LIV Golf has filed for Chapter 11 bankruptcy protection, marking a dramatic change for the Saudi-backed competition that has disrupted professional golf since 2022.
The organisation began a court-supervised restructuring process in the United States Bankruptcy Court for the District of New Jersey on September 8. Court documents estimated its assets at between $100 million and $500 million, while its liabilities were placed at between $500 million and $1 billion.
LIV is not immediately shutting down. Chapter 11 allows a company to continue operating while it reorganises its finances, negotiates with creditors and attempts to agree a plan for its future. Nevertheless, the filing confirms the scale of the financial problems behind a competition once presented as a powerful long-term rival to the PGA Tour.
The 2026 LIV Golf season had already concluded before the bankruptcy process began. The organisation says it intends to emerge from Chapter 11 in early 2027 and resume competition later that year, although its plans remain dependent on court and stakeholder approval.
Saudi Backing Winds Down
LIV was created with financial support from Saudi Arabia’s Public Investment Fund and used enormous contracts and prize funds to attract prominent players away from the PGA Tour.
More than $5 billion has reportedly been invested in the competition since 2022. Players including Phil Mickelson, Dustin Johnson, Brooks Koepka, Bryson DeChambeau, Cameron Smith and Jon Rahm joined as LIV established a global schedule based around individual and team competitions.
The arrival of the new league divided men’s professional golf. Players who joined LIV faced suspensions from established tours, while disputes over ranking points, eligibility and access to major championships continued. Talks involving the PGA Tour and the PIF have still not produced a final agreement capable of reuniting the sport.
The PIF decided to stop funding LIV’s existing model beyond the end of the 2026 season, forcing the league to seek new investment and a less expensive structure. LIV had previously announced that it wanted to move away from its initial launch phase and bring in additional financial partners.
Leading Golfers Listed Among Creditors
The bankruptcy filings revealed that several of LIV’s biggest names are owed money by the organisation. Fourteen players were reportedly included among its 30 largest unsecured creditors.
Jon Rahm is listed as being owed almost $7.5 million, while Bryson DeChambeau, Dustin Johnson, Cameron Smith and Tyrrell Hatton are among the other golfers awaiting substantial payments. The amounts relate to unpaid obligations rather than the full value of their contracts.
Being named as an unsecured creditor does not automatically mean the money will be lost. How much the golfers eventually receive, and when they receive it, will depend on the restructuring plan approved through the bankruptcy proceedings.
LIV is also seeking permission to reject certain existing player contracts. That process could lead to negotiations over fresh terms for those who want to take part in the reorganised competition.
Court Approves $14 Million in Interim Financing
Two days after the bankruptcy filing, the New Jersey court granted LIV interim access to $14 million in debtor-in-possession financing. This is a specialist form of lending that provides a company with operating funds while it passes through Chapter 11.
The money will allow LIV to continue paying employee wages and benefits, maintain certain staff programmes and make selected payments to vendors and other business partners.
The $14 million is the first portion of a proposed $49.6 million bankruptcy-financing package being provided by the PIF. LIV is expected to return to court on October 7 to request final approval for its initial motions and access to further funding.
The interim financing gives LIV enough short-term liquidity to keep operating, but it does not eliminate its existing debts or guarantee that the restructuring will succeed.
Plans for a Smaller LIV Golf
LIV has entered a restructuring agreement involving BC Partners Credit, which is expected to provide exit financing and act as the principal sponsor of the reorganisation. Other minority investors could also participate.
Under the proposal, players would become majority owners of the reorganised company, giving them a direct financial interest in the league’s future. LIV says this would align the golfers more closely with the value created by its events and teams.
Plans discussed for what has been called “LIV Golf 2.0” include expanding the field to 75 players, introducing a cut and creating additional qualification routes such as Monday qualifiers. Team golf would remain a central part of the product, with more teams potentially adopting national identities.
LIV also intends to continue holding tournaments across five continents, including events in England, the United States, Australia, South Africa, Mexico and Hong Kong. However, no definitive 2027 schedule has been announced.
The bankruptcy filing does not necessarily represent the end of LIV Golf, but it does close the first chapter of its short and expensive history. Its survival now rests on court approval, new investment and persuading leading players to support a substantially different version of the league.
