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NIL Revenue Sharing; is this a thing?

Posted on 12/3/25 at 2:56 pm
Posted by RCDfan1950
United States
Member since Feb 2007
38611 posts
Posted on 12/3/25 at 2:56 pm
I heard some FB Show Hosts discussing this the other day and couldn’t understand how it works. Do other teams get our donations? Any education would be appreciated. TIA.
Posted by MicahTiger
Member since Dec 2021
604 posts
Posted on 12/3/25 at 2:59 pm to
NIL - monies given to student athletes in exchange for use of their name, image, likeness etc. for advertisements and what not from people on the outside (3rd parties). Not capped.

Rev Share - bucket of money controlled by the university, and divided across all sports by %s. Capped.
This post was edited on 12/3/25 at 3:00 pm
Posted by caliegeaux
Booo Cheeeen
Member since Aug 2004
12389 posts
Posted on 12/3/25 at 3:10 pm to
quote:

NIL - monies given to student athletes in exchange for use of their name, image, likeness etc. for advertisements and what not from people on the outside (3rd parties). Not capped.


generally curious, with this being required to be passed by some clearing house, there is still no cap on these? i guess its all in how its structured/paid out.
Posted by DmitriKaramazov
Member since Nov 2015
5562 posts
Posted on 12/3/25 at 3:43 pm to
quote:

generally curious, with this being required to be passed by some clearing house, there is still no cap on these?


It has to be a legitimate exchange of value to survive the scrutiny of the Deloitte clearinghouse. You can no longer just pay some kid $10 million for a local commercial or billboard. Deloitte has estimated that it would have rejected 70% of historical "NIL" deals. So NIL does not have a fixed cap, but it's effectively capped by market dynamics.
Posted by friendlyobservation
Member since Mar 2024
3717 posts
Posted on 12/3/25 at 3:46 pm to
Can't cap NIL money. It's illegal and they'd get sued if they tried. That's where you funnel the money to boosters. This is how rich schools like LSU will do it. Find boosters with legitimate businesses, funnel money to boosters, NIL sponsor them uncapped unregulated, profit.
Posted by Mister Baiting
Member since Nov 2025
73 posts
Posted on 12/3/25 at 4:03 pm to
quote:

but it's effectively capped by market dynamics.


You and I know what we'd likely get paid to be in a car commercial, but who sets the market for what a collegiate athlete can make for doing a car commercial?

In absence of an established market, the first to do it are the ones that set the market. Eventually some level headedness comes back around and with enough data collected, a baseline can be set, but I don't see how they do this in college football without picking some arbitrary number.

And once they do cap NIL spending, it'll just roll back to the old system of paying under the table.
Posted by RCDfan1950
United States
Member since Feb 2007
38611 posts
Posted on 12/3/25 at 5:56 pm to
Thanks fellas, but I’m still confused. I’ll settle for our big money boosters handling the ‘red tape’.

Looking like a banner day! So glad to have Kiffin at the helm.
Posted by Lapaz
Member since Dec 2018
722 posts
Posted on 12/3/25 at 6:13 pm to
quote:

You and I know what we'd likely get paid to be in a car commercial, but who sets the market for what a collegiate athlete can make for doing a car commercial?

In absence of an established market, the first to do it are the ones that set the market. Eventually some level headedness comes back around and with enough data collected, a baseline can be set, but I don't see how they do this in college football without picking some arbitrary number.

And once they do cap NIL spending, it'll just roll back to the old system of paying under the table.


They can hire a marketing company to provide an estimate of the fair market value by comparing what celebrities and athletes were paid in the past.
Posted by minimal
Member since Feb 2007
993 posts
Posted on 12/3/25 at 6:35 pm to
Under House, the revenue sharing component is not sharing between different schools. A school's athletic revenue can be shared amongst all eligible athletes at that particular school. 20.5m in '25

Revenue sharing is not NIL. NIL is a separate income opp for individual athletes.

Google is your friend: NCAA house revenue sharing
Posted by Underteaux
Member since Feb 2024
835 posts
Posted on 12/3/25 at 6:39 pm to
quote:

who sets the market for what a collegiate athlete can make for doing a car commercial?
For now, they could just compare it to other instances where a “celebrity” was featured in a marketing campaign. I wouldn’t say it’s the market because that could hypothetically never be capped
Posted by bbnitiger
Member since Feb 2024
99 posts
Posted on 12/3/25 at 7:11 pm to
It’s been a while since a read it, but I believe NIL deals for less than $600 don’t have to go through the clearinghouse. There were quite a few of the initial deals submitted to the clearinghouse that were rejected. Some for payments in excess of market value, but most because of technical problems with the application/contracts, etc. Those were given a chance to resubmit. I think since then I read a much higher percentage of the deals have been approved.
Posted by Reagan80
Earth
Member since Feb 2023
1823 posts
Posted on 12/3/25 at 8:23 pm to
What you described sounds like money laundering, that would be illegal, right?
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