Fernando Tatis Jr. does not receive the total amount of $ 340 million.
Taxes will, of course, be cut in its new 14-year deal with the Padres. But Tatis must also pay a previous commitment, a deal he entered into during the 2017-18 season when he was 19 and preparing for his first full season at Double A.
It was then that Tatis entered into a contract with Big League Advance (BLA), a company that offers certain payments in advance to minor leagues in exchange for a percentage of their future earnings in Major League Baseball. Neither Tatis nor BLA disclosed the exact percentage he owes to the company.
The company’s president and CEO, former league pitcher Michael Schwimer, told The Athletic in April 2018 that BLA uses its own algorithm to value every player in the minors. Players who receive offers can accept a payout at the base level in exchange for 1 percent of their earnings, with the chance to receive larger incremental payouts and a …