Intro

Each season, the top programs in the NCAA generate hundreds of millions of dollars in revenue, but none of that revenue is shared with the very athletes responsible for its generation. This system – created in 1906 - has failed to adapt to the financial realities of college sports, which subsequently has given rise to the current corrupt landscape that exists today. The corruption brought to light by the recent FBI probe has fueled the debate over student-athlete compensation, and threatens the very existence of true amateur college athletics. To this date, however, nobody has developed a practical solution to the issue...

Our plan maintains the traditions and principals of amateur college athletics, and emphasizes education, all while implementing innovations that allow student-athletes to participate in the revenue they create.

Download The Plan[FULL TEXT OF THE PLAN]

Plan Highlights

$$$ only on Graduation

The Plan serves the educational mission of the NCAA by creating incentives for student-athletes to complete their education, regardless of the prospects of a future career in sports. By making the release of funds in each student-athlete account contingent upon graduating college, the Plan creates a direct incentive for student-athletes to take education seriously and finish their degrees where they otherwise may not choose to do so.

Amateurism Remains

The Plan preserves the amateurism of collegiate sports by holding all funds generated by the Program until a student-athlete graduates and eliminating the possibility of outside influence from agents, boosters, etc. Amateurism is maintained because no student-athlete will receive remuneration of any kind while participating (or being eligible to participate) in NCAA athletics.

Independent 3rd Parties

Each student-athlete assigns the rights to their likeness to the Clearinghouse pursuant to a Licensing Participation Agreement. The Clearinghouse will be the exclusive licensing representative for student-athletes. It will be responsible for administering every aspect of the Program, including, entering into Licensing Participation Agreements with student-athletes, negotiating, entering into and managing deals, creating and pursuing opportunities within the parameters of the Plan, collecting royalties, overseeing the custodianship and investment of capital accounts for the student-athletes and disbursing funds in accordance with the Plan.

No Outside contact

The Plan insulates student athletes from outside pressures because the Clearinghouse serves as the student-athletes’ representatives in all interactions with third parties. The Clearinghouse structure safeguards against any possible unintended repercussions on other elements of college athletics such as time commitment of student-athletes or recruiting. Only the Clearinghouse can instigate and negotiate Approved Deals, which means there is no communication between brands, boosters, schools and student-athletes in connection with the Program, and therefore no opportunity for malfeasance or misconduct from third parties.

The Program

Step 1

Student-athlete licenses his/her name, image, likeness to the Clearinghouse

Highlights

Standard process for all student-athletes

No negotiations

Not mandatory, but only option for monetization

Step 2

The Clearinghouse negotiates both group and individual deals on behalf of the student-athletes

Highlights

Responsible for administering every aspect of the program

Operates without federal funding as a 501(c)(3)

Exclusive licensing rep for Student-Athletes

Group Deals

When 20 or more likenesses used on products that are sold at retail or used as promotional or premium items.

Highlights

Uses 20+ student-athlete's likenesses

Each deal lasts for a season or academic year

Follows Group Revenue Split

e.g. video games, jerseys, advertisements

Individual Deals

Multiple deal tiers with fixed minimums to accommodate elite athletes on down to the average athlete.

Highlights

Uses a single student-athlete’s likeness

Each deal lasts for a season or academic year

Follows Individual Revenue Split

e.g. commercials, print advertisements, posters

Student-athlete can opt-out of certain categories that the Clearinghouse can otherwise negotiate deals in

Step 3

Upon graduation, student-athlete receives his/her payout. Along the way, percentages of funds are disbursed to the community, NCAA, and the Clearinghouse to cover costs.

Highlights

8 yr period to graduate from enrollment in the Program

Allows student-athletes to pursue professional career & still capture earned money & a degree

Forfeited funds go to General Scholarship Fund

Individual Deal Tiers

Premier

Territory: National

Rights:

Premier Marketing Materials
One production day
Exclusive with respect to product class

Tier 1

Territory: National

Rights:

Full Marketing Materials
Exclusive with respect to product class

Tier 2

Territory: Regional/Conference (every state in which athlete's conference has a member school)

Rights:

Limited Marketing Materials
Exclusive with respect to product class

Tier 3

Territory: State

Rights:

Limited Marketing Materials
Exclusive with respect to product class

Tier 4

Territory: Local (within 50 miles of Athlete's Institution)

Rights:

Limited Marketing Materials
Exclusive with respect to product class

Revenue Splits

Revenue Split 1
Group Deals

Revenue Split 2
Group Deals

Revenue Split
Individual Deals

*the Player Pool is divided equally among all participants in the Program in a given sport. For example, if 13,000 FBS (Football Bowl Series) football players participate in the Program in a given year and the Player Pool has $25,000,000 during such year, then each participant’s Capital Account would be allocated: $25,000,000/13,000 = $1,923.07 for such year.