Do players get all the bid money, what if a player is unable to play for his team due to injury, how is the base price of a cricketer decided... Answers to these questions and more in this IPL auction Explainer
Does the entire bid amount go to the player or does BCCI take a share? For example, would all of the ₹27 cr that LSG bid for Pant go entirely to him?
Yes, all the ₹27 crore that LSG bid for Pant goes entirely to the player over the period of his contract. The BCCI does not have any claim on the money bid on players. The money that is bid on players becomes their salaries on a per season basis. So, Rishabh Pant will get ₹27 crore per season from LSG for the next three years, without taking his personal tax liability into consideration.
After three years, LSG will have to decide if it wants to retain Pant or return him to the auction pool.
Can players lower the base price? After all, if I were an unsold player, I may want to lower the base price from ₹2 crore to ₹50 lakh, to get selected.
No, the players cannot lower their base price once it is set. It is the players who fix their base price before the auctions. Even if they go unsold in the first round, their base price remains unchanged for the next rounds of auctions.
Foreign players too usually set their own base price in consultation with their agents. This is usually based on their form, past performance and what they perceive is their market value. Similarly, Indian players too fix their own base price based on their current form, performance and perceived market value.
The BCCI only fixes the range of base price, which this year was from ₹30 lakh to ₹2 crore.
Do unsold players go out of the IPL system or are they on the BCCI bench or some such system?
Unsold players go out of IPL system. Whether they get any money from the BCCI will depend on the kind of contract they have entered into with the cricket board.
Unsold players from India usually go back to their States and play for their States in the domestic season (Ranji Trophy, Duleep Trophy, Syed Mushtaq Ali T20 trophy, etc) and earn money from their State cricket boards.
But all is not lost for the unsold players, they still have a chance to play in the IPL. Franchises that have not spent their entire ₹120 crore (the amount each franchise is allowed to spend on salaries) and still have some money left in their kitty can opt to sign some of the unsold players to bolster their teams.
But the catch is, the team should have slot(s) available. A team can have a maximum of 25 players in their squad with a maximum of 8 foreign players. If a team has less than 25 players, it can still sign a player post auction. However, if a team already has 25 players but still has some money left, say ₹1 crore, it cannot contract more players.
For example, RCB has ₹75 lakh unspent and has 3 vacant slots as they have only 22 players. So, theoretically, it can still sign unsold players.
What is the frequency of payout to the player?
The bid price payout depends on the contractual terms between the player and the franchise. If a franchise signs a player for three years then the bid price is for three years.
Whether a player like Pant receives his ₹27 crore in yearly instalments or some other staggered basis depends on the contract signed between the player and the franchise.
The mode and frequency of payments also depends on how cash rich the franchise is and also on the sponsorship money it attracts.
What if a player has to pull out of the IPL trophy at any point after being sold to a team - because of injury, emergency, etc?
If a player pulls out before the IPL season begins, say due to an injury, then the franchise need not pay him any money. But if a player pulls out during the tournament for any personal reasons or emergencies, the player would be paid a salary on a pro-rata basis based on the number matches played and the salary that they are entitled to get, along with a retainer fee.
But if a player gets injured during the season playing for the franchise, the player is paid the full salary even if they play only a few games.
Also, if a player gets injured during the IPL season, his franchise will have to cover his treatment and medical expenses.