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Business Operations Business Models

How Does Z League Make Money (Business and Revenue Model)

The Z League business model

Z League logo
Here’s what you should know:
  • What is Z League, and how does Z League work?
  • How does Z League make money?
  • Processing Fees
  • Tournament Entry Fees
  • Z League funding, net worth, and valuation
  • Z League profit and revenue
  • What is the Z League business and revenue model?
  • Z League subsidiaries, acquisitions, and exits

How does Z League make money if they pay you and it’s free to use? Well, here is the complete, in depth, breakdown of their two (2) revenue streams and the different products and services they offer, as well as the Z League business and revenue model, how much money Z League makes per year, and how Z League works.

What is Z League, and how does Z League work?

Z League is a platform that organizes and hosts online gaming tournaments for casual players.

Founded in 2020 by Jeff Weshler, Lucas Pellan, and Robbie Schneidman, Z League now has more than 3 million players across 21+ countries on its platform.

So, how does Z League work? To get started playing Z League, all you need to do is simply download their app from the Apple App Store or Google Play store, or visit their website and create an account.

Once signed up, you’ll need to add your platform ID or Gamertag (depending on which game and console you’re playing). After that’s done, you can begin looking and registering for tournaments you’d like to be in.

Z League App in Apple App Store | Z League Business Model | How Does Z League Make Money | How Does Z League Work
Source: Apple App Store | Z League

How does Z League make money?

Z League has more than 3 million players across 21+ countries on its online gaming tournament platform, according to reports. So how does Z League make money off of all these users?

Below is a breakdown of how much money Z League makes and its revenue model. Including all revenue streams and how much they charge for their services.

Here are the 2 ways how Z League makes money in 2022

Z League has a revenue model that makes money in two (2) ways; processing fees and tournament entry fees.

#1. Processing Fees

One of the ways Z League makes money is from the processing fees they collect every time a player cashes out their winnings. Which you can see how much they take, below.

How much does Z League cost? (Z League fees)

  • $2 processing fee every time a player cashes out (no minimum withdraw amounts)

#2. Tournament Entry Fees

Though most of their tournaments are free to enter, Z League also makes money by charging players an entry fee to enter some of their tournaments.

While some entry fees can be paid with “credits”, others can only be paid using real fiat money and/or have the option of choosing to enter using “credits” or real money. You can see below how much some of these Z League tournament entry fees cost.

Does Z League cost money to play? (Z League tournament entry fee)

  • $0.50 to $25+ USD per player, per tournament entry (for the cash entry tournaments)
Z League tournament entry fees | Z League Business Model | How Does Z League Make Money | How Does Z League Work
Source: Z League

It is possible that some, if not all, of these tournament entry fees may go 100% toward the prize money awarded to the winning team/division of these “paid entry” tournaments without Z League taking a cut for themselves. But, Z League does not make mention anywhere as to how these entry fees are used, so we mention it here until clarified otherwise.

Z League funding, net worth, and valuation

According to Z League’s Crunchbase profile, Z League has raised $52.2 million over 3 rounds.

Z League profit and revenue

Z League has not released any official reports in regard to company earnings.

Note: Because Z League is a privately held company, they are not required to make their annual reporting, such as Form 10-K’s, pubic.

What is the Z League business and revenue model?

Z League makes money through a few revenue models that they combine within their company, they are:

  • Fee for service (FFS) business model
  • Business to business (B2B) business model
  • B2B2C (partnerships) business model

Z League subsidiaries, acquisitions, and exits

To date, Z League has not made any acquisitions, investments, or exits.