it would be a 0 IQ move from Riot to give a spot on franchising to a team that does not want to compete, that would actually send the message they only care about numbers rather than making a healthy and competitive scene
They pay for teams to play their franchise. Imagine the joke among the esports worldwide, a team full of streamers competing on a league where most pros would give their lives to be there. It's a huge flip to everyone who works hard and try to get better.