Originally Posted by gfpokerfan
I have a bar that wants to sponsor me in about 8 poker tournaments which are all local, no travel needed. The buy-ins range from $100 to $400.
He pays all entry fees, I get to keep 10% of earnings. I will get 25% if I finish first in any event. I just wear a t-shirt of his during the events.
If I do well, my earning percentage will go up about 5%/tournament I finish in the money. He has seen me play and likes my style and personality. I am not sure if 10% is too little for my time but he is putting up all the entry fee. I probably would only enter one or two of the events by myself. It will help me get to play in some bigger local events.
Does it seem fair to you guys/gals? I am not sure what to think, right now I am leaning on saying yes.
Well, it depends on if you can afford the buy-ins without help. IMHO, he should be paying you a one flat fee for the total number of events to advertise, like any other source with that kind of temporary exposure would charge. Then you use the fee to use as you wish, IE using it for the buy-ins, rent, etc.
If you win, you pay him back? That's not advertising. That's "staking" meaning you couldn't afford the buy-ins so he's investing in you.
If you can
afford the buy-ins on your own with the set-up you describe, then he should pay a fee & you give him advertising in return, period. The only risk he has is if you don't last long in one or more tournaments, thus less exposure (you could stay at the cardroom a while afterwards, I guess).
Let's say the average of the 8 buy-ins is $200. 200 x 8 = $1600. If he says you're not worth $1600, then charge him less and you make up the slack of the cost of the buy-ins on your own OR you could sell more advertising. Sell one logo on front of your shirt, a different one on back, and different ones on each sleeve (like PGA golfers do). Even one on a hat. Pizza places, bowling alleys, and the like might like the idea. Charge them each as you see fit and you could probably cover more than just the buy-ins & keep your prize money.
Having a sales background as I do, the potential of your situation gives me a rush. Do some research on what different types of advertising costs in the greater Grand Forks area and be armed with that knowledge. You can do it, man. Just don't let anyone take advantage of you. Good luck!