How does IPL make money?

In my opinion IPL  is not only a business still its pure investment business,like a capitalist invested into a different profitable ventures like the same our top corporate houses investing in the IPL,IPL not only allow to cricket just for profit still its also support to others supporting factor that also got a big business that more profitable from IPL,In the business merchandiser,hotelier,restaurant,keep them also and others make big money from IPL.IPL is the  entertainment,entertainment,entertainment with countable profit for all who are involving with this business.

IPL is a governing body that works under the BCCI. Every year when IPL happens, the IPL earn money from contracting with TV companies, sponsors and advertisements. From this big pool of money, most of the money, for example, 60 to 80 percent kept by IPL and rest is distributed among owners of the IPL, which are eight of them. Also, the IPL receives money from ticket sold at the ground as well as team makes money of the ticket sold. So more people more money, even if you are loosing. Now we know the IPL makes money off from TV rights, adds and sponsorship of the games, lets see how team makes money? Every team owner has to pay bit of money to BCCI when they buy players in auction, although, you can sell your player in higher than your purchase price, but thats apart from the real point of earning money. Every time team wins, they get money for each game they win from BCCI and player gets their money in contracted terms by their owner. In the end of tournament whoever team wins, owner of the team gets the prize money decided by BCCI. According to the source, the 2011 winning money is about Rs. 13 Cr. However, the player do get some percentage of money as a bonus to win the tournament. So its a big money pool covers by many richest people in India.

IPL earns majority of the total revenues from the sponsorships and rights. For details check out the link.

IPL generate revenue also from title sponsorship and corporate sponsorship & Sale of tickets.

IPL earn money from auction of broadcasting rights and franchisees rights.Than this income , broadcasting money is distributed among franchisees & sponsorship.