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Mahomes Ten Year Deal with Chiefs


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4 minutes ago, RoyBatty is alive said:

He WAS.

 

That was before Sports effectively stopped and people stopped wanting to go with 75K of their favorite strangers in a stadium for 4 hours.  So how is ESPN doing financially lately?

 

QBs MIGHT be topping $75 million in 10 years or might be getting a fraction of that.

 

The risk of a 10 year deal is unbelievably risky right now.


Nfl is al tv money and with gambling money coming in the franchises will make even more 

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22 minutes ago, YoloinOhio said:

I assume there is a percentage to the cap clause built in or it’s a bad deal for him by like 2022

 

I would also like to see if he has an out by a certain point in that deal. If I were his agent I would make sure at least by year 4 he has an opt out. 

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4 minutes ago, Kirby Jackson said:

$400M+ is my guess.

 

I’ll take a shot, 10 years $425M, $250M guaranteed

If that’s the case, he’s going to be underpaid in year 2.  $42.5 million is fair market value for him today.

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Just now, aristocrat said:


Nfl is al tv money and with gambling money coming in the franchises will make even more 

 

Not all but predominantly.

 

Really, so how are the Sports Networks doing right now?

 

Streaming and changing technologies are doing a number of conventional networks.

 

What if there is no NFL this year?

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1 minute ago, Billl said:

If that’s the case, he’s going to be underpaid in year 2.  $42.5 million is fair market value for him today.


You think that his “fair market value” is $7.5M per year MORE than Russell Wilson’s?

 

No.

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5 minutes ago, GoBills808 said:

Right...so why would this be a good deal for Mahomes? 

 

Well, the new cba was just signed...

 

Sorry, my tense are all messed up.  What I was saying is that those players that wanted short deals were negotiating pre-cba.  Mahomes is now post-cba. 

Edited by JoshAllenHasBigHands
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Just now, Billl said:

If that’s the case, he’s going to be underpaid in year 2.  $42.5 million is fair market value for him today.

I don’t disagree but that’s a strong guarantee number IMO. As crazy as it sounds the longer deal with the higher guarantee swings back to the player IMO. Years 1-4 (advantage player), years 5-8 (advantage team), years 9-10 (advantage player). Football is a violent, violent game and the Chiefs would have to insure against an injury at least at some level I’d think? Mahomes is taking the security in this case vs. straight market value. I also assume that it’s tied to the cap at some level whether officially or unofficially.

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2 minutes ago, RoyBatty is alive said:

 

Not all but predominantly.

 

Really, so how are the Sports Networks doing right now?

 

Streaming and changing technologies are doing a number of conventional networks.

 

What if there is no NFL this year?


then Mahomes doesn’t get paid. In ten years there will be football. 

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This will benefit Mahomes more than the team.

 

I'm pretty confident any signing bonus can only be spread out over 5 years.  This means that the salary cap is going to be high for the next 5 years.  The remaining years will have lower caps, but if Mahomes is still at the top of his game, it will be restructed anyways.  If he stinks or get hurt, he collects anyways.

 

 

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4 minutes ago, dneveu said:

 

Except that he's probably getting a massive guaranteed bonus up front. 


This. Depending on up front bonus money, he could invest and get the possibly the same or greater return on compounding interest compared to fajita chasing market value. 

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1 minute ago, Back2Buff said:

This will benefit Mahomes more than the team.

 

I'm pretty confident any signing bonus can only be spread out over 5 years.  This means that the salary cap is going to be high for the next 5 years.  The remaining years will have lower caps, but if Mahomes is still at the top of his game, it will be restructed anyways.  If he stinks or get hurt, he collects anyways.

 

 

It’s a 10 year extension.  He’s already under contract for 2 more seasons.  The bonus will likely then be spread out 3-8 seasons from now.

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Just now, Billl said:

It’s a 10 year extension.  He’s already under contract for 2 more seasons.  The bonus will likely then be spread out 3-8 seasons from now.

 

It can't.  Next 5 years according to CBA unless Mahomes if getting zero dollars today to sign that extension, which then why would he sign it?

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4 minutes ago, Back2Buff said:

This will benefit Mahomes more than the team.

 

I'm pretty confident any signing bonus can only be spread out over 5 years.  This means that the salary cap is going to be high for the next 5 years.  The remaining years will have lower caps, but if Mahomes is still at the top of his game, it will be restructed anyways.  If he stinks or get hurt, he collects anyways.

 

 


The team is making more than him and will make a lot more if he wins them many titles. 

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42 minutes ago, JoshAllenHasBigHands said:

 

The deal has to be tied to the salary cap, right? Otherwise this would be insane, for both parties. How do you take into account what the cap is in 10 years? 

That was my first thought.  Maybe his salary is a certain % of the salary cap each year guaranteeing he continues to get fair market value (maybe 18 to 20% of the team's cap).

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Just now, Doc Brown said:

That was my first thought.  Maybe his salary is a certain % of the salary cap each year guaranteeing he continues to get fair market value (maybe 17% or so).

 

Escalators, performance bonuses, opt-outs - lot of ways  to build in some flexibility while also getting him a big payday right now.

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17 minutes ago, aristocrat said:


The team is making more than him and will make a lot more if he wins them many titles. 

 

Huh?  Not sure that is even a debate that an NFL team brings in more than 40 million a year in revenue.

 

I'm talking about risk vs reward.  A team being tied to 10 years is a lot more risky than Mahomes being tied to 10 years.  If Mahomes gets really hurt, the team is still liable for the contract.  Mahomes risk is maybe losing out on a couple million, but he is setting the market and everyone will need to be below him anyways, so not sure there is even any risk there.

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52 minutes ago, GETTOTHE50 said:

Is it north of 300 million do you think? 

I would expect $450M- $500M. Wlson already makes $35M a year. Inflation ten years from now, with a new TV deal on the way could massively change the cap. If he didn't get at least $450M, it's an awful deal.

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3 minutes ago, Back2Buff said:

 

Huh?  Not sure that is even a debate that an NFL team brings in more than 40 million a year in revenue.

 

I'm talking about risk vs reward.  A team being tied to 10 years is a lot more risky than Mahomes being tied to 10 years.  If Mahomes gets really hurt, the team is still liable for the contract.  Mahomes risk is maybe losing out on a couple million, but he is setting the market and everyone will need to be below him anyways, so not sure there is even any risk there.

 

contracts are insured for career ending injury.  

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