Football agents and their activities

In this post, we address some fundamental questions that often arise in connection with soccer agents and their activities.

Football agent, player agent, player manager, or player intermediary?
What does a football agent do?
What does it take to become a football agent?
What does a player agent do and not do?
What skills and expertise are required to work as an agent?


keywords: Football agent, player agent, player manager, player intermediary, football agent, player agent, FIFA agent, player agency, football agency, Kingwood, Kingwoodsport

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FIFA-licensed football agent, lawyer, co-founder and managing director

Football agent, player agent, player manager, or player intermediary?

      These terms are often used in relation to professionals who assist soccer players, and sometimes coaches or clubs. But what do they mean, and what are the differences between them?

      In everyday usage, all of the above terms are correct, and in this sense, the four concepts essentially mean the same. However, as we will see below, from a professional point of view, there are slight differences in the meanings of the individual words.

      A football agent (or player agent, or player manager) is essentially a sports professional who deals primarily with legal and economic issues and who negotiates (or modifies or termination) and in the negotiation process (as well as in matters outside the field of play) and provides representation for their clients, who are mostly players. We will discuss the question of what exactly a football agent does in more detail later in this article.

      It should be noted that the relevant legislation does not apply these terms consistently, and various articles on economics and sports often use them interchangeably as synonyms. Our current sports law and related regulations at the decree level basically use the term "player agent" (also because it establishes rules not only for football but for spectator team sports in general), although there are no restrictive rules preventing coaches, clubs or associations from entering into agreements with agents or managers for the provision of such services. Furthermore, the relevant regulations of FIFA and the MLSZ (Hungarian Football Association) use more general, broader terms - refer to football agents and - although this is less common in practice - expressly provide for the possibility for agents or managers to enter into contracts with coaches, clubs or associations for the provision of agency or management services. Accordingly, we can generally refer not only to player agents, but also to football agents, using a more comprehensive and broader term. Consequently, the concept of a soccer agent (or manager) covers a broader range than that of a player agent (all player agents are football agents, but not all football agents are player agents), However, this distinction has no practical significance (given that agents represent players in the vast majority of cases), and as a result, the terms football agent, player agent, and player manager are often used interchangeably.

      In our entry, we will also use these terms alternately, but they will refer to the same concept (football agent). Furthermore, when we refer to the term player agent, we also mean football agents who represent coaches, clubs, or associations (where it is not clear from the context that they represent only players). clubs or associations (where the context does not clearly indicate that the activity is limited to representing players).

      The term "player agent" was previously in widespread use, essentially prior to the introduction of the new licensing system created by FIFA, and was also used in the former regulations of the Hungarian Football Association (MLSZ) to refer to football agents. However, this term has now virtually disappeared from related terminology.

    What does a football agent do?

        In summary, almost everything that a player may need to do outside of the field. The agent is the player's "best friend" and acts primarily in the player's best interests, particularly in terms of sports, legal, and financial matters.

        The most typical service provided by player agents is classic agency work, where the agent represents the client during the process of signing (or changing, or sometimes legally ending) a sports contract and does everything that needs to be done on the client's side (negotiating on behalf of the player, receiving inquiries and offers from clubs, establishing and maintaining contact with other potential contracting parties, negotiating on behalf of the player, advising the player, and providing support during contract negotiations and (also) during the conclusion of the contract in order to ensure that the rights and interests of clients are protected to the fullest extent possible).

        We can also discuss other additional agency services, which can vary greatly, but typically include the following: negotiating and coordinating matters not related to the player's sports contract (e.g., sponsorship and merchandising contracts), preparing statements for media appearances, managing social media profiles and posts, providing PR advice, and possibly representing the player in the media. This also includes any additional administrative tasks that arise in the player's life (e.g., assistance with buying, selling, or renting real estate, liaising with various experts) and any assistance or advice that the client seeks from the agent. Therefore, the activities of agents, based on the contract concluded with the client, include, in addition to ongoing consultation and communication with the client, essentially the comprehensive management of the client's affairs and off-field life, as required (hence the term "player manager").

      What does it take to become a football agent?

          Prior to the new system introduced by FIFA a few years ago, anyone could be an agent. However, the new regulations have significantly tightened the previous status quo, particularly in terms of raising professional standards, strengthening trust in agents, extending FIFA's ethical requirements to agents, and increasing transparency. Currently, only those who hold a license issued by FIFA can act as agents.

          The FIFA license can be obtained by passing an exam (with a few specific exceptions, which essentially allow individuals who were already regularly engaged in agent activities prior to the new regulations coming into force to obtain a license without having to take the exam).

