In pretty much any American sport, you'll see contracts broken down in years/#'s, but you never really get to see the UFC's contracts broken down in this way.
Through the lawsuit between Eddie Alvarez and Bellator, we finally got to see a UFC deal broken down.
Alvarez's contract was a 40 month (3.3 years) deal worth $1.72 million with $850,000 guaranteed (if he's not cut)
This is not counting Alvarez's PPV bonus nor his POTN Bonus opportunities (which would bring possible earnings to $2.12 million.)
Contract Breakdown:
Fight 1: $75,000 show/$75,000 win
If Alvarez wins, his pay is increased by $5,000/$5,000 all the way until 105,000 (7 wins.)
Alvarez's PPV bonuses look as such: Believed to be Title Fights only
200,000-400,000=$1
400,000-600,000=$2
600,000+=$2.50
The contract is about on par with an NFL Rookie contract. Compared to Russell Wilson for instance.
Wilson is signed to a mandatory rookie 4 year $2.99 million contract.
Wilson signed a $650,000 signing bonus (Alvarez's was 250k) and will make an average of $750,000 for the next 4 years.
If Alvarez were too win 3 straight fights, a bonus in at least 2 fights (very possible) and be part of a 400,000 selling PPV, he would make more money than Russell Wilson in one year.
I think with this breakdown, they'll have a tough time calling the UFC a Monopoly. I think Alvarez and Melendez's contracts will be a big factor in this lawsuit.
Russell Wilson is obviously a favorable comparison, he's not even the highest paid QB on his team, but it's kind of crazy how the Super Bowl winning QB could make less than the 11th rated (which is BS) Lightweight in the UFC.
Wilson's getting straight robbed, no wonder he's in so many commercials
Great post. VU 
I think you miss the point. Football IS a monopoly and no one disputes that. Because football is a monopoly it deals with the NFLPA (union) and has to agree upon a CBA with the NFLPA. Monopolies are not necessarily bad unless they are unchecked like the UFC. The NFLPA is a check against the owners doing whatever they want in secret, behind closed doors with discretionary locker room bonuses. All the secrecy makes the UFC fighters act like house...elves.
priziesthorse - Jay Cutler is making $22.5 million this year, more than Wilson, Luck, Rodgers, Newton, Sanchez combined.
Sánchez can eat a dick after last week ;)
Hey Beer Man - I think you miss the point. Football IS a monopoly and no one disputes that. Because football is a monopoly it deals with the NFLPA (union) and has to agree upon a CBA with the NFLPA. Monopolies are not necessarily bad unless they are unchecked like the UFC. The NFLPA is a check against the owners doing whatever they want in secret, behind closed doors with discretionary locker room bonuses. All the secrecy makes the UFC fighters act like house...elves.
Oh no, I understand that. Of course they had a Union agree upon the CBA, thus locking Wilson into this awful deal. There's no doubt Wilson is gonna get paid huge $$$ in 2016.
I just think they're gonna have a hard time saying the UFC is killing the free agent market when you have Alvarez signing this 3 year $1.7 million, Melendez signing a 3 year 6 fight $1.2 million deal with crazy PPV rights, Ben Askren signing a massive 6 figure deal with ONE FC.
There's no doubt, once these fighters reach the open market, there is a market. Thus I can't see how you can argue a monopoly
Lol Russell Wilson is a 3rd rnd pick right now he is locked into his contract you should compare his contract to somebody recently signed to the ufc
I think it is a demonstration on how the system is suppose to work. The UFC doesn't make those deals unless forced. Those deals are a product of a competitive market that benefits talent. Technically the UFC doesn't have a monopoly but to 95% of the roster they might as well have. Either be the NFL or be boxing but you can't play both sides of the coin against the edge.
OmgPacWammedMyBunghole - Lol Russell Wilson is a 3rd rnd pick right now he is locked into his contract you should compare his contract to somebody recently signed to the ufc
This is Alvarez's entry contract
Thacommish - Both are exceptions to the rule, for opposite reasons, eddie alvarez' contract isnt close to normal in the UFC, and neither is russels.
What would you say Isa normal UFC contract?
Thacommish - Im confused, are you really asking me to explain to you the difference between MOST peoples entry contracts into the UFC and eddie alvarez? like you think this is some "got ya" moment?
"got ha moment?"
It's a discussion
And I'm glad you brought this up
"MOST peoples entry contracts into the UFC"
Why are these other guys entry contract different than Alvarez's?
Thacommish -potato623 -Thacommish - Im confused, are you really asking me to explain to you the difference between MOST peoples entry contracts into the UFC and eddie alvarez? like you think this is some "got ya" moment?
"got ha moment?"
It's a discussion
And I'm glad you brought this up
"MOST peoples entry contracts into the UFC"
Why are these other guys entry contract different than Alvarez's?
