Unlocking Local NIL
"Priming the Pump": How Schools Can Help Businesses Say "Yes" to NIL
Since the launch of NIL in July 2021, much of the conversation has centered around what athletes must do to position themselves for deals—how they should build their brands, engage on social media, and negotiate fair compensation. But there’s been far less discussion about another crucial factor:
Are local businesses actually ready to participate in NIL?
For many student-athletes, the answer is a frustrating “no.”
While a small percent of high-profile athletes often land deals with national brands, the reality is that most NIL deals happen at the local level. Restaurants, gyms, car dealerships, real estate agencies—are ideally positioned to benefit from NIL partnerships. But in many cases, local businesses aren’t engaging. They’re hesitant, confused, or completely unaware of how NIL works.
And without proactive education and outreach from universities, local NIL markets never have a chance to develop.
For student-athletes, this is a major roadblock. They’re encouraged to explore local NIL opportunities, but when they reach out, they’re met with:
Business owners who don’t fully understand NIL
Confusion over what a fair rate is for an NIL partnership
Fear of NCAA compliance issues or legal risks
A complete lack of knowledge on how to execute a contract
The result? Businesses don’t say say “no” to NIL.
Not because they don’t want to support student-athletes. But because they simply don’t know how.
And if schools don’t step in to bridge that gap, student-athletes are left in an impossible position.
The NIL Knowledge Gap: Why Local Businesses Aren’t Engaging
National brands may dominate NIL headlines, but it’s local businesses that have the greatest potential to create widespread, sustainable NIL opportunities.
The problem? Most small business owners are unfamiliar with NIL and how it works.
From my NIL Research Poll of local businesses:
78% had little or no understanding of how NIL deals are structured
64% were unsure about what they could legally offer athletes
52% assumed NIL deals were only for “star athletes” in major sports
41% thought NIL deals required large budgets they couldn’t afford
This confusion isn’t surprising. Unlike big brands with sports experience, small businesses don’t have in-house marketing teams, legal departments, or sponsorship budgets. They’re busy running their day-to-day operations, and NIL isn’t something they’ve had to think about—until maybe a student-athlete knocks on their door or sends them a DM.
Without clear guidance, the easiest option is simply to opt out.
For local businesses, NIL feels risky rather than like an opportunity. They don’t want to break NCAA rules, overpay for an unfamiliar marketing tactic, or get stuck in a deal they don’t understand.
And that’s a huge problem for student-athletes. Because if the local business community isn’t participating, where are these athletes supposed to find deals?
This is where universities must step in.
How Universities Can “Prime the Pump” for Local NIL Success
If universities want their student-athletes to succeed in NIL, they must take an active role in educating local businesses. Schools that assume businesses will “figure it out” on their own are setting their athletes up for failure.
The schools that get this right? They’ll build a thriving NIL ecosystem—one where businesses feel confident engaging in NIL, and student-athletes have real opportunities to monetize their name, image, and likeness.
Here’s how universities can prime the pump and get local businesses ready to participate in NIL:
1. Host NIL Education Workshops for Local Businesses
Universities should proactively host NIL 101 workshops for small business owners, marketing teams, and entrepreneurs.
These sessions should cover:
What NIL is and how it benefits businesses
The legal do’s and don’ts of NIL deals
How to set fair pricing and compensation for athletes
Best practices for structuring and activating NIL deals
The Goal: Eliminate confusion, address concerns, and give businesses the confidence to engage.
2. Create NIL Business Toolkits
Universities should develop easy-to-follow NIL playbooks for local businesses that include:
NIL contract templates
Pricing guidelines based on athlete market value
Compliance checklists to ensure deals follow NCAA and state laws
Marketing best practices for maximizing NIL partnerships
The Goal: Make NIL simple and accessible for local businesses.
3. Offer an NIL Business Point of Contact
Local businesses need a clear point of contact for NIL questions.
Schools should designate a university NIL liaison (or department) that:
Answers business inquiries
Provides NIL resources
Connects businesses with interested student-athletes
The Goal: Give businesses a direct support system for NIL engagement.
The Schools That Take Action Will Win
Universities that prioritize NIL business education will build a strong, sustainable NIL ecosystem—one where:
Local businesses actively seek out student-athletes for partnerships
Athletes have a steady stream of local NIL deals to pursue
The local economy benefits from NIL-driven marketing and engagement
The schools that ignore this responsibility? They’ll watch as their student-athletes struggle to land deals, while NIL success stories pile up at more proactive institutions.
About Bill Carter
Bill has advised brands on Name, Image, Likeness for 25 years—first in pro sports, now at the college level. He was the Co-Founder of the Gen Z sports agency Fuse, which he sold in 2019. In 2020, he founded Student-Athlete Insights and consults on NIL strategy with Fortune 500 companies and 30+ DI universities. Read more about Student-Athlete Insights.