If you’ve heard that phrase before, you know where it comes from, and you know where I’m going with this. While Don King has promoted some of the most important fights in the history of boxing (The Rumble in the Jungle), the public perception of him doesn’t match his career achievements. There is good reason for that.

 

King, like many other promoters in boxing and MMA, make their profit by putting on events, and keeping whatever money is left over. While it’s a solid business model that works, it comes at a cost. The cost is the careers of young fighters. Promoters and managers don’t purposely put their own fighters in harm’s way because it goes against the business principle of not ruining a meal ticket. However, in order for the promoters to get paid, fighters need to fight often, and for as little money as possible. That means they need to hunt for prey.

 

If you grew up poor, or if your dreams are to provide a life for your family through fighting, then what would a 5-figure signing bonus do for you? Depending on your situation, it can be absolutely life changing. But what are you signing away? If you’re not careful, it could be a lot.

 

Let’s look at the economics of being a professional MMA fighter or boxer. It’s the promoter’s job to secure a venue and the fight purse. The purse is the total amount of money the promoter puts into a fight and the fighters then split that purse. That is how it is in boxing and most MMA promotions outside of the UFC. However, the epidemic of shady management is not something the UFC is immune to. I’ll talk more about that later.

 

I’ll give you an example. Let’s look at a basic UFC undercard fight. For most entry-level fighters, they will sign a contract that pays them $5k to fight, and a $5k bonus to win. Now, let’s say the winning fighter lives in Florida, but won the fight on a card in New Jersey. That may not sound important, but it is. Once the fight is over and the winning fighter gets their $10k, that’s when the bills show up. If you don’t have the right management, this is where you can go broke real fast.

Out of that $10k, fighters then have to go toe-to-toe with the IRS. Fight purses are not taxed up front, so plan for 20-30% of your check gone. You can sign up for payment plans with the IRS, but if you don’t stay organized, you could end up like Manny Pacquiao and get a tax lien from Uncle Sam (The US government hit him for $18.3 million in unpaid taxes, while his own Philippine government nailed him for an additional $75 million).

 

So, now that your original $10k is down to about $7k, you still have to pay gym fees. The industry standard is usually 10% of the fight purse (pre-tax of course), so there goes another $1,000. As you watch that $6k slowly begin to shrink, you’ll realize you also have state taxes. Even if a fighter lives in a state that has no state income tax (FL, NV, etc), if you fight in a state that does, you’ll pay. It can be a small fee in certain states, but in places like California or New York, forget about it. That could be another 6-9% of your check (or more if there are city and county taxes too).

 

With half of your money now gone, the management team/promotion team are the last ones to take their cut and their cut runs the deepest.

 

There are good, honest promoters out there who really have an interest in expanding combat sports the right way and truly care for their fighters, but the problem is that they are an overwhelming minority. The good promoters usually take a 10% pre-tax cut. They do put in a lot of work when it comes to selling tickets, arranging accommodations and such, but they aren’t the ones grinding for months in the gym and leaving their blood, sweat, and tears in the cage.

 

The promoters that don’t care about the fighters can sometimes take way more than that. If that sounds crazy, listen to the stories of well-known fighters like Jon Fitch and Dan Hardy. They both claimed that their management teams took between 20-25% of their pay day. In the hypothetical situation I’m describing for you, that fighter that made $10k would be down to about $2,500 after all is said and done, and the promoter walks away with about the same amount of cash.

 

Anyone who pays any kind of bills knows how quickly that money dries up, so fighters end up taking on more fights (including ones they maybe shouldn’t) and the promoter keeps raking in the cash. 

Well, if you have no intentions of turning professional, then make it known to your coach and trainers. There is nothing wrong with learning MMA or boxing and not trying to earn a living off of it. However, if you show high-level skills early on, people will notice. To avoid that pressure, you need to know what to look for.

 

The first thing to watch is who’s in the gym. Who are the coaches and trainers talking to when they are not working with fighters? If you see people in the gym not dressed to workout, that’s the first sign. If they are walking around and watching fighters train and your coaches don’t mind that they are there, then that is another big indicator. Also, if a random person shows up to watch sparring sessions in your gym and no one has seen them before, that’s another sign (especially if they are recording). It’s not necessarily that they are bad, but you know someone is there scouting talent, both good and bad.

 

Yes it’s true, promoters look for fighters with a lack of talent. If they are looking to build up the record of an up-and-coming fighter, then they are going to be on the lookout for easy opponents. Do you know where they look? Local gyms and other training camps where they know the coaches and trainers. This practice is also rooted in the dark history of fight fixing.

Fixing fights is also something young fighters need to be wary of. Not the up and comers and contenders, they are not the ones fixing the fights, it’s the promotion and management teams. The manager of former heavyweight champion Leon Spinks admitted to this and even broke down and explained the “hidden code” of how exactly management teams fix fights by looking for people their fighter can beat (he even admitted to fixing hundreds of fights himself). It looks like this:

 

 

Done and done. This is how fights get fixed. Lower caliber fighters are selected to be the prey for contenders, and everyone profits, sometimes even the losing fighter. 

All that being said, there are good promoters out there. I know Dana White gets most of the press when it comes to MMA promoters, but Scott Coker is one person who is known as being a fighter’s advocate. His approach to MMA has helped innovate the sport, while he has also maintained a reputation as someone who is respectful and humble towards his fighters. While those two men deal with the biggest names in combat sports, there are many more at the regional level, and you won’t know their real intentions until you start asking questions. 

You may get pressured in the gym to decide right away, but this isn’t some real estate transaction, you can sleep on it and get advice. Don’t believe them when they say they’ll just find someone else. They’ll be back because they always need more. 

Was this forwarded to you? Sign up here

Want exclusive video content? Join here

Didn't get the eBook? Get it here