TheKingInMe619
Pro
Official official! Shout out to Preller. Man can get it done in the front office. What's astonishing about all the moves made is that we have kept most of our top talent in the farm system.
Fernando Tatis Jr signs 14yr, $340M extension with SD Padres; He’s 22, hasn’t played a full season
- Thread starter Rev
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Official official! Shout out to Preller. Man can get it done in the front office. What's astonishing about all the moves made is that we have kept most of our top talent in the farm system.
Goat poster
KANG LIFE
Bloodsucking sharks
got this Sportico newsletter today, and it included an article about Tatis having to give 1% - 10% of his contract to this group of investors who make money by giving young MLB prospects cash advances when they’re coming up in the minors. I didn’t know this kinda record company thing really existed in pro sports...in terms of the shyt being a real deal investment group with a long list of players.
Cliff notes below...
Tatis Jr.’s $340 Million Contract Will Be Shared With Investment Fund – Sportico.com
A former Philadelphia Phillies pitcher, Schwimer is president and CEO of Big League Advance, a group that gives young prospects upfront cash in exchange for a cut of all their future MLB earnings. The fund has signed contracts with 344 players, none more prominent than Tatis, whose new 14-year extension is among the largest in baseball history.
Big League Advance inked its deal with Tatis five years ago, when he was playing in Single-A, Schwimer said. The shortstop was part of the fund’s first round of investments, $26 million that was distributed across 77 players.
Though Schwimer declined to say how much the fund provided Tatis or how large its stake is (it’s somewhere between 1% and 10%), he said the company offered more to Tatis than any player before him. If it’s 5%, in the middle of that range, the payday for Big League Advance off of Tatis’ new contract would be $17 million.
Schwimer formed Big League Advance in 2016 with the belief that he could use data to identify young prospects most likely to make it to baseball’s top tier. The fund has prominent investors, including mutual fund manager Bill Miller, former Goldman Sachs partner Steven Duncker and Marvin Bush, brother of former President George W. Bush. Cleveland Browns executive Paul DePodesta also has an ownership stake, which is in a blind trust.
Big League Advance gives cash advances to young prospects in exchange for a cut of their MLB earnings. If the player never makes it the majors, Big League Advance loses its initial stake. If the player becomes one of baseball’s most electrifying young talents, Big League Advance earns a hefty return.
The structure of the deals is simple: The company establishes a set amount for each percentage of MLB earnings the player is willing to give up on the back end. For example, if the company offers a prospect $100,000 for 1%, it is then up to the player to decide if he wants to take $300,000 in exchange for 3%, or $1 million in exchange for 10%.
The income-sharing business is not without its controversy. The MLS players’ union has called such third-party agreements “exploitative.” The MLBPA, which doesn’t represent minor league ballplayers, has expressed fears about conflicts of interest that might arise from these deals.
Big League Advance itself has also been the subject of litigation. In 2018 it was sued by Cleveland Indians prospect Francisco Mejia, who claimed he was taken advantage of in a deal that gave him $360,000 in exchange for 10% of his MLB earnings. Mejia later dropped the lawsuit and apologized.
@tremonthustler1 you know about this group?
preying on poor folks of color
This would seem, on the surface, to have been a stupid deal for Tatis.
got this Sportico newsletter today, and it included an article about Tatis having to give 1% - 10% of his contract to this group of investors who make money by giving young MLB prospects cash advances when they’re coming up in the minors. I didn’t know this kinda record company thing really existed in pro sports...in terms of the shyt being a real deal investment group with a long list of players.
Cliff notes below...
Tatis Jr.’s $340 Million Contract Will Be Shared With Investment Fund – Sportico.com
A former Philadelphia Phillies pitcher, Schwimer is president and CEO of Big League Advance, a group that gives young prospects upfront cash in exchange for a cut of all their future MLB earnings. The fund has signed contracts with 344 players, none more prominent than Tatis, whose new 14-year extension is among the largest in baseball history.
Big League Advance inked its deal with Tatis five years ago, when he was playing in Single-A, Schwimer said. The shortstop was part of the fund’s first round of investments, $26 million that was distributed across 77 players.
Though Schwimer declined to say how much the fund provided Tatis or how large its stake is (it’s somewhere between 1% and 10%), he said the company offered more to Tatis than any player before him. If it’s 5%, in the middle of that range, the payday for Big League Advance off of Tatis’ new contract would be $17 million.
Schwimer formed Big League Advance in 2016 with the belief that he could use data to identify young prospects most likely to make it to baseball’s top tier. The fund has prominent investors, including mutual fund manager Bill Miller, former Goldman Sachs partner Steven Duncker and Marvin Bush, brother of former President George W. Bush. Cleveland Browns executive Paul DePodesta also has an ownership stake, which is in a blind trust.
Big League Advance gives cash advances to young prospects in exchange for a cut of their MLB earnings. If the player never makes it the majors, Big League Advance loses its initial stake. If the player becomes one of baseball’s most electrifying young talents, Big League Advance earns a hefty return.
The structure of the deals is simple: The company establishes a set amount for each percentage of MLB earnings the player is willing to give up on the back end. For example, if the company offers a prospect $100,000 for 1%, it is then up to the player to decide if he wants to take $300,000 in exchange for 3%, or $1 million in exchange for 10%.
The income-sharing business is not without its controversy. The MLS players’ union has called such third-party agreements “exploitative.” The MLBPA, which doesn’t represent minor league ballplayers, has expressed fears about conflicts of interest that might arise from these deals.
Big League Advance itself has also been the subject of litigation. In 2018 it was sued by Cleveland Indians prospect Francisco Mejia, who claimed he was taken advantage of in a deal that gave him $360,000 in exchange for 10% of his MLB earnings. Mejia later dropped the lawsuit and apologized.
@tremonthustler1 you know about this group?
His father was a pro ball player for years. He couldn't have possibly needed the money even as a young prospect.
He isn't going broke over losing a cut to those people but he shouldn't have signed that deal from the beginning.
Told y’all nikkasHuge fan of him and his pops.
Just wait till Fransisco Lindor signs his contract
Cant wait for my son to sign that contract and buy me a speedboat with a 50 cal attached to it.
Major League Baseball>>>>>
If there’s any sport I’m pushing for my son to play it’s baseball or soccer. Better business decision lol
My son be playing soccer too!
But i know baseball.
So i try to lean him towards that.
We're gonna have superstar kids!!!
beautiful city..young man about to light it up
OfTheCross
Veteran
ReturnOfJudah
Veteran
Who?
Flex Grossman
Funky
Underpaid 
It's standard practice to buy out your arbitration years for guys that are going to be stars, it's beneficial on both ends. Tatis Sr wasn't some star, he was a journeyman. He made decent money but that was 10 years ago - who knows what his situation is now? If someone comes to you as a ball player and offers you 300m, you'd have to be crazy not to take it. All it takes is one bad break of a hand or getting beaned by a FB and you're never the same.
It works for mid tier prospects who have a high chance of being a nobody.
Tatis at least is getting more national endorsements now
lmfao
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