Check the bowl payouts vs the team expenses you lose money on small bowls
Yes, small schools take an initial hit due to the expenses related to bowl games. But the conferences receive a payout for every team they have that meets APR or bowl eligibility requirements. So the schools that take that initial hit will make the bulk of that deficit back up after conference payouts are distributed.
The key factor here is the vast majority of schools that are only breaking even or losing money on bowl games are G5 schools. That’s because the bowls that their conferences are tied into are lower tier games, meaning the payouts are less. Tech will
not lose money if they choose to accept a bowl bid. Worst case scenario is a net zero profit/expense ratio and we still get an extra game with extra practice time.
The most costly expense of a bowl game is the travel and lodging. Followed by mandatory ticket purchases. With the virus going around the bowl organizers and local sponsors will likely put a hold on the extra curricular activities that are usually involved with bowl games. Meaning the amount of time a team will stay in the host city will probably decrease by at least 1 day, if not a couple of days. That significantly reduces the costs involved. It’s doubtful the bowl games will open ticket sales to more than 25% or so of the host site’s capacity, with almost all of those tickets going to the team’s families. If anything the expense to profit ratio of bowl games will shift more towards profit this years.