Virtus Bologna signs Earl Boykins

[stuart]

Found this from ESPN: link

Earl Boykins bolts to Europe, signs with Virtus Bologna
According to ESPN, little 5-5 Earl Boykins, a backup guard and 10-year NBA veteran, just signed a one-year contract with Italian club Virtus Bologna worth $3.5 million. According to one of his agents, Mark Termini, Boykins’s contract includes income from the club’s marketing and sponsorship deals.

Boykins was picked up by the Charlotte Bobcats about midway through the 2007-08 season, and was signed to a guaranteed contract the remainder of the season backing up starting point guard Raymond Felton. Expected back in Charlotte, Boykins was an unrestricted free-agent and decided to bolt to the Euroleague instead.

Boykins is the second shortest player in NBA history, second only to the 5-3 Muggsy Bogues. Undrafted coming out of Eastern Michigan University, when during his senior year he was second in the NCAA in scoring with 28.6 points a game. Boykins eventually found himself in the NBA as a New Jersey Net, and has since played for Cleveland, Orlando, Los Angeles (Clippers), Golden State, Denver, Milwaukee, and finally Charlotte.

[Juan Carlos Nadal]

$3.5 Million? Are they out of their minds? Once you think that the Russians have gone mad you get the Italians trying to earn that title back. I find it hard to believe that Virtus would spend so much money on Boykins. According to ESPN, his 2008 salary in the NBA was $350.000... That can't be true either, can it?

[robbe]

It's amazing how NBA players are getting overpaid. I guess it'll take 2 or 3 years for everybody to realize what they can and can't do and the prices will cool down as a consequence.

[Roy M]

www.nrg.co.il wrote it, too.
Eran Soroka, who knows well the NBA, and one of the most reliable reporters in Israel, says that he will earn (Boykins..) 3.5M US$.

But as I remember, Virtus didn't sign Dickau or Barrett due to their demand to 1.5M US$, so what happen now?

[damelo]

Well, I think Boykins'value is a lot more than 350k$, but, Charlotte didn't pay him. He was desperated for a contract last year i guess.

[J-Mart]

he always took less money to remain in the NBA

he's good but I think $3M is too much

[cheezdoodle]

complete nonsense. It must be gross, with all the costs of the agent fees, car, apartment and everything else included. That would put the number at around 2 million. Still, sounds way too high.

[LuDux]

Looks like he decided he is worth more than $2,980,000. but nobody wanted him and he was forced to play in Charlotte for minimum

complete nonsense. It must be gross, with all the costs of the agent fees, car, apartment and everything else included. That would put the number at around 2 million. Still, sounds way too high.

ESPN: "According to Termini and co-agent Andy Bountogianis, Boykins' deal includes income from Bologna's sponsorship and marketing arms" whatever that means

[cheezdoodle]

Official salary is 1.2 million dollar

[Billy]

Official salary is 1.2 million dollar

Gross or net? Any idea what the marketing and sponsorship agreement is about?

[Srle]

Little buddy is having great payday

[cheezdoodle]

Gross or net? Any idea what the marketing and sponsorship agreement is about?

Net.

I don't know anything for sure, but marketing and sponsorship agreement is probably their little pretty way of saying that they deferred a decent portion of the Italian taxes through an image contract.

[Billy]

Net.

I don't know anything for sure, but marketing and sponsorship agreement is probably their little pretty way of saying that they deferred a decent portion of the Italian taxes through an image contract.

Thanks. That just leaves the question of what an image contract is.
Is it something along a player starting up a company selling their image on cereal boxes and the like and thereby spreading the income over a longer period of time and consequently reducing the taxes (btw, sorry for the ot)?

[Khalid80]

Earl Boykins signs with Virtus Bologna for 1 year

"CLEVELAND (AP) - Unrestricted free agent Earl Boykins signed a one-year, $3.5 million deal Tuesday to play with Virtus Bologna of the Italian league, the latest NBA player to sign a deal with an overseas club.


Earl Boykins played for eight NBA teams in 10 seasons. Andy Bountogianis of the Cleveland-based Mark Termini Associates Inc. sports agency, confirmed the signing.

The 32-year-old point guard will be the highest-paid player in Italy for the 2008-09 season. He also will participate in the sponsorship and marketing income of the team.

The 5-foot-5 Boykins, who played at Eastern Michigan, has been in the NBA for 10 years, and averaged 9.4 points. He played for the Charlotte Bobcats last season and has also played for the New Jersey Nets, Cleveland Cavaliers, Orlando Magic, Los Angeles Clippers, Golden State Warriors, Denver Nuggets and Milwaukee Bucks.

On Monday, Carlos Arroyo, who played for Orlando the past two seasons, announced that he has signed a one-year deal with Maccabi Tel Aviv, an Israeli club. Josh Childress announced last month that he was leaving the Atlanta Hawks for Greek club Olympiakos.

Also last month, Nenad Kerstic left the Nets and Carlos Delfino and Jorge Garbajosa left the Toronto Raptors to sign with a Russian team.

In June, Juan Carlos Navarro rejoined FC Barcelona after a one-season stint with the Memphis Grizzlies".

I really wish Earl all the best in Italy. The guy has a big heart and played with alot of tenacity and motivation. For him to be able to last 10 years in the NBA considering his height is quite an accomplishment (Only Boykins and Muggsy Bogues were able to do this).

[woma]

Thanks. That just leaves the question of what an image contract is.
Is it something along a player starting up a company selling their image on cereal boxes and the like and thereby spreading the income over a longer period of time and consequently reducing the taxes (btw, sorry for the ot)?

Usually taxes for "rights to image" are much lower than standard taxes - looking at polish market, player is getting 10k USD per month, 1k USD is put through normal taxes (work deal) and 9k is put through "rights to image", which I think is taxed for 5% here (being specific - taxes for it are standard, but in taxing law costs of incomes going from "image rights" are much higher than usual, so it makes realistic tax being lower). Many similar deals is done like this all over Europe, using one of the milion loopholes in law...

Damm, my english in law-financial part of dictionary has to be absolutely horrible. It's time to disappear again...