Happy Tampering Day

[*ochocincos*]

(03-12-2025, 12:59 PM)Luvnit2 Wrote: A restructure has nothing to do with guaranteed money. In Burrow's case the team had to place in escrow the guaranteed portion of his contract. That money is collecting interest. The team would need to convert his 2025 base into a bonus. If they do so, they can change his base to 1.1 million and use none of that bonus towards his 2025 cap.His base in 2025 is 25,400 so they could instantly add 24.3 million to the cap at a minimum if they did no other type of restructure. The bonus applies to the guaranteed portion, so no need to change the guarantee.

But, the team needs to have the cash/loan to pay the bonus. The team's equity would determine the amount a bank would loan them, the higher the equity, the more the team can leverage with a bank to borrow money. Interest rates are very high so not a great time to do loans, but the NFL teams have a huge advantage as banks gets a guarantee from the CBA towards these bonuses and salaies.

That was exactly my point.
If they're going to restructure and convert more of the base salary to bonus, they will need to pay that out immediately upon restructure.