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Gibbs the GM

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Old 10-11-2005, 01:08 PM   #15
CrazyCanuck
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Join Date: Feb 2004
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Re: Gibbs the GM

Quote:
Originally Posted by #56fanatic
we lead the NFL in dead money every year. When you
rework these deals, it sets the 1st couple years at very low salaries then the contract money excelerates towards the end of the deal, like the last two years.
I think you answered your own question here. By setting the 1st couple years at low cap numbers, you are pushing the money to the future. But in the future, any deadcap hit you take will be offset by more bargains on new guys you sign. Deadcap is a GOOD thing. It's like a growing company. If you finance yourself with too much debt, yes you will get into trouble down the road. But if you have no debt then that's no good either. It means you probably won't be able to grow quick enough. You need a balance between debt and equity. Deadcap is the ONLY way a GM can get any fleixibility or timing into his plans. IMO a team with no deadcap is doing something wrong. I suspect the Skins allocate 10-20% of their annual cap budget on deadcap. The deadcap is offset by "bargains" in the short term. Of course there are limits.
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