How much do NBA Agents make?
The NBA offseason has been fast and furious, not least because of the league's compressed schedule this year. Even as the break winds down as preseason approaches, we are still learning of new deals. Recent developments included the LA Lakers stars LeBron James and Anthony Davis signing new contracts with the franchise and John Wall being traded to the Houston Rockets. All three players are represented by the same agency. These deals have brought into question just how much NBA Agents are set to earn from their clients.
What can NBA agents look to earn by representing the league's top players?
One of the wealthiest and well-known NBA Agents is Rich Paul. Originally from Cleveland, the home of his biggest client, LeBron James, Paul runs Klutch Sports Group. Anthony Davis, John Wall, Ben Simmons, and Trae Young are the players that Paul's company represents. But just how much money do agents in the NBA make?
The league has a strict cap on how much NBA agents can make from their client, which is no more than 4% of their client's playing contract. However, it is the lengths and effort that NBA agents go to to secure additional clients that can see them earn more than others.
Given that there are such polaric salary levels in the NBA, the average amount a player receives is $6.9 million. If NBA agents were to take the maximum 4% of a player's contract, they could earn $276,000. This equated, in 2019, to Jeff Schwartz, one of the NBA's top agents, to earn over $70 million from his clients over the year. NBA Agents know that to make these sums of money, they have to show what they can do for their clients and in the same year, Schwartz was able to earn his players over $400 million.
Amid the chaos of last season's postponement, 9 players who had all-you-can-get deals that pay 90%+ of their salaries by April 1 were represented by Klutch Sports Group. Paul's genius and business acumen mean he is currently building to dominate the NBA Agent scene and shows no signs of slowing down.