I digress
But is this added on to their percentage when finally sign to their respected team or is this just a bonus service by the agent or what? I'm just wondering cause the percentage of football players going broke and filing for bankruptcy after their playing days is pretty high. I mean personally I would pretty much just want my agent to handle my contract situation/negotiations and that's it. The agent could be getting kick backs for the referrals from the real estate agents, financial advisers, etc. which in the long run ends up coming out of the pockets of the athletes. Hey maybe its all good, maybe its just me but on the flip side I can see the athlete's being taken advantage of while they concentrate on their craft
The maximum an agent can take is 3%. This is strictly enforced. An agent may take only .5-1% for high draft picks, but it creeps up to 3% for the late rounders and UFAs. I don't know about the past, but nowadays agents can't be that shady because they are registered and regulated through the NFLPA. Contracts need league approval before they are activated. All agents are registered, and if they step outta line they can be suspended or ultimately banned from practicing as an agent. The NFL circle is pretty tight: a lot of players buy their cars from the same dealerships, buy houses from the same real estate company, get their jewelry from the same place etc. Its a little network going on. Agents tend to be the medium in the nework. But I'm sure agents get referrals from businesses that they funnel their clients to.
As far as these players going broke, there's a misconception that its all due to flossin' and stuntin'. There are two primary reasons:
1) Child support/alimony - nikkas get RAPED in court. A lot of these new money nikkas don't know how to control the tidal wave of p*ssy that comes their way. Take a big, ugly ass defensive lineman
. He's been clowned his whole life for being big and awkward and he's never got play from women. Then he signs that contract, and he has all types of p*ssy being thrown his way. He can't control himself. Before his career is over he knocks up about 4 broads, and he marries a pretty lil' thing that he thinks actually loves him for him
. The 4 broads demand child support and a judge grants them an exorbant amount. The player's wife files for divorce after his career is over and the money stops flowing in, so now he gotta pay her too. Dude done realized he fukked up but its too late now
2) Bullshyt investments - when nikkas get money, there's a pantheon of other people trying to tell dude how he should spend that money. So financial advisors (unregulated by the NFLPA) charge a fee for giving dumb financial advice. Dudes be opening up bars, restaurants, clubs etc. when all those things have a very low rate of success. Dudes be investing in bullshyt property that have absulutely no hope of garnering a profit. And then there are always family members that spout out dumb investment strategies. Some cats just don't give a fukk, but a lot of dudes really do want to invest and grow their money. They're just ignorant as to how to do it, and rich white folks that know don't wanna share.