The House Settlement is set to change a lot of things in the world of college athletics.
With that will come the rise of revenue sharing allowing college programs to distribute money to student athletes, but the world of NIL isn’t necessarily going away either.
But with the settlement will come some guardrails and will allow for a certain amount of matchmaking for those real NIL opportunities.
“You know, the old system of donors just throwing money into one big collective bundle, thus the name collectives. And then making up some reason to pay for play is very much the target of the settlement implementation. They want to eliminate that,” Athletic Director Wren Baker told 3 Guys Before the Game.
But would be permitted are any kind of forward-facing business that has goods and services for sale that want to do deals with student-athletes according to Baker.
Those deals have to pass the Deloitte Clearinghouse if they’re greater than $600 according to Baker.
“You just put the deal in and it’ll kick you out a range of compensation,” Baker said. “So you have really three options. If you kick in a deal and the range of compensation is $100,000 and you had signed this deal for $200,000 you can either go back and make the deal $100,000. You could change the amount of activity that you were going to do for the $100,000 potentially to make more value creation there. Or you could shift some of that deal.”
----------
• Talk about it with West Virginia fans on The Blue Lot.
• SUBSCRIBE today to stay up on the latest on Mountaineer sports and recruiting.
• Get all of our WVU videos on YouTube by subscribing to the WVSports.com Channel
• Follow us on Twitter: @WVSportsDotCom, @rivalskeenan, @wesleyshoe
