Sponsorship is important for clubs and athletes. In addition to membership fees or their own capital, sponsors provide financial security. Once a sponsor has been found, this support can also be stipulated in a contract. But what does a sponsorship contract have to say and is it even necessary? We provide the answers.
spized | sponsoring | Magazine September 20, 2023 |
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As in all business relationships, there is the possibility in sponsoring to seal this relationship with a contract. There are various reasons for this:
As you can see, there is a lot to be said for signing a contract with your sponsor. In the next section, we will show you what a contract should contain.
Every contract is a legally binding "deal" that two or more parties agree on. It is therefore all the more important that the sponsorship agreement contains all the important aspects.
At this point, we would like to point out that we do not give binding legal advice regarding sponsorship contracts. You should always go over contractual matters with a professional, i.e. a lawyer, before signing or issuing a sponsorship agreement.
But we can give you a basic idea of what should be in a sponsorship agreement.It is always easiest if you create a standard main contract. The attachments then list, for example, advertising materials, promotions or additional agreements.
This is what it can look like: Preamble § 1 Subject matter of the contract: What is the content of the contract? What is it about?§ 2 Services and granting of rights by the association: What services must the association, i.e. you, provide? What rights do you grant to the sponsor?
§ 3 Services of the sponsor: What does the sponsor have to deliver to you within the scope of the contract?
§ 4 Contract term and scope: How long does the contract run? For which regions is it valid? § 5 Liability and compensation: Who is liable in cases of damage and, if so, in what amount?§ 6 Confidentiality, loyalty and duty of secrecy: May the contents of the contract be discussed with others?
§ 7 Data protection provisions: How is the collected data stored? § 8 General provisions § 9 Contract signatures§ 1 Term of contract: Here you can specify the term of the contract once again and, if necessary, provide information on renewal and termination.
§ 2 Subject matter: This point goes into more detail about the scope of the sponsorship. § 3 Payment terms: Here you can list how the sponsor will support you, e.g. with cash or in kind. § 4 Implementing regulations: How exactly should the sponsorship take place?
When drawing up the sponsorship agreement, you can use common models as a guide. This can also be done without a lawyer. Simply go through each point and add what should be included.
In theory, you do not need a lawyer to draw up a sponsorship agreement. Nevertheless, it is advisable to get legal help. After all, the individual points in the contract should be legally binding. No one is helped if a contract you have drawn up yourself is too imprecise or legally contestable.
A lawyer can check and correct the contract you have drawn up. The financial effort is usually worth it, because the good thing is: Once you have drawn up a sponsorship agreement, you can always use it as a template for all other sponsors. Only the agreements, the contractual partner and the services need to be changed.
It is important that a sponsorship agreement includes all the sponsor's services and your consideration in detail and precisely.
A term is absolutely necessary. Two or three years are recommended. This allows you to plan for the long term.
Our advice: Send your sponsorship contract to the sponsor in advance via PDF for review. If all points are accepted, the sponsor receives the contract in writing. He then only has to sign it.
This approach builds trust and strengthens your collaborative partnership.Both persons signing must be authorized to sign, i.e. have "procuration". Otherwise the signature is not valid.
Not every member of your association can sign, but usually only the secretary, treasurer or a member of the board.
Very important: You should always have sponsorship contracts legally clarified. There is therefore no exact template. However, you can use a sample sponsorship agreement as a guide.
We always recommend the following approach: Either you contact a contract lawyer right away and ask him to draw up a contract with you. Or you draft a contract and then go through it with a specialist lawyer. This way you are legally on the safe side.
Legally, the sponsorship contract is not mandatory. Nevertheless, it is advisable for clubs or individual athletes to draw up such a contract when working with sponsors. This creates security for both sides and helps you plan your finances.
Sponsorship is important in both professional and amateur sport so that you, as a club or individual athlete, have more financial opportunities. A sponsoring concept helps you to proceed in a structured way when looking for sponsors. Together with sponsoring expert Mona Schwarzkopf, we show you what is important and give you practical tips.
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Sponsors are very important for clubs, but also for individual athletes in the professional sector. With their support, training equipment can be financed. But many don't even start looking for sponsors because they don't know how to go about it. In our guide, we show you together with sponsoring expert Mona Schwarzkopf how you can effectively look for sponsors and what you should bear in mind.
But how do you go about it as a small to medium-sized club? How do you get sponsors on board? Which jersey print is cheap and best suited for advertising logos? What regulations need to be observed? We want to clarify all this in this article.
From a financial point of view, sponsoring is indispensable for associations, usually even vital for their survival. After all, it is hardly possible to make major or regular minor investments solely through membership fees. Club sponsoring is therefore an integral part of club life. But what exactly does this form of sponsoring involve and what distinguishes it? We show you together with expert Mona Schwarzkopf.
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