Sandlot share prospective player faq
What is Sandlot Share?
- Sandlot Share is an earnings-sharing platform that allows Professional baseball players to invest in and support each other in their pursuit of a Professional baseball career. By joining a pool, players obtain an insurance or hedge against this pursuit. The pool may provide financial resources that allow individuals to continue chasing their dreams in the minor leagues, or it may provide insurance in the event of a career setback (injury, release, etc.). See the attached examples of hypothetical pools for ideas on the impact a pool may have.
- Once a pool is formed with players of your choosing, any player that reaches Professional baseball earnings over $1,000,000 contributes 10% of their continuing Professional baseball earnings to the pool to be divided among the other pool members, after fees and costs. Likewise, as a member of the pool, when other pool members contribute 10% of their Professional baseball earnings to the pool, you share in those earnings.
Joining A Pool
What does it mean to enter into a pool?
- Upon joining a pool, the pool members are entering into a legally binding contract among themselves as well as with Sandlot Share. This agreement protects you and other players, ensuring that each member of the pool stay faithful to the original agreement.
How are pools created?
- Players are responsible for creating and joining their own pool. It is the duty of each player to vet prospective pool members and decide on a group of players that they are comfortable entering into a legally binding contract with.
Will Sandlot Share help me create a pool?
- Sandlot Share may provide information of similarly situated players with the intention of introducing potential pool members to one another. It remains the players’ responsibility to finalize the creation of the pool.
May I switch pools?
- No. Once you sign the legally binding pool contract, you are unable to exit the pool for the entirety of its existence.
May players be added to a pool after its creation?
- Yes. In order for a player to join an existing pool, a two-thirds supermajority (2/3) of existing pool members must vote in support of the addition.
Contributions, Fees, and Distributions
How am I paid from the pool?
- Sandlot Share divides the earnings paid into your pool, after expenses, equally among you and the other pool members.
How much do I contribute to my pool?
- After reaching Minimum Earnings, you annually contribute 10% of your professional baseball career earnings to your pool.
When are payments due?
- Annual payments are due by December 31 of each season.
What fees are paid to Sandlot Share?
- Sandlot Share is paid 1% of your professional baseball career earnings, in addition to any interest revenue earned by the pool.
When are payments distributed to pool members?
- Payments are distributed before July 1 of the year subsequent to a year of earnings.
At what earnings point do my contributions begin?
- Contributions are not required until a player is compensated with gross Professional baseball career earnings exceeding $1,000,000 in his career (the “Minimum Earnings”). After that point, all future Professional baseball career earnings are subject to the 10% contribution requirement.
Does my signing bonus count?
- Your initial signing bonus as a draft pick or undrafted free agent does not count toward the calculation of Professional baseball career earnings and no contribution of any of your initial signing bonus is required. Major League signing bonuses will count toward the calculation of Professional baseball career earnings and are subject to the 10% contribution requirement.
How long does the pool last?
- So long as the pool receives contributions from active players, the pool continues. Once all players in the pool no longer play, and all contributions from the pool’s players have been received by the pool and related payments distributed, the pool ceases to exist.
Which professional leagues are considered “Professional” for
the purposes of contribution?
- Major League Baseball, the Korea Baseball Organization and Nippon Professional Baseball (Japan) are “Professional” baseball leagues for purposes of contribution.