http://www.smh.com.au/rugby-league/...of-thirdparty-agreements-20150712-giaex4.html
By Roy Masters - great read by a very good journalist
At one very successful club, the TPA arrangement works like this – the club CEO, the football manager and the player's agent sit down together and negotiate the amounts of money which will appear on the player's contract.
These are the monies, such as club payments and marquee player allowance, which will be registered with the NRL.
The club CEO then leaves the room and the player's agent and the football manager negotiate the TPA.
If a TPA is likely to raise suspicions with the NRL salary cap officer, it will not be registered and the money will be paid as a separate arrangement with the player.
For example, a prominent business sponsoring a player ranked last in a club's top 25 players would attract the attention of the NRL, who would reasonably ask: why is the company not sponsoring a high-profile player to promote its business?
There is no limit to the monetary total of registered TPAs because the NRL quite reasonably does not want to restrict the flow of funds from outside its normal sources of revenue – broadcasting fees, naming rights sponsorships, gate takings and club memberships.
However, salary cap space is very tight and a club may see promise in its 25th-ranked player but be unable to make a competitive payment to retain him. Far better to approach a benevolent supporter of the club who doesn't need business exposure and has a spare $50,000.
However, because the "shadow market" is clandestine and its size moves with the amount of heat generated by the player managers, clubs are always in the dark, so to speak.
Read more:
http://www.smh.com.au/rugby-league/...agreements-20150712-giaex4.html#ixzz42Ucjck4U
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