Sponsorship Agreements generally permit the sponsor company to benefit from the image, reputation, success or publicity profile of the individual sportsperson or organisation in exchange for some kind of financial consideration.
The sponsor company seeks to profit from being associated with the sportsperson and reaps any other marketing benefits that stem from this arrangement. These arrangements are also founded on the goodwill of the individual sportsperson. We understand the dynamics that form a successful agreement whilst recognising that both the sponsor company and the sponsored athlete have the ultimate aim of seeking maximum financial gain from the relationship.
Informal and Formal Sponsorship Agreements
Typically, the Sponsorship Agreement is a contract governing the legal relationship between the sponsor company and the sportsperson or organisation. These agreements are often entered into on a largely informal basis and this can more often than not lead to a failure to protect the interests of both parties. This is why is it important that a formal agreement is made, maximising the potential of financial gain on behalf of both parties through carefully tailored and structured contractual agreements.
Formally drafted Sponsorship Agreements facilitate the inclusion of clauses and provisions to suit both parties whilst setting out in black and white the circumstances when a party is permitted to vacate the agreement or when a payment is due to the sportsperson or organisation. These clearly defined clauses within the contract minimise the potential for dispute, serving to protect both the interest of the sportsperson and the sponsor.
Why Seek Sponsorship Advice?
Here at Farleys we possess a wealth of expertise in carefully drafting these meticulous Sponsorship Agreements to benefit both sportspeople and organisations in addition to acting for a number of sponsorship companies. We have experience of dealing with top sporting brands ranging from apparel providers to nutritional companies.
Our previous successes involve drafting Sponsorship Agreements and incorporating high value retainers for our sports clients. We also have experience of maximising these complex agreements to include any relevant bonuses and clauses to suit each and every individual need. We are also able to minimise any potential risk that may be associated with such agreements and we will ensure that an agreement is watertight and legally enforceable in the event of a dispute.