          In simple terms, an agent is someone who:
          - meets the eligibility requirements when applying for the exam and during the term of the license,
          - passes the exam,
          - pays the annual license fee, and
          - completes the mandatory professional training.

          The eligibility requirements essentially include conditions under which the agent has not been convicted of certain criminal offenses and is not subject to any conflict of interest (e.g., is not an employee of FIFA, a confederation, an association, or a club).

          During the exam set by FIFA, candidates wishing to obtain a license must take an exam in English, Spanish, or French on FIFA's statutes and important regulations (regulations on football agents, regulations on the status and transfer of players, code of ethics, disciplinary regulations, etc.). To pass the exam, candidates must complete a multiple-choice test consisting of 20 questions in one hour with a minimum score of 75%. The exam is "open book," meaning that candidates are allowed to use materials provided by FIFA covering the aforementioned material, but the failure rate is still considered significant (around 50% on average).

          The annual license fee is determined by FIFA in a circular letter on an annual basis; in 2024, the amount was USD 600.

          The license issued by FIFA entitles the holder to act as a football agent worldwide (however, it is important to note that individual national associations may impose registration requirements in relation to activities carried out within their territory).

        What can and cannot a player agent do?

            Of course, managers cannot do everything; they do not sit in dark, smoky rooms with the leaders of the biggest clubs, and they cannot perform on the field in place of the players. so it stands to reason that they cannot, even on the basis of personal acquaintance, "get someone into" a team whose playing strength is not in line with the player's current performance.

            The relevant FIFA regulations also impose certain prohibitions on football agents, for example, agents may not:
            - not attempt to induce a private individual (player or coach) to unlawfully terminate their employment contract before its expiry or to breach any of the obligations contained therein;
            - pay or offer any undue advantage to an official or employee of a member association or club in connection with football agency services; or to a private individual (or any family member, legal representative or friend of the private individual concerned) in connection with a representation contract;
            - not be entitled to accept any payment from transfer or training fees payable in connection with the transfer of players between clubs (except where the agent also represents the transferring sports organization), and
            - is not entitled to participate directly or indirectly in a bridge transfer as defined in FIFA's regulations on the status of players and transfers, or to hold any rights relating to the registration of a player in violation of Articles 18bis or 18ter.

          What skills and expertise are required for agency work?

              As mentioned above, apart from obtaining and maintaining the license required by FIFA, current regulations do not require any specific qualifications to practice as an agent.

              Although no formal professional qualifications are required to perform this activity, apart from obtaining and maintaining a license, we believe that a manager must have knowledge and experience in a number of areas which cannot, of course, be expected of players, yet may be necessary on a regular basis in the lives of players. As managers, we strive to provide players with the most comprehensive and thorough assistance possible in these matters.

              In our opinion, primarily legal, economic, and sports-related knowledge is necessary for someone to be able to perform managerial duties properly.

              It goes without saying that legal and economic knowledge is necessary in order to interpret and negotiate contracts and their individual provisions and clauses correctly (within the framework defined by the relevant legal regulations). Although the agent's work involves the application of legal and economic knowledge, it is obviously essential for a good agent to have the appropriate professional knowledge of the sport in order to be able to assess the client's options and room for maneuver and to be able to "smooth the way" for the players.

              The members of our team – as detailed in the Our Team section – have legal and economic qualifications and experience in these fields, have a competitive sports background, and are constantly training and keeping up with legal, economic, and sports-related changes and news in soccer (and other sports). They're happy to help our clients so they can feel secure, reliable, and confident that their interests are being looked after as much as possible reliability and expertise to our clients so that they can focus solely on sport.

            If you would like to contact us or have any questions regarding the above, please do not hesitate to contact us at any of the contact details provided.


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            This article has been prepared on the basis of information available on the date of publication and the sources indicated, for general information and educational purposes only. It does not constitute legal or other advice and is not suitable for use in specific cases. We therefore exclude any liability for any damage or disadvantage arising from the use of this article.

            Sources:
            Act I of 2004 on sports (Sports Act)
            FIFA Football Agent Regulations
            Hungarian Football Association - Football Agent Regulations
            FIFA Circulars
            https://www.mlsz.hu/hir/jatekoskozvetitok
            Hungarian Football Association - Football Agent Regulations
            https://fcbusiness.co.uk/news/52-pass-rate-for-first-fifa-football-agent-exam/
            https://www.espn.com/soccer/story/_/id/37638343/nearly-half-fail-new-fifa-test-get-player-agent-license
            https://www.linkedin.com/posts/ffar-online_fifa-football-agent-exam-pass-rate-in-2024-activity-7275521059989188608-5AVg 

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