Esports debts - The neverending story! (Guide included)

in esports •  7 years ago 

NOTE: This article was originally published on Linkedin before the Steemit existed. I recently had my membership approved and I thought to myself, why not publish it here as well. It's not just a good starter for me to test the editor, but it is a contemporary problem of the industry as old as esports itself.

There will be more articles to come about esports, gaming & affiliated industries, block chain, entrepreneurship and more relevant things around the space.  I hope to get your support and following if you are interested in the before mentioned topics. So far I have not seen a single esports & gaming related article on Steemit and I am about to change that.

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This little piece was inspired and encouraged by Richard Lewis and  the 2 recent shows around the Azubu debts. However, this isn't just an  Azubu problem. The debts produced in and around esports are piling up  from the very first day we named it esports up to today, and tomorrow,  and unfortunately I don't see it stopping anytime soon. 

To give some context around my person and this very specific example.  In the 2 decades I have been around these stories from every angle  possible. I have been scammed and not paid as commentator, journalist,  organizer and I have also worked for multiple companies which up to this  day owe money to people. The sums we are talking here stopped being  funny a long time ago. 

 In a perfect world of esports I would be about $250k USD richer than I am now.   

 So, to all those who are involved in esports this is not a secret, but  we just get to talk about it so often. Unfortunately we are too busy  boasting about the growth of the industry, new startups, innovation and  good news on a daily basis. I always was and always will be the one who  despite all good news tries to remind the esports world of all the bad  things that are silent in the background. 

 Now let's get on the Azubu / Hitbox / Sapinta Group example. This one is  very outstanding in the long list of companies not paying out what has  been promised. Find below the shows of Richard Lewis dissecting the  Azubu scam in detail. 

 TLDR of show 1: Azubu buys Hitbox, talking about merger, while still owing money in the "old" company. 

 TLDR of show 2: Azubu tries to dodge the debt requests of content  creators and organizers, offering 10% payout deal in a "better than  nothing"-campaign. 

 RL: I urge everybody involved in esports ... if you are EVER owed money  for an unacceptable amount of time, by any entity, do NOT sit on these  secrets.   

 Now, why is the Azubu example special? Afterall it's just another amount  of debts to be added on a pile of millions owed to individuals and  companies. The way they handle the situation is what makes it so  unprecedented and outrageous. The content creators and organizers are  the ones who bring unique and exclusive content to an inferior platform  compared to its rival Twitch. That should give them at least somewhat of  a appreciated positions, wouldn't you think? On the contrary. The very  force behind (paid) viewership numbers is being treated second class and  in a very shady attempt to settle for 10% or even less they start into  the new project. 

What kind of future will the new "Azubox" (new brand name: Smashcast) have, given that both  companies have a history of financial problems with their community.  With all they did and still do, they push Twitch ahead as a product,  which is the very same product they try to claim market share from. 

Azubu is just a very recent example of a years long tradition of esports  companies failing to pay their debts. Earlier I mentioned that I have  been a victim myself many times, but I also want to stress out that  often I took that risk deliberately with a worth ROI in prospect.  However, some of the money lost was also due to me doing very crucial  mistakes. Let's look into some things that everybody can do to improve this industry. What you will read in the following guide can be applied to almost any other industry, not just esports.

Here is my guide of the the dos and don'ts

1.  Have it on "paper" - If not a formal contract, at the  very minimum have conditions written down in a simple mail. Chatlogs help, but should only be a secondary source of proof. If anyone refuses to write a simple mail for an agreement - walk away! 

2.  Retention! - Before, during and after. Keep documentation of everything. Save and backup everything - mails,  documents, chat logs, recordings, proof of your work and time spent,  expenses of any kind. 

3.  Don't stay silent! - Unless there is an end in sight,  you won't improve the chance of getting money by staying silent. You only help them to cover things up and silence others too. 

4.  Team up! - Often you're not the only one. Seek out  those who share your fate! Legal costs can be shared, class actions started, your voice(s) are easier to be heard and they back your claims  with each of their individual stories. Sometimes pressure can do wonders  and suddenly money arrives on your account. 

5.  Seek help! - If you have done above things, the money amount is worth it and you feel "on the safe side", don't hesitate to  ask some endemic lawyers to have a glimpse over it. Sometimes you might be lucky and a lawyer will pick up a big enough story and support you by  not charging you. 

6.  Spidey senses! - Sometimes the best protection is to jump off the sinking ship just in time. You would say that's obvious?  No, most people stay on board until they get wet feet with no way to escape.  Even as a small cogwheel in a big company there are clear indications something is wrong. Don't tolerate it too long and draw a line! PS: I  don't want to discourage people to give up too soon, but enough is  enough at some point. 

7.  Don't be a criminal yourself! - Often in disputes  irrational decisions take lead and that's one of the worst choices you  can make. Even if you have the opportunity to "claim" something, as  little as a keyboard out of the office, never do it. They will always  win in a race of who is filing charges faster, they will also have a  reason to terminate before solid contracts and it puts you in a weaker  position if it goes to court. The golden rule is - even if your opponent  is cheating - play fair, win fair. 

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Stay informed about esports through me and feel free to approach me if you're in need guidance.

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@Heflamoke   here on Steemit.




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