Nah, just worried about keeping up with the Joneses. Having cash on hand is becoming increasingly important for paying out bonuses, it’s why the Eagles can spread out their cap hits over so many years (I think? @DeadStroke? I know you guys are constantly talking about the importance of cash on hand).
Being “cash poor” is really gonna affect the fairness/parity that the league hangs it’s hat on, I think they’ll have to remedy it somehow.
Apparently, teams can also take out insurance players on players for cap relief in case they get injured (@DeadStroke? @Davicus?), which seems like a pretty major loophole and advantage for the cash rich teams. Apparently insurance premiums don’t count against the cap.
They need to sell the naming rights for their stadium. I would suggest naming it Kraft Velveeta Lambeau Field.
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Well I read it as the “choose” not to use the mechanisms available to them to raise capital like other teams.
That is a choice not something that makes it unfair to them.
Sorry but that is the system
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Its their own fault . NFL wanted owners to own 30% of the team.
Gbp only has 4% ownership. Or $250M in valuation.
Yes. The NFL owner would pay out of pocket for the insurance premium (which is why it suchs to be cash limited). If they were to collect, they could accrue that amount to the following season’s cap.
Notwithstanding any provision in a Player Contract to the contrary or when such payments are actually made, the following rules shall apply in determining the amount of a player’s Salary that is to be included in Team Salary in a particular League Year for purposes of the Salary Cap:
(b)(iv)Credit for Salary Forfeited or Refunded.
In the event that a Club receives a refund from the player of any previously-paid Salary, or the Club fails to pay any previously allocated portion of a signing bonus (including any amount treated as signing bonus), such amount as has previously been included in Team Salary shall be credited to the Club’s Team Salary for the next League Year. For purposes of this Subsection, to the extent that they constitute reimbursement for previously paid Salary, insurance proceeds received by a Team as beneficiary to cover the player’s inability to perform services required by his Player Contract shall be deemed a “refund from the player” if (a) the Club or the player purchased the policy (b) the amounts covered by the policy are so specified in the Player Contract; and (c) the policy is made available for inspection upon request by the NFL or the NFLPA.
normally, I’d poke fun at the Cheese Dicks, but someday, we could be in that spot.
Cash is king and well everyone likes to talk about cap consequences, players only care about the cash they get it and how quickly they can get it. Extra funding gives teams the ability to front load the cash payments to players.
We have been able to slightly front most of our extensions (Goff, ARSB, Sewell, Hutch, Jamo, Kerby), but we didn’t front load McNeil.
The cash breakdown isn’t readily available like cap hits are. Signing bonuses and roster bonuses can be paid over time (I believe a year), where base salaries are paid ratably over a 36 week season begining week 1.
Carlton Davis said cash wasn’t the factor that had him choose NE over Detroit, but it may have been getting his cash earlier in the contract that made him make that choice.
Either way, GB is at a disadvantage.
https://x.com/KenIngalls/status/2033232065320173673
Lambeau field will have to get a new name.
Yeah, that seems like a pretty big loophole.
Yeah they’re gonna have to become complete sell outs in as many ways as possible, it sounds like.
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Pretty interesting, even a former NFL exec realizes it’s a pretty glaring loophole.
“That’s the crux of the loophole,” the former club executive said. “You effectively can use cash to create cap space from scratch. In a closed system, that is one of the few ways to buy cap space.”
Article also says the NFL Management Council has already been looking into it. Would take some time to change though, since it’s in the CBA and would require NFLPA approval.
The Packers were among the first to use it, with Rodgers’ contract:
The earliest instance I could find of a team satisfying the requirements to qualify for a cap credit with an injury was with the five-year extension averaging $22 million per year Aaron Rodgers received in 2013 from the Green Bay Packers to sit atop the league’s salary hierarchy. The Packers insured $20 million of Rodgers’ then-NFL-record $35 million signing bonus.
But as more teams have caught on, it’s become increasingly expensive:
One club executive estimated the cost of a premium has increased around 30% to 40% in the past five years. Per insurance industry sources, if a club wanted to insure $40 or $50 million of a contract, it would cost them somewhere between $1 or $2 million per year.
Here’s a whole other ball of wax on economic inequality in the league: