- Extra Points
- No, NIL isn't cannibalizing school's donor pools. Here's proof:
No, NIL isn't cannibalizing school's donor pools. Here's proof:
Administrators were terrified that donors would give to collectives instead of the school. But that's not happening. Here's why:
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This isn’t exactly breaking news, but the cost to run a D-I athletic department have been rising substantially over the last few years, and with some form of direct revenue sharing and/or employment on the horizon for many programs, that trend isn’t slowing down any time soon.
Not everybody has climbed out of COVID-related budget holes. Inflation has increased the price of fuel, construction projects and hotels. Many schools have struggled with labor shortages with trainers, gameday operators, officials, and other key personnel. The list goes on.
That’s a big reason why many schools were deeply concerned that the rise of NIL collectives represented a significant financial threat to their departments. After all, administrators reasoned, there are only so many potential athletic donors out there, and if somebody is giving ten grand to pay for recruits, well, they’re probably not going to give ten grand to fund scholarships or facilities.
It’s a completely reasonable assumption! This sentiment was pretty common!
But there’s just one problem. The data says it isn’t true.
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