The information contained on this page is not to supplement or serve as formal documentation for regulations concerning the Association’s Operating Agreement and actual Agent Initiated Contracts. The Operating Agreement which you will review during your application for Certification will serve as the governing authority, which you must agree to comply with and fully understand in order to proceed. The following is to help you understand Agent Initiated Contracts and how the Association will govern their enforcement. If you have any questions, please do not hesitate to reach out to GTP at any time.
Agent Initiated Contracts have been created to ensure Certified Agents are included into the GTP movement. All GTP Contracts with the exception of Amateur Contracts may be initiated by a Certified Agent by and between two (2) Certified Members. All provisions of each Contract remain the same, the only change is that the Agent is responsible for negotiating the terms, upfront and deferred compensation and services to be received.
CERTIFICATION AND APPLICATION:
- Review and fully understand the rules and regulations governing the Association’s Operating Agreement and agree to submit and comply with standards set in the Operating Agreement by the Association.
- Fully complete an Agent Application. Please be advised that by submitting an application you will be giving GTP’s Association the right to conduct a Level 1 background check.
- Await GTP’s board review process. (May take anywhere between 3-5 business days)
- Upon GTP’s Association approval of your Application, you may subscribe and become a GTP Certified Agent.
- Begin initiating Certified Agent Initiated Contracts between Certified Providers and a Clients.
- All Agent Initiated Contracts can be converted to either contracting parties native language for a fee, however the English version will always prevail.
- Agent Initiated Contracts are universally standard within each Association. The only provisions of the contract that changes is the total negotiated amounts of deferred compensation between a Certified Coach, Trainer Academy and an Athlete.
- Maximum deferred compensation amounts per hour/day/week/month must be strictly adhered to. No Coach , Trainer, Academy or Athlete may negotiate and or agree to deferred compensation in excess of $750 for a one-Day contract, $3,500 for a one-week contract, or $13,000 per Month.
- Maximum contract length is three (3) months but extensions may be signed. No more than two (2) extensions per Contract will be approved. A Certified Agent is responsible for alerting the Association to any changes of an executed Certified Contract and any potential extensions.
- Maximum deferred compensation an Athlete may accrue under a Coaches Collective is $100,000 (USD) (including accrued interest).
- An Agent Initiated Contract is not protected under the Association until the respective Association approves each Contract and ensures it complies to all standards.
- Once acknowledged, accepted and approved by the Association, Contracting Members may get to work. It is the responsibility of the Agent to alert the contracting parties to begin work.
- No Certified Athlete may have active Engagement Contracts with more than three (3) Certified Coaches at any one time. No Certified Coach may have active Engagement Contracts with more than ten (10) Certified Athletes at any one time.
COACHES COLLECTIVE AND DEFERRED COMPENSATION:
- All deferred compensation accrued by an Athlete with Agent Initiated Contracts is added to their Coaches Collective (or total amount of deferred compensation owed to Coaches, Trainers or Academies for services provided). GTP’s Association will hold all deferred compensation on behalf of the Certified Coaches, Trainers or Academies to collect from the Certified Athlete.
- Held deferred compensation (Collective) accrues a 4% interest rate per year until paid in full.
- An Athlete is required at the end of each month, to make payments to GTP’s Association on 15% of tournament winnings (prior to taxes and withholdings) to pay off any Collective they may have accrued. For example, if an Athlete played in one Futures Tournament and earned $100, that Athlete is required to pay to GTP’s 15% or $15 towards any outstanding Collective.
- GTP will receive 20% of that principal payment and distribute the remaining 80% to the Coach. An Agent will receive 20% of the principal that GTP Collects.
- Coaches will be paid on a pro-rata basis based on their percentage of contribution to the Coaches Collective. For example, if Coach A is owed $1000 and Coach B is owed $2000, then on a $15 payment by an Athlete, Coach A will receive 1/3 while Coach B will receive 2/3 of disbursements less the Association’s fee of 20% per the Association’s Operating Agreement.
- In the event an Athlete is unable to repay their Collective by their retirement (not having played in 8 ATP/ITF/WTA tournaments an Athlete, two years post their retirement is required to begin a payment plan on remaining deferred compensation (identical to a Certified Guardian with an Amateur Contract) in the following manner:
PAYMENT REQUIREMENTS FOR AGENT INITIATED ENGAGEMENT CONTRACTS:
- This means, for Repayment Category A, if a Certified Athlete had $40,000 of outstanding Collective, with a period of two (2) years not having played 8 ATP/ITF/WTA tournaments, the Athlete will commence a payment plan on 3.5% per quarter of $40,000 or $1,400 per quarter ($467.00 per month) or $5,600 per year to be paid directly to the Association. In most Association instances, if the Certified Athlete remains in Good Standing and makes all payments for five (5) years in a timely manner, a balloon payment at the conclusion of 5 years will be required, or at the Association’s discretion, may extend the payment plan.
A Collective may be paid down at any time with no prepayment penalties.
An Agent will receive 20% of the principal that GTP collects for all Agent Initiated Contracts.
PAYMENT REQUIREMENT FOR AGENT INITIATED ENGAGEMENT+ CONTRACTS
EXCLUSIVITY, DEFAULT, BREACHES AND TERMINATION:
- No Agent Initiated Engagement or Engagement+ Contract has any form of exclusivity. Since a Coach, Trainer or Academy is guaranteed compensation for his or her services at fair market value, exclusivity is no longer required.
- An Athlete may terminate a Contract at any time with any Member. In the event a Contract is terminated, a prorated amount of deferred compensation will be applied to the Collective for services performed.
- In the event a breach or default of Contract is filed, GTP will act as an independent third party mediator to determine what, if any, deferred compensation is owed.
- Fair market value for everyone involved!