It’s no secret that NASCAR has been looking to expand. From hosting its first points-paying race south of the border to attracting younger audiences with Prime Video’s streaming service. The stock car racing series is exploring all the available options for the pursuit of growth, and is even considering doubling down on its strongholds in the United States. While looking at new markets is one part of the plan, the sport wants to steer clear of comparison with Formula 1, especially since they are more globally recognized right now.

But ambitious plans require significant capital. And that’s where private equity firms come in. While NASCAR has stringent rules in place for investment groups, the sanctioning body is more than happy to get more money coming in, as it’ll raise the overall standard of stock car racing at the highest level.

Steve Phelps wants teams to raise capital

NASCAR has evolved significantly in the last few years. “Six years ago, private equity firms weren’t as focused on NASCAR as they are today,” said Commissioner Steve Phelps. And 2025 has been a breakthrough year, with the launch of a new media rights deal. This means several new broadcasters have joined in, such as The CW, TNT Sports, and Prime Video. Such a diversification is helping the sport get new private equity investors on board, at a time when rumors are circulating about a fourth manufacturer coming in, and ‘The Clash’ being held in Brazil.

Sharing his thoughts about private equity investment with CNBC Sports, NASCAR Commissioner Steve Phelps said, “So we allow private equity to buy a percentage of the charter. And they are. Harris Blitzer partnered with Joe Gibbs Racing, he bought a piece. You have Trackhouse, which has SVG, Daniel Suarez, and Ross Chastain race, Avenue Capital came in there. Former owner of the Milwaukee Bucks. And then you have Knighthead Capital, that have partnered with Legacy. I think it’s a good thing, honestly. We’re seeing a lot of money, lots of capital come into NASCAR teams.”

Getting more money into the sport can only be a good thing. With more capital, teams can improve drastically, and races can be more competitive. That, in turn, helps attract new fans, making NASCAR sustainable in the long run. Private equity firms also bring in their own expertise, which means better business knowledge and management skills for teams off the track. These investors also have ties with other businesses, which helps bring in sponsorship opportunities. That’s only beneficial for the sport, especially in the Xfinity and Truck Series.

But while NASCAR is all-in for more private equity investments, there are certain rules in place. On that note, Phelps said, “So right now, our charters prohibit sovereign wealth. But we are fans of private equity. There’s a percentage they can own. They can’t go over that percentage. There needs to be a control person that is a person, not a company.” The influx of capital from investment firms shows that the future is bright for stock car racing, with many expecting the sport to grow and succeed long term.

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NASCAR is also open to private equity investments

It’s one thing for private equity firms to invest in teams. But for NASCAR to open the doors for more capital is an eye-opener. The sport has been owned by the France family since 1948, and they have controlled NASCAR with an iron fist since then. To bring in external investment would mean relinquishing some of that control, a prospect that seemed unfathomable just a few years ago.

But with an ongoing antitrust lawsuit and ambitious expansion plans, it’s easy to see why NASCAR is going this route. On that note, Steve Phelps said, “We’re in right now what I would call the exploration phase, so we’re trying to build out our plans for ’26 and beyond, but it’s kind of like the NBA. Twenty years ago, their international footprint looked significantly different than it does today. My expectation is ours is going to continue to grow. There’s lots of opportunities for us.”

Over the years, private equity money has flooded into the industry, with sport becoming an asset class. Phelps’ confirmation of NASCAR selling a stake could be a game-changer and could eventually pave the way for a complete takeover years down the line. Back in 2018, Reuters had reported that NASCAR had hired Goldman Sachs to explore a sale of the company. Now, time will tell how it all plays out. Do you think the France family will sell a stake to an outside investor? Let us know your thoughts in the comments!