College athletes have not always been allowed to make money from their athletic prowess, and it wasn’t until 2021 that the NCAA changed the rules to allow students to profit from their “name, image and likeness” – also known as NIL.

What exactly is NIL?

“NIL” stands for “name, image and likeness” – it refers to a person’s legal right to control how their image is used, including commercially. In college, student-athletes were long prohibited from entering into deals to profit from their fame, so they forfeited their NIL rights by signing with college sports teams. Three years ago, through a combination of NCAA rule changes and state law, college athletes were given back their NIL rights, and they’ve been signing sponsorship deals ever since.

Who monitors the business?

A combination of school policies and state laws determine what deals athletes can enter into. In states without oversight, the NCAA lets universities create policies for their own athletes. Some common school requirements are that athletes receive business counseling or training before entering into deals, or that they are prohibited from promoting certain products. State laws are primarily aimed at preventing NIL deals from being used as a recruiting tool. Schools are not allowed to pay students directly, but some states have unclear laws about how involved a school’s booster club can be.

Do athletes get agents or management consultants?

Yes, any athlete may hire professionals to help with marketing, legal, tax and other business matters. Many schools also provide training and resources directly to athletes, often in the form of preseason courses on NIL law and basic business practices.

Do athletes have to report deals to their school or other authority?

Most colleges have policies that require athletes to disclose the details of any potential deals with their school, and some require the school’s approval before signing. Several schools reserve the right to prohibit their athletes from promoting certain products, such as drugs and alcohol.

Why are there different regulations in each region? Will this change?

While several states now have NIL laws or have proposed bills to implement them, the content is far from uniform. As with any state legislation, local lawmakers have taken different approaches to prioritizing local businesses and incentivizing elite athletes to choose universities within their borders.

The NCAA has expressed concern that enforcing its own NIL rules without a federal law could violate antitrust laws, so while the organization is hoping Congress will pass a federal standard, there is no federal rulebook in place.

What kind of deals do athletes make?

From free sneakers and workout gear to high-quality clothing and dorm supplies, the perks for college athletes who sign NIL contracts have skyrocketed since student-athletes won the right to profit from the publicity they bring to their schools.

The biggest stars have cashed in with the help of business mentors and school-based financial advice. On August 29, On3 ranked Colorado quarterback Shedeur Sanders as the star of the current NIL market, with a valuation of a whopping $4.7 million, including a continuation of his father’s Nike deal. The site estimates that each of the 20 players at the top of the list is worth at least $1 million. And by the same calculation, even the athlete ranked 100th was worth $583,000.

For athletes who combine a strong social media presence, business acumen and on-field prowess, major brands are willing to spend money. Top athletes have signed deals with Nike, Adidas and Under Armour, while non-athletic brands like T-Mobile, Sam’s Club and Amazon are recruiting college students across the country.

Of course, the vast majority of college athletes do not reach this hurdle. However, companies – from small family businesses to international brands – do not stop them from working with aspiring students from all sports and at all kinds of universities.

Some particularly unusual deals have captivated both athletes and companies beyond their usual audience.

Dienurst Collins, an offensive lineman at Lake Erie College, landed both a deal and a second round of internet fame when he signed a contract with Popeyes – where, at age nine, he caused a stir by giving a sideways glance at a stranger who filmed him in the restaurant and then posted the video.

Decoldest Crawford used his name to make some extra money during his injury. The Louisiana Tech wide receiver partnered with a family-owned air conditioning company to film a commercial based on the pun.

Running back Bijan Robinson took a similar approach to making a name for himself when he played for Texas. He started selling Dijon mustard, marketed it under the name Bijan Mustardson, and sold it in Texas. When Robinson moved to the Atlanta Falcons, he brought the brand with him, now touting it as the team’s official Dijon mustard.

Brands don’t discriminate based on first names. Ga’Quincy “Kool-Aid” McKinstry snagged a contract with the brand that bears his nickname shortly after the ruling that allowed NIL deals.

Other companies pursued strategies for NIL that involved sponsoring several athletes at the same time.

Reese’s Peanut Butter Cups didn’t limit its NIL deals to one athlete, one team, or even one school. Instead, the candy brand partnered with a dozen students from Texas to Delaware who seem to have only two traits in common: They play football and have the last name “Reese.” Angel Reese didn’t appear on their original list, but has since become an ambassador for the brand herself.

Many deals are based less on an athlete’s individual story than on their ability to make NIL laugh – like Colorado lineman Tommy Brown, who stripped down to show off Shinesty underwear, using a series of ironic poses that emphasized his farmer’s tan. Arkansas wide receiver Trey Knox brought his dog Blue into a deal. PetSmart sponsored both, which brought a wave of online engagement to both.

Gymnast Sam Phillips, the first male athlete in Nebraska to come out as LGBTQ+, has worked with many local businesses but told ESPN he’s especially excited to partner with companies that celebrate Black and LGBTQ customers. Before moving to Illinois, he modeled everything from underwear to athletic tape, the latter of which he did for Our Color, which makes tape for darker skin tones than many brands offer.

“It’s definitely more like (small and minority-owned businesses) care about me,” Phillips said. “It’s a really personal, face-to-face relationship.”