Loyalty vs. Leverage: When to Transfer for NIL & When to Stay Put

“[In 2023] over 17,000 student-athletes that entered the transfer portal were left with no option but to never play competitively again. They know it’s a huge risk and it’s really scary to enter.” - Cody Cater UpNext Co-Founder

Introduction:

Let’s face it – being a parent to a student-athlete today is way different than it used to be. Now, athletes are not only competing on the field or court, but they’re also trying to build their personal brand and make money off of their name, image, and likeness (NIL). And one of the biggest questions parents are dealing with is: When should your child transfer to a new school to get better NIL opportunities – and when is it better to stay put?

It’s not an easy question, and there’s a lot to consider. In this blog, let’s break down what to think about when NIL comes into play, especially for transfers, and how to make sure your athlete’s decision isn’t just about chasing the next big deal but also about setting them up for success in the long run.

The Rise of NIL-Driven Transfers

These days, transfers aren’t just about finding the right team or getting more playing time – they’re also about where your kid can make the most money. NIL deals are giving athletes the chance to profit off their social media, popularity, and image. And that means schools, especially smaller programs, are offering some serious incentives to attract athletes.

Take Darian Mensah, for example. He was a quarterback at Tulane before transferring to Duke in late 2024. Why? Well, he had the opportunity to sign a massive $8 million NIL deal for two years. That’s a life-changing amount of money for any 18-year-old! The promise of NIL can absolutely drive an athlete to make a move, even if it means leaving a team they’re happy with.

Then there’s St. John’s University, which decided to invest $4 million in NIL deals to lure athletes. The result? St. John's is having their best season in 25 years. That kind of money is what’s getting schools to compete with each other – and it’s driving athletes to rethink whether their current school is really offering the best opportunities.

But Is It Always the Right Move?

NIL deals are tempting – there’s no denying that. But here’s the thing: A transfer just for NIL money might not always be the best move. Case in point: The Cavinder twins, Haley and Hanna, who were basketball stars at Fresno State. They were already making millions from NIL deals and became huge social media influencers. But after their transfer to Miami, the NCAA started looking into whether the school was behind their NIL success, questioning if the school had offered incentives to get them to move.

Worst yet the story of Jaden Rashada's journey. Jaden Rashada’s journey is a good reminder of the risks involved. After committing to the University of Florida with a big NIL deal lined up, the deal fell apart, causing legal issues and eventually a transfer to Arizona State. His story highlights just how unpredictable and tricky it can be when NIL deals are a driving factor in a transfer.

So, what does that mean for parents? It means NIL isn’t all sunshine and rainbows. There are rules and regulations to follow, and sometimes, chasing NIL money can lead to more headaches than it’s worth

When Is a Transfer a Good Idea?

So how do you know when transferring is the right move? Here are some things to think about before making the leap:

1. Does the new school fit your child’s academic goals? You want to make sure the school has strong academic programs. Most sports with the exception of mens basketball requires athletes to stay in school for atleast 3 years, making their academic standing just as important as.

   With the transfer portal in full swing, athletes might be tempted to move around a lot, but getting into a new school is harder if your child doesn’t have good grades. So, academic fit should be top of mind.

2. How does the new school match up athletically? Sure, the school might offer a great NIL deal, but is it a good fit for your child’s athletic growth? Will they get the coaching they need, and will they have a chance to shine on the field or court? You want to make sure the school’s culture and coaching style fit with your child’s personality and goals.

3. What’s the NIL situation really like? Just because a school offers a big NIL deal doesn’t mean it’s guaranteed. Do your research and make sure the NIL offers are legitimate. GET IT IN WRITING!!! This is where it’s easy to get caught up in the hype – just because a school makes big promises doesn’t always mean they can OR WILL deliver.

4. Is this transfer about more than just NIL? If the move is purely for NIL, you might want to take a step back and ask yourself, “Is this the right move for my child’s overall development?” NIL is awesome, but it shouldn’t overshadow your child’s education, personal growth, and athletic development.

Actionable Steps for Parents

As a parent, you’re in a unique position to help guide your athlete through this decision. Here’s how you can approach it:

1. Have honest conversations: Ask your child why they want to transfer. Is it for NIL, or is it about other reasons like better playing time, a better fit with a coach, or just wanting a new environment? The more open the conversation, the better you can understand their motivations.

2. Talk to the experts: Get input from coaches, mentors, and people who know the ins and outs of NIL. They can help you see the full picture, including what’s realistic and what’s not when it comes to transferring for NIL deals.

3. Consider the full picture: Is NIL really the best opportunity, or are there other factors that matter more, like academics or team culture? Think about the long-term picture, not just the immediate benefits.

4. Know the rules: Stay informed about the rules around NIL and transfers, especially the NCAA’s policies. You don’t want to get caught in any compliance issues down the road.

Wrapping It Up

At the end of the day, transferring for NIL opportunities can seem like an exciting move, but it’s a decision that needs careful thought. Sure, the money is great, but it’s also important to consider the long-term effects on your child’s academic, athletic, and personal growth. Parents should be there to help guide their child through the noise and focus on making the best decision for their future – not just their bank account.

By asking the right questions and thinking through the decision from all angles, you can help your athlete make the choice that aligns with their goals and values. NIL might offer big rewards, but it’s not everything. Staying true to what’s important – both on and off the field – is what will truly set them up for success in the long run.