Negotiation Levers

CHAPTER 5

In most cases, you’ll be compromising on terms, so there’s several levers you can push and pull.

It doesn’t make sense to sign on long-term if a team can find a better player and sell you whenever. And think twice about a low salary with restrictions on independent content and sponsors.

It pays to make sure you fully understand everything that’s going on in your contract, and know what you value the most so that you can negotiate around the right levers.

📉 Salary Reductions

These penalties are often vague, so it’s on you to make sure there’s a process if they’re allowed to bench you, penalize your behavior, or otherwise deduct salary.

Ask questions like:

  • Is there a rulebook or code of conduct?

  • Are there any warnings before penalties?

  • Who decides these, and can you appeal to them?

Figure out what’s important to you.

Even if two players are at the same points in their career, they might want very different things. It’s important to consider what you value right now and what you may value in the near future when figuring out what your negotiation levers are.

🍔 Travel, Food, and Housing

Without specifying, these benefits can mean anything. They can mean you have to share a room with one or more players, or that you only get $10 for each meal.

Ask questions like:

  • Will there be a chef or other prepared food?

  • How many times and when do you receive meals?

  • If you get a stipend, how is it paid and is it taxable?

  • Do these benefits apply during the off-season too?

📸 Intellectual Property Rights

The main priority here is to make sure the team can’t create assets with you after your contract is up. These are terms that are hard to fully understand without a lawyer!

Ask questions like:

  • How long can teams sell merch with me on it?

  • Are they allowed to sell their current inventory?

  • How long are ads allowed to stay in circulation?

Let’s say you’re the seasoned player from before who wants to play with a roster you like, but the team is offering you a low base salary. You’ll want to negotiate terms to make up for that so you don’t lose out on the value you otherwise could get.

Here’s a few conditions you could use:

  • Bonuses: can they offer you higher bonuses for reaching certain benchmarks or achievements?

  • Payment Plans: could they pay only a part of your salary in the 1st year, and then the rest with their 2nd year budget?

  • Scaling Contract: would it be easier if they started low, but increased your salary each year, over a guaranteed term?

  • Termination: can you break your contract if the team doesn’t manage to stay a top team for multiple splits in a row?

Take it a step further by giving options.

Let’s say this is a seasoned player. They have a family and other commitments, so they value stability.

Here’s another seasoned player, but they really want to win this year. They’re looking for the best team.

Then, start the conversation!

As a starting point, you can ask clarifying questions about specific terms. This helps you fully understand what’s going on in your contract and gives you clues to what the team’s motivations are with each term, so you can negotiate with them in mind.