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Padres sign Tatis to a 14 year contract!
#21 · February 18, 2021, 2:26 pm
No trade clause and no opt-outs!!
WHAT??!?!? It's hard to overstate how big a deal (pun intended 🙂 this is for the Pads... Tatis for "life" ?!?!
I SWEAR I was thinking the relatively large signing bonus and FULL no trade might push an opt out clause to match Machado's remaining 8 years... but I didn't foresee this!
#22 · February 19, 2021, 6:22 am
So heard this heartbreaking report on the way to work today. Apparently when Tatis was still in the minors, he signed a deal with a company called BLA (Big League Advance) and they give a certain amount of money in advance, for a percentage of your career ML earnings. The percentages are 1%, 2.5%, 5%, and 10% based on how much they give you in the MiLs. It was not disclosed, but it is rumored that Tatis got the one of the bigger advances that is in the 5 or 10% range. Meaning he either got $250K for 5% or 500K for 10%.
So, it cost him either $16.75M for $250K or $33.5M for $500K!!! Talk about bad interest rates, even 50's mobsters feel bad about that VIG!
#23 · February 19, 2021, 7:23 am
Read about that a few years ago.
If Tatis did that it was to help other Minor league players.
He didn’t “need” the money and this is designed so those who never make it to the Bigs can still make some money while toiling away in the minors.
It was developed by a few Minor league players for the players benefit.....not their own.
#24 · February 19, 2021, 7:39 am
Quote from MrPadre19 on February 19, 2021, 7:23 amRead about that a few years ago.
If Tatis did that it was to help other Minor league players.
He didn’t “need” the money and this is designed so those who never make it to the Bigs can still make some money while toiling away in the minors.
It was developed by a few Minor league players for the players benefit.....not their own.
I get the concept, but they dont offer it to every minor leaguer, just the ones that have a decent potential. And in this case, it is a HUGE return on investment. Im sorry, IMO this is racketeering at its worse.
#25 · February 19, 2021, 8:42 am
Not sure why Tatis got involved but “Big League Advance” is not an altruistic organization to help all minor leaguer players. They do analytical research on high potential prospects at the lower levels of the minors and make the advance loan offer only to them. (Players / agents can always decline ... so some question as to the agents’ role / advice). Some concern about people with the motivation to make money “preying” on teenagers in low minors especially if there is a disproportional mix of poorer players from Latin America (Tatis aside).
Think Tatis was in the first group .... but hundreds of additional players signed since ... most still in the minors. Most will fail (or make minimal ML money) ... so BLA will get zero return on a high percentage of these deals. Probably will not have an idea how BLA does financially for a few more years. Still a gamble in the big picture for them ... will the Tatis type wins offset the player x, y, z losses?
#26 · February 19, 2021, 9:48 am
Seems odd that a teenager from a well off family would take that risk for a few hundred grand
#28 · February 19, 2021, 11:58 am
Saw one report that Tatis signed the deal 5 years ago when in low A ... that would have made him 18? Seems predatory on the surface even if his “advisors” convinced him it was a good idea (opening the question where the advisors got a cut of the “loan”.
Apparently Francisco Mejia (when in the Cleveland organization) signed a similar deal ... later tried to undo (not sure his rationale) ... but pulled back. (Bet the lawyers win this one).
#29 · February 19, 2021, 1:03 pm
I don't get the problem with BLA ... so FTJ only gets $306M rather than $340M ... what's the problem?
I'm just saying that he put himself in a win-win situation ... ie. he won by getting a significant sum of $ in hand ... and ... he won by getting a HUGE contract from the Padres! That seems like not only a reasonable thing to do, but a good thing to do.
Also ... remember this part of FTJ's history ...
https://www.espn.com/espn/feature/story/_/id/29510713/fernando-tatis-jr-bringing-joy-back-baseball
Fernando Tatis Jr. does not move as much as he bebops, from person to person, place to place or, when he was 8, roof to pavement. He tried to backflip off his house and into his pool, missed and shattered his right femur.
#30 · February 19, 2021, 1:40 pm
Not so much of an issue with Tatis ... but if he is typical of their clients ... they are targeting 18 year olds ... Latin American kids who are ill equipped to evaluate the deal (and who knows the “advisors’” motivations). Upfront money always looks good.
I note that MLBPA is warning the minor league players (who they don’t represent) to be cautious of such deals.
The concept has value but the magnitude of the rake which could be 10% of future earnings for $250K (if that is what BPA offers the player) is good for the company to cover their losses on other advances BUT is a bit over the top for successes.
So, maybe my biggest issue is the “targets” of this once in a lifetime offer ... and whether they are getting quality advice and made aware of alternative ways to get some upfront money “if needed”.
On the flip side, I am sure there are (or will be) hundreds of players that will come out way ahead (never having to pay back the loan) after flaming out in the minors.