Dan Furman, president of 502 Circle explains complexities of college and high school sports and NIL deals in an engaging conversation with John Ramsey.
NIL - pros and cons
o NIL is a platform that supports student athletes by leveraging their name, image, and likeness for revenue opportunities, including jerseys, billboards, commercials, and social media posts.
o There are challenges of balancing the needs of student athletes with the business side of sports, particularly in less popular sports like volleyball and golf.
o Issues of gender equity in sports, highlighting the need to ensure that all student athletes feel valued and benefit from the opportunities provided by the industry.
How is it structured here in Louisville?
o Louisville is focused on supporting athletes across campus, particularly in men's basketball and football, as well as women's basketball and volleyball.
o The university is excited to continue providing opportunities for these programs and is trending upwards in terms of growth and revenue support.
College athletics, recruitment, and NFL opportunities
o Different schools prioritize different sports and how this can impact their spending and success in those areas.
o You must find the right fit for players, prioritizing camaraderie and being in the right place at the right time.
o There is a challenge of balancing resources and talent acquisition, while also considering the role of NFL marketing and opportunities in the community
o "We know what a kid can make when they get here, and we commit to that collectively. Coaches don't budge when kids ask for money, saying 'based off our knowledge of the industry, this is what you can do here."
o High school athletes have the potential to make more than $12 per hour through endorsements and sponsorships.
o More structure is need and guardrails in college sports to avoid conflicts between state laws and NCAA rules
Community involvement
o It’s important to deliver on promises to athletes, citing examples of schools that fail to do so.
o Speaker 2 acknowledges the success of the football team and coaches, while Speaker 3 expresses skepticism about the team's dominance and the need for regulations to prevent abuse of power.
o Booster groups and alumni support provide additional opportunities for athletes at certain schools.
o Guidance and counsel on decisions to avoid making rash moves in a rapidly changing environment.
Revenue sharing and student athlete experience
o Dan highlights the importance of providing opportunities for all athletes, including those in non-revenue generating sports, and finding alternative routes to power revenue-generating sports while protecting the overall student athlete experience.
o Some schools are more reluctant than others to change, and attributes this to the athletic director or coach.
o There is a 50/50 split, with some schools pushing back against changes in the athletic department.
502 Circle and fan support
o 502 Circle has been extremely successful in creating a collective of college athletes and coaches to provide resources and support for their sports.
o Coaches are credited with having a competitive edge and being able to execute their plans effectively.
o The passionate fan base in Louisville and Lexington drives college sports and provides opportunities for collaboration and growth.
o The advantage of being the main event in town and working with other groups to progress and find creative ways to succeed, sets the pace in Kentucky and for 502 Circle.
