A standard NBA agreement allows teams to sign players to a one-year, minimum salary deal that includes an Exhibit 10 attachment. This addendum provides the team the right to convert the contract into a two-way contract before the start of the regular season. If the player is waived, they receive a bonus (up to a specified maximum) if they sign with the team’s G League affiliate and remain there for at least 60 days. For example, a team may sign an undrafted rookie with the intention of seeing how they perform in training camp and preseason.
These agreements offer teams flexibility in managing their roster and developing young talent. They provide a low-risk opportunity to evaluate players who might not be ready for the NBA but possess potential. Furthermore, they incentivize players to join the teams developmental program, fostering a stronger connection between the NBA team and its G League affiliate. Historically, this mechanism has allowed teams to identify and nurture talent that might otherwise go unnoticed.