Who can negotiate an NIL deal?

By Jason Bolton June 16, 2023 11:12

Photo by French’s Mustard

With the recent changes to NCAA rules regarding name, image, and likeness (NIL) rights for student-athletes, many are wondering who is eligible to negotiate these deals. The short answer is that anyone can negotiate a NIL deal, but there are certain factors that can affect the process and the outcome.

First and foremost, it is important to understand that the NCAA still has regulations in place that govern how NIL deals can be negotiated and what types of deals are permissible. These regulations vary by state and by institution, so it is crucial for student-athletes to consult with their school's compliance office and/or an attorney who specializes in sports law to ensure that any agreements they enter into are in compliance with these rules.

Assuming all regulations are met, the next question is who can actually negotiate on behalf of the student-athlete. Traditionally, this role has been filled by agents, who are licensed professionals with expertise in negotiating contracts and securing endorsements for athletes. However, with the new NIL rules, the field has opened up to a much wider range of individuals and organizations.

One key factor in determining who is eligible to negotiate a NIL deal is the location of the agent or representative. Some states have already passed laws allowing student-athletes to hire agents or other representatives to negotiate NIL deals on their behalf, while others are still in the process of developing regulations. In states where there are no specific laws governing NIL deals, it may be more difficult for student-athletes to find someone to negotiate on their behalf.

Another important factor is the experience and reputation of the agent or representative. While anyone can technically negotiate a NIL deal, those who have more experience in the sports marketing industry and a proven track record of success are likely to be more effective at securing favorable deals for their clients. Student-athletes should do their due diligence when selecting an agent or representative, and seek out references and case studies to ensure they are working with someone who has a strong history of success.

It is also worth noting that some sports marketing firms are taking a different approach to NIL representation by refusing to charge commission fees on any name, image, and likeness deals negotiated for student-athletes. These firms may offer a range of services, from marketing and branding support to legal guidance, without taking a cut of the athlete's earnings. This can be an attractive option for student-athletes who want to retain more control over their own earnings and avoid paying high commission fees to an agent.

Of course, there are also potential downsides to negotiating a NIL deal without the help of an experienced agent or representative. For one thing, the process can be time-consuming and complicated, and it may be difficult for student-athletes to navigate on their own. Additionally, without the backing of a reputable agent or firm, student-athletes may miss out on potential endorsement deals or earn less than they could have with professional representation.

Ultimately, the decision of who to hire to negotiate a NIL deal will depend on a range of factors, including the athlete's personal preferences, the regulations in place in their state and at their institution, and the specific circumstances of the deal in question. What is clear is that the field of NIL representation is rapidly evolving, and student-athletes should carefully consider their options and ensure that any agreements they enter into adhere to NCAA regulations and do not conflict with their school's existing contracts.

In conclusion, anyone can technically negotiate a NIL deal on behalf of a student-athlete, but there are many factors that can affect the process and the outcome. The key is to ensure that all regulations are met, and to carefully consider the experience and reputation of any agent or representative who is hired to negotiate on the athlete's behalf. With the right guidance and support, student-athletes can take advantage of the new NIL rules to earn income from their name, image, and likeness while still maintaining compliance with NCAA regulations and protecting their own interests.