Changes let high school athletes bank big endorsement bucks

The effort that began when former UCLA basketball star Ed O’Bannon took on the college sports establishment over NIL rules is quickly reshaping high school sports. Elite prep athletes are banking six and even seven figures before heading to college.

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Sports

November 30, 2022 - 2:02 PM

Jada Williams Photo by Instagram

SAN DIEGO (AP) — Jada Williams was a social media star and a talented point guard when she moved with her mother from a Kansas City suburb to San Diego, looking to play basketball for a high school powerhouse and parlay her online prowess into endorsement deals.

She found it all in California, which has become the trendsetter among the 19 states that allow high school athletes to profit from their name, image and likeness without affecting their eligibility to play in college.

The 17-year-old Williams is now pulling in six figures a year from six major endorsement deals. The senior at La Jolla Country Day School has signed to play at the University of Arizona.

“It’s definitely a big change for me, but it was good in every single direction,” Williams said during a break from her exhaustive practice routine, which she often documents with videos and photos posted online. It was the right decision for school and basketball, “and on top of that I was able to start capitalizing off NIL,” shorthand for name, image and likeness.

The effort that began when former UCLA basketball star Ed O’Bannon took on the college sports establishment over NIL rules is quickly reshaping high school sports. Elite prep athletes are banking six and even seven figures before heading to college. The buzz extends to social media, where the top stars have millions of followers on Instagram, TikTok and Twitter, which in turn helps boost their NIL valuation.

“It’s getting bigger by the day,” said Michael Caspino, a Newport Beach attorney who became NIL savvy while reviewing deals for his son’s high school friends and pushing back against the ones that tried to take advantage of the athletes.

Three high school stars are at the top of On3.com’s NIL valuations, which include both college and high school players. They are Bronny James, the son of Lakers star LeBron James; Arch Manning, the third generation of the first family of quarterbacks; and Mikey Williams, a basketball star at San Ysidro High in San Diego.

James tops the list with a valuation of $7.5 million. He attends Sierra Canyon High in the Los Angeles area and recently signed a deal with Nike. Mikey Williams, who has committed to Memphis and has a multiyear deal with Puma, has a valuation of $3.6 million. Manning, who attends Isidore Newman High in New Orleans and has committed to Texas, is at $3.4 million.

The On3 NIL valuation, considered the industry standard, uses performance, influence and exposure data. While the algorithm includes data from deals, it does not act as a tracker of the value of NIL deals.

Jada Williams has a half-dozen deals, including with Spalding; Move Insoles, which was co-founded by NBA star Damian Lillard; Lemon Perfect, a bottled water company in which Beyonce is a major investor; and Gym Shark.

“My social media was already kind of big so I was just doing basically NIL without getting paid because it was illegal,” she said.

After being approached by a few large companies with NIL offers, the family discovered that the deals weren’t permitted in Missouri and that California was the only state that allowed it at the time.

“I realized wow, this is insane,” said Williams’ mother, Jill McIntyre. Jada Williams moved to San Diego with her mother and an older sister ahead of her junior year.

“She had to take advantage of the opportunity where she can literally invest in her future at 17,” said McIntyre, a regional sales manager for a tech company who helps her daughter manage her business affairs.

“We’re still young, but at the same time we’re learning about how to manage money and just learn a lot of life skills that are way bigger than just NIL,” said Williams, a two-time gold medalist with the U.S. junior national team who has incorporated as Jada Williams Inc. and plans to start a foundation.

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