When all else fails, try using some logic with a twenty or twenty one year old. Logic might just sink in and have a profound effect on a possible draftee.
If you’re an agent reading this with a client who has declared himself eligible for the 2012 NBA draft, your client undoubtedly has a lot of emotions running through his mind. He may even say to you, “I don’t care where I get drafted, I just want to get in and show them what I can do.” At that point, you may want to advise your client of something else. He and his family should care about the position he might be drafted, and you’ll do everything in your power to obtain a higher draft slot, as well as pointing out the following:
Take for example the perspective between being drafted at the number six position versus the number seven position. The player and his family should note that, intangibles aside, the difference in first year salary alone is $222,500.00. Yes, every player in his right mind wants that much more money, figuring how much more he can then spend. However, it may possibly have much more meaning to him if you advise him it’s not just the $222,500.00, but rather more like a $400,709.00 difference. Advising him if he took that $222,500.00, invested it at just 4%, in 15 years it will be worth over $400,000.00. Training your clients to think future, and not just today’s dollars, may go a long way toward binding the relationship you have with that client.
Should you feel you need more examples related to your specific client, please feel free to contact me.
Disclosures. The information contained herein is neither an offer to sell nor a solicitation of an offer to buy any security. Past performance is not a guarantee of future results. Further, the information herein is intended solely to provide general information and does not constitute a promotion of any offerings or products. Donald J. Kushner is an independent financial advisor with Arque Capital, Ltd., and does business as DK Sports Financial. Arque Capital, Ltd., and DK Sports Financial are unrelated entities. Securities offered through Arque Capital, Ltd. 7501 E. McCormick Parkway, Suite 111 North Court, Scottsdale, AZ 85258. (602) 971-9000. Member FINRA/SIPC. Any unauthorized reproduction of this information is strictly prohibited.