Last year, a promising high school athlete signed what looked like a harmless NIL deal. A local business offered free gear in exchange for a few social media posts. What the family didn’t realize was that the posts included photos of the athlete in school gear, something their state association prohibited. Within weeks, the athlete was ruled ineligible. Recruiting interest stopped. Years of hard work were gone in a single mistake.
That’s the danger of NIL. It sounds exciting, but it can ruin a career before it ever begins.
High School NIL – Where Families Slip Up
The rules for high school NIL aren’t uniform. They vary from state to state, and they’re often complicated and confusing.
•State Rules Are a Minefield: Some states allow NIL, others don’t. And in most cases, uniforms, school logos, and facilities are strictly off-limits. One photo, one post, one mistake—and eligibility is gone.
•No Pay-for-Play: NIL can’t be used as a way to “pay” someone to attend or play for a certain school. If a deal even looks suspicious, it’s a violation.
•Coaches Can’t Help You: High school coaches aren’t allowed to negotiate NIL deals. Families are completely responsible for protecting themselves.
College NIL – The Risks Multiply
With the House v. NCAA settlement (2025), schools can now directly pay athletes through revenue sharing. That doesn’t make NIL safer—it makes it more complicated.
•More Money = More Scrutiny: Every NIL deal is now examined to prove “fair market value.” Shady deals stick out, and athletes can lose eligibility fast.
•Mandatory Reporting: College athletes must disclose NIL deals to both their school and the new NIL clearinghouse. Miss a disclosure and you could lose everything.
•Collectives Can Be Dangerous: Collectives may create opportunities, but they can also cross lines. If a deal doesn’t check out, the athlete—not the collective—pays the price.
The Hard Truth
NIL isn’t just about opportunity. It’s a trap for athletes and families who don’t know the rules. A single mistake can erase recruiting momentum, damage a reputation, and close the door on playing at the next level.
•Protect Eligibility Above All: If you aren’t 100% sure it’s safe, don’t sign.
•Recruiting Still Comes First: Coaches recruit grades, talent, and character, not NIL deals. NIL won’t matter if you can’t play.
Why Families Must Act Early
Here’s the bigger risk: too many athletes chase NIL before they even start their recruiting process. If they make a mistake, they have no video, no scouting, and no advocate to keep them on college coaches’ radars.
That’s why it’s critical to get evaluated early. Having video, scouting reports, and an advocate already in place means your athlete has a safety net whether an injury happens, a rule gets broken, or an NIL opportunity backfires.
Bottom line: NIL is not a shortcut, it’s a minefield. Families who survive it are the ones who protect eligibility, get evaluated early, and keep recruiting the top priority.
If you’re unsure how NIL could impact your athlete’s path, connect with an NSR scout today at the button below. Don’t let NIL mistakes erase the opportunity your athlete has worked years to earn.
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