"Bad business decision" - NASCAR team owner BJ McLeod reveals why selling charter was the only option to survive

Former NASCAR charter owner BJ McLeod recently opened up about his decision to sell the Live Fast Motorsports charter, citing financial constraints that led to his withdrawal from full-time competition.

Live Fast Motorsports, co-owned by McLeoad and Joe Falk made headlines late last season when it sold its charter to Spire Motorsports for a whopping $40 million. It marked the end of an underwhelming three-year stint, during which the #78 team was classified 32nd, 36th, and 36th in the owners' standings.

BJ McLeod reflected on his decision to sell the charter during a recent appearance on DJD Reloaded. McLeod disclosed that the team had long-term plans in place and had made significant progress in securing sponsors and acquiring better equipment. However, these improvements didn't translate into on-track results.

"The longer we went we built up some sponsorship, we were making progress with that, we were able to spend more money and have better vehicles. Ultimately the last year we ran, we spent a lot of money on our side to improve and our finishing position didn't improve one spot," McLeod said.

The NASCAR team owner conceded that they had come to terms with the brutal reality that they would never catch up with the rapid growth in the sport. He explained that from a financial standpoint, it made more sense to sell the charter and continue as a part-time team:

"It became to be a realization that we weren't going to be able to grow as fast as this sport had grown. With the charters and the values the way they build up it just was a bad business decision to keep going and I'm not about that. The quickest route for me to able to drive a competitive car in the Cup Series was to sell and have more capital and just run less races."

BJ McLeod continues to make part-time entries with the #78 Live Fast Motorsports Chevy, with the support of Richard Childress Racing.

---

Dale Earnhardt Jr. expresses concern for open teams in NASCAR Cup Series

The JR Motorsports owner has expressed his concern for the open teams entering the NASCAR Cup competition. With the current charter system in place, Dale Jr. questioned the financial feasibility of running an open team, and wondered if such teams manage to break even.

After MBM Motorsports owner Carl Long entered the recent Cup race at Martinsville Speedway, the NASCAR Hall of Famer shared his thoughts on the non-charter teams. He said on Dale Jr Download:

"If it was a $10 Million charter buy in the Xfinity Series, I wouldn’t be in it. Carl Long and the guys, they came to show up and race this weekend. Is that realistic to be an open team, and come compete and financially be able to at least break even? I grew up in a NASCAR where if you wanted to build your Cup racing car, you built one, and you race." [25:30]

Carl Long later admitted on the DJD Reloaded that their primary concern was breaking even, and they determined which events to enter based on the payout.