Louisiana High School Athletic Association teams with NIL Club for compliant NIL experience

The Louisiana High School Athletic Association made national headlines in April 2022 when it became one of the first organizations in the Southeast to approve NIL for high school student-athletes.

Now the LHSAA is making another bold move by partnering with the NIL Club to “provide an educational and compliant NIL experience for students.”

The NIL Club has been in business since 2021 with a primary focus on the college football space. The company created business tools for athletes to launch paywalled communities where they shared “behind-the-scenes content” with subscribers and boosters. Players have received more than $10 million since launching, the company said.

Yet, the NIL Club battled to remain relevant in the college space thanks to the rise of donor-driven collectives and ever-changing legislation. Recently, the company launched its high school focus with NIL allowed by a majority of associations across the country. 

And now the NIL Club is coming to Louisiana.

“This opportunity aims to create a healthy and compliant environment for high school NIL opportunities, providing all students with the tools and support needed to maximize their NIL potential,” the LHSAA said in a news release. “It also ensures that the amateurism bylaws and student eligibility is not compromised.”

NIL Club open to all Louisiana high schoolers

According to the LHSAA, the NIL Club platform will empower every high school student in Louisiana, not just high-profile athletes.

“This inclusive approach ensures that students from various social groups, activities and sports can benefit from NIL opportunities,” the association said. “Whether they are involved in band, theater, robotics or athletics, the NIL Club app offers a platform for all students to engage their unique communities, talents and content.

“Students are rewarded based on the quality and frequency of their content, encouraging a work ethic that promotes continuous improvement and engagement. This model ensures that NIL opportunities are not concentrated in any specific area or sport but are accessible to all.”

The NIL Club said it has also established robust compliance guardrails to ensure adherence to state regulations and school policies.

“With over 7,000 students seeking to engage the platform, The NIL Club wanted to ensure that the LHSAA was aware of the process prior to students engaging with the NIL Club app in Louisiana,” the company said in the release.

“The NIL Club seeks to ensure that all activities on the platform meet the highest standards of integrity and transparency. Additionally, NIL Club provides students with educational resources in financial literacy, health, and wellness. These resources aim to equip students with essential skills for managing their finances, developing their entrepreneurial acumen, understanding NIL rights, and maintaining their physical and mental well-being.”

Other state associations raise concern

The NIL Club’s efforts with high schoolers in Georgia and Florida have been a point of contention this summer.

Leaders with the Georgia High School Association advised Peach State student-athletes to avoid signing up with the NIL Club because it could risk eligibility for the upcoming school year. According to the GHSA’s bylaws, Georgia high school athletes can profit from endorsements and advertising but not ventures that allow boosters to funnel them money.

On Thursday the GHSA Board of Trustees voted to amend their NIL bylaws to clarify their stance on NIL clubs and collectives. The amendments clarify that NIL collectives or clubs that pay athletes are against association rules and can cost high school students their eligibility.

“We want to make sure that people don’t get the idea that they’re going to raise money independently begin to raise money that could lead to undue influence and these sorts of things,” GHSA director Robin Hines said. “We want to make sure that we’re doing the right thing for the high school space. People incorrectly try to compare high school NIL with what’s going on in the NCAA. And that’s just not the way that it works.

“The students’ ability to monetize that right to publicity is still there. But it can’t be associated in any way with the team, with the school, with the logos of the association or the school’s facilities, footage and those sorts of things.

“It’s not pay for pay. Let’s just leave it at that.”

The news in Georgia came after the Florida High School Athletic Association raised concerns about the NIL Club’s activities ahead of the State Board of Education formally ratifying NIL bylaw changes on July 24. But NIL Club co-founder Mick Assaf described the partnership with the LHSAA as “exciting times.” He told On3 on Friday he’s hopeful the agreement in Louisiana showcases to other high school associations that NIL Club activities don’t compromise eligibility and amateurism bylaws.

“We’re hoping to get Florida and Louisiana in the same spot,” Assaf told On3. “We’re only a week away from Florida hopefully being ratified. I talked with the GHSA folks (Thursday). They are worried about collectives and grouped NIL Clubs in with collectives. I think as they see other states benefiting from the app, they will come around to it.”