You are glad i brought up, but you seem confused as to what i said. Now you are trying to explain why eddies contract is different, and i can do the same for russels as others have done, But again you are drifting from what i said when i mentioned its simply not the norm.
I'm merely using Russell's contract as an example. You can use any contract, somebody brought up Jay Cutler's. Use any contract you want to.
I'm speaking from an entry level position, why isn't Alvarez's the norm?
Thacommish - Do you honestly think eddie alvarez' contract is the norm for ufc contracts? Especially entrance contracts. And before you go on about him being a champ from another org and all these other variables, keep in mind the original offer came to eddie after he lost the belt. Just like soto or makovsky, im going to guess they have figures that appear more standard , i believe soto just fought for the title to, guarantee he made a fraction of that.
No, I don't think Alvarez is the norm for an entry level fighter. I think he's the norm for a top 1-10 fighter in a division, but I don't think he's the norm for an entry level talent.
There's big factors that lead to this.
1: The athletes sell themselves heshort too quickly. Alvarez gamed the system in a way, he turned down the UFC's original offer. He's turned down the UFC multiple times until he got the contract he wanted.
2: Establishing a Name: Alvarez built his name up in Japan, and even on the regional scene in Bodog. Eventually he went to Bellator, fought there for a while. He won multiple titles, multiple tournaments, and established himself as a top 10 Lightweight.
I think fighters should look to Alvarez as an example. All these guys thaþ come in with 8/8 deals or fight on TUF are just selling themselves short.
Maybe some just don't have the patience, but I think it's a big problem in this sport.
Guys like Bibiano Fernandez or Shinya Aoki can come to the UFC and get big contracts because they've built there star power outside the UFC.
Maybe it works out for guys like Cody McKenzie who don't belong in the first place, but why do these guys sell themselves short at 8/8 when there is blueprints to get higher paydays?
Joe Soto and Zach Mackovsky are decent examples, but their careers fell off drastically after Bellator. Same for Rick Hawn.
Mackovsky kinda got burned by Bellator, so that didn't help either.
I think weight class comes to importance a bit here as well, unless your Bibiano Fernandez who's been considered a top 5-10 BW for years.
Makovsky and Soto both were short notice fills ins too. I'm not sure why they didn't stay on the regional scene longer, maybe they were both desperate after Bjorn boned them.
Good examples. I think both them guys sold themselves short on 8/8 deals (if they're confirmed at that.)
Maybe that's an example of the market not being so great?
Thacommish - oh you mean on the japanese scene they need to make their names, like kawajiri did before signing with the ufc, whatd he make 8k to show and get beat by guida? oh.
Kawajiri didn't make 8/8 haha
You're crazy if you think he'd sign for that kind of cash with ONE FC, Bellator, and other Japanese promotions
Thacommish - again with the bibiano.
I'm not quite sure what you mean with examples that never happend? What does that mean?
Eddie Alvarez isn't a rookie though. A better comparison would be someone like Warren Moon's contract when he joined the league, adjusted for inflation. Although really that's skewed too since having a black qb wasn't exactly popular at the time.
Thacommish -potato623 -Thacommish - oh you mean on the japanese scene they need to make their names, like kawajiri did before signing with the ufc, whatd he make 8k to show and get beat by guida? oh.
Kawajiri didn't make 8/8 haha
You're crazy if you think he'd sign for that kind of cash with ONE FC, Bellator, and other Japanese promotions
What did he sign on for then?
And again you laugh at my example, but your examples never even fought there...
I don't know what he signed for, I assume it's in the ballpark of what Takanori Gomi got.
Examples not fighting here? What does that have to do with anything?
The UFC was in negotiations with Bibiano Fernandez and Shinya Aoki. Both turned down UFC contracts in favor of ONE FC.
I'm using these guys as examples of fighters who have built their name outside the UFC, thus make their entry level contract not the standard.
In my opinion, guys signing for 8/8 entry deals would be better off building their name outside the UFC.
Russel Wilson only has to pay his agent and the tax man aswell.. Eddie Alvarez has to pay his agent, manager, gym fees ( Wilson gets free training paid for by the team owner), and the tax man...
Has Alvarez actually made any PPV bonus % monies? I don't even think he will... And Alvarez is not a "rookie MMA contract". He is a former Bellator Champion type pay scale.
Thacommish - Meanwhile ive done nothing but mention former bellator champs, and japanese stars that actually GOT contracts, and how those contracts seem to support what im saying about eddies contract not being normal. YOu on the other hand are talking about bibiano and aokis contracts with the ufc like SEE just like eddies!
Eddie's entry contract isn't normal, I never said it was.
I listed why it's not normal, and I've listed how other fighters have done the same, even if they haven't actually signed UFC deals. They've gained the ability to gain a contract of sorts