What defines "signing bonuses" in professional sports contracts? 🔊
"Signing bonuses" in professional sports contracts are financial incentives awarded to players upon joining a team. They serve multiple purposes, including attracting talented athletes and showing commitment from the organization. These bonuses can significantly enhance a player's overall compensation, often exceeding standard salaries in the contract. The size of the signing bonus usually reflects market conditions, player performance history, and the team's budget, and can also influence a player's decision to sign with a particular franchise.
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