Why would a first round pick sign with an agent?

[JasonS]

I am watching the Dan Patrick show right now and they brought up an interesting point. With the NBA having slotted salaries for first round draft picks, why would any of these kids need an agent and more importantly, why sign with an agent and give them a percentage of your money when you already know what you are getting based on your draft position?

I understand it a little more if you are a second round pick or undrafted but I would think you could retain representation once that is determined.

And on another note, if you are a superstar, why have an agent either? Ray Allen didn't because he knew what he was going to get paid. Since there are max contracts, why would LeBron or Kobe or Wade, etc. even bother with an agent? Maybe they need one for endorsement purposes but I wouldn't let them touch my NBA contract.

 

[BearcatAlum1]

An agent has more responsibility than negotiating a salary with an NBA team.

Endorsements, appearances, etc.

Also, I question how many players are competent enough to handle the "slotted" contracts they are guaranteed.

Let's not forget that 70% of NBA players file for bankruptcy 3 years removed from the league (according to SI).

 

[BigBearcatfan]

Your Agent also hires your Pubilicist, Accountants. The also negoiate playing time, which mini camps you attend. They also have their own scouts and they determine best place for you to sign your 2nd contract, which is typically the big money contract.

 

[JasonS]

I understand they do more than contracts but you could hire someone specifically for that stuff. There is no negotiation for a first round pick's contract so all you are doing is giving money away. I agree that many of these players are not mentally capable of handling their own finances and contracts but I am still surprised someone like a LeBron or Kobe would have an agent for the basketball portion of their business. They will decide where they want to go and there is no money negotiation because of Max contracts. I just think a lot of these guys get screwed out of a lot of money by agents in the NBA. Think about it. Can you name NBA agents? Maybe one? You can name agents in the NFL and MLB because these guys actually have to work to get their clients the most money and best contracts. If you are a middle of the road NBA player, I could see the benefit of an agent but if you are a superstar or just a first round pick, I don't see the value.

 

[swg]

Many agents give out money before a contract. Players can't often wait, so they get loans. It's foolish, but sometimes its needed for families, or a car.

 

[DontMissHim]

An agent has more responsibility than negotiating a salary with an NBA team.

Endorsements, appearances, etc.

Also, I question how many players are competent enough to handle the "slotted" contracts they are guaranteed.

Let's not forget that 70% of NBA players file for bankruptcy 3 years removed from the league (according to SI).

Wow--thats an amazing stat.

 

[swg]

It's all the money being spent at the 'scrip clubs'.

 

[bearcat jeff]

It's all the money being spent at the 'scrip clubs'.

That and taking kids from disadvantaged areas and handing them the world before they ever step foot on a professional court. Also, the one and done rule puts immature kids in situations they aren't ready for. The NFL does a decent job mentoring rookies but they also make kids stay in school for 3 years. Greedy agents get in these kids ears with the promise of millions Sadly, more often than not it doesn't pan out and the young men are left penniless with no degree.

 

[swg]

True, and I was being glib. Many players do not always come from the best environ, or have quality counsel. Or, they feel a need to bring the money back home, and share it with friends who take, and don't help.
Find and listen to good advice.

 

[david aka the TYZ]

at the same time, I don't know that these agents are giving the best advice to these kids and don't help to further their financial blunders

 

[swg]

True....I'd love to hear the advice Logan got from his agent. One of the biggest f-ups ever in the history of the NBA.

 

[JasonS]

No doubt Logan got some freaking awful advice.

As far as where all the money goes for these guys, let's not forget child support. Didn't Spreewell have something like 7 or 8 kids with multiple women?

 

[swg]

Didn't Spreewell have something like 7 or 8 kids?

As far as he knows..

 

[TheLongHaul]

True....I'd love to hear the advice Logan got from his agent. One of the biggest f-ups ever in the history of the NBA.

I doubt the agent told Logan to get fat and out of shape. Sure they agent was an idiot for holding out but the real problem was Logan stopped taking care of himself.

 

[bearcat jeff]

True....I'd love to hear the advice Logan got from his agent. One of the biggest f-ups ever in the history of the NBA.

Logan was advised, as a second round pick, to hold out for first round guaranteed money. He was then hurt, and between the two never fully made it back. He was a great college player, but somebody should have recognized that a short, non-athletic, slow pg in the NBA should have taken the money and ran. They just typically do not pan out. He was a smart player who shot the ball well and could have found a niche. The college game and the NBA are worlds apart in terms of scheme and talent.

 

[swg]

I doubt the agent told Logan to get fat and out of shape. Sure they agent was an idiot for holding out but the real problem was Logan stopped taking care of himself.

I had to laugh at that one.

 

[JasonS]

Logan was advised, as a second round pick, to hold out for first round guaranteed money. He was then hurt, and between the two never fully made it back. He was a great college player, but somebody should have recognized that a short, non-athletic, slow pg in the NBA should have taken the money and ran. They just typically do not pan out. He was a smart player who shot the ball well and could have found a niche. The college game and the NBA are worlds apart in terms of scheme and talent.

You make an excellent point about taking the money and running. Logan would have made an NBA squad as a second round pick and could have easily signed for 2 or 3 years, made his mark, found a niche, and made more money after that. It is a shame that it didn't work out better for him.