, per Sportico and ESPN. Current NBA owners cannot own a team in the league, and multiple former NBA owners are inside bidding groups, per Sportico.

How much would a franchise cost, and who owns the league?

Bids for the 12 permanent franchises were reported at $500 million or more in every target city, with several above $1 billion, per Sportico. The NBA has not published bid amounts; the figure is Sportico's reporting. Multiple bids in the final round were more than double the first offers, which were due March 31, per Sportico.

I built the Overseas Contract Questions Checklist for readers in this spot. 20 contract terms and the question to ask the club about each one.

Equity would start evenly split: NBA owners hold 50% and the 12 permanent franchise owners hold the other 50%, per Sportico. The NBA would fund league losses during the launch, so franchise owners would face no capital calls, and it would take a share of league revenue once net revenue turns positive, per Sportico. Sportico also reports permanent franchises are expected to break even by year three. That is a projection, and The Sports Encounter reports Tatum projecting the same timeline.

What payroll and revenue rules are reported?

Sportico reports four borrowed ideas: a salary cap like the U.S. leagues use, local media rights for each team, revenue payouts based on performance as in global soccer, and team-specific jersey deals. It gives no dollar figure for any of them. A salary cap limits what a team may spend on players, and the NBA salary cap guide shows how the U.S. version works with exceptions and aprons.

From an agent's seat, the first question about any new league is which clubs can afford to honor a contract in the second year, not the first. A cap and performance payouts would tell a player a lot about that, but only once the numbers are published.

The EuroLeague sets spending levels for clubs instead of a salary cap, a system covered in the EuroLeague 2026-27 spending levels post. Comparing the two systems is possible only after NBA Europe publishes its cap figure.

What is still undecided about NBA Europe?

Most of the operating detail. As of October 20, final franchise agreements, the full qualification structure, the schedule, media and venue arrangements and governance rules were still outstanding, per The Sports Encounter. The NBA plans to take bids to its Board of Governors to ratify partners, and final terms and participating teams will be settled on a rolling basis, per Sportico.

The biggest open question is the EuroLeague. NBA Commissioner Adam Silver has said the NBA would go ahead whatever the EuroLeague decides, per NBA.com, and the EuroLeague's shareholders have reportedly turned down the NBA's first proposal, per Hoops Rumors. Those are the items to watch before treating any NBA Europe figure as settled.

• Watch for an official club announcement from the NBA, which Tatum said was close.
• Watch for a published salary cap number and roster rules.
• Check any claim about a team spot against the NBA's own announcements, since no list exists yet.