LOL!!
Long term in sire deals is 3 years.
Zieg heres the deal. They wnat to insure that if the sire is a total bust that they don't get killed.
Take the horses stud fee, multiply it by 330. Thats about what they paid(a little more, but usually no more than 25% more).
Lets take rock hard ten and St Liam. Both entered stud at 50 g's. They paid about 15-20 mill for those sires. Thats how it works.
Now lets take a horse we have heard about what they paid for him.
Lets take Smarty Jones.
he stands for 100 g's. Thats 33 million(and was announced at what? 36 mill-40 mill). You see Zieg?
This is ain't magic or random numbers that they set. Its based on a math formula.
The reason that deals take a while is trying to estimate what a grade one, or two grade one wins, or a championship, or a BC win, or a championship means in terms of resid. Yo have to get both sides to agree what those events occurring theoretically would mean.