example: how can e-Residency help esports teams
A small organisation has passed to the international competition. Organisers require to have a legal entity to accept the participants in the competition - this is obligatory for them in order to be able to pay the tickets, prize money etc.
At the same time, the organisation receives the request from sponsors - they are willing to get the media exposure at the event where the team has been qualified. But the same question arises - the organisation should have the legal entity, be eligible to sign contracts and receive the money. Further issue arises with players - they are not obliged to do anything that the organiser of the event is requesting. As the result, the team gets penalised, the managerial team receives punishment. As the ‘cherry on top’ just before the event few best players sing up with the new team - and the organisation has no players, no payments from sponsors or organisers.
What an OÜ (a Private Limited Company) could help them to do:
- Create a legal basis to work with the players, ensuring that the players bear obligations
- Ensure payments from sponsors and organizers
- Create rights for the teams to monetise the success of the players (e.g. transfer players and earn on the roster / players transfer)
- The organization can proceed with the development ensuring the fundraising etc being fully legal and clear structure