Collective Ownership Model for College Sports

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Collective Ownership Model for College Sports

Inspired by a conversation on:

Freakonomics Radio

Freakonomics Radio

648. The Merger You Never Knew You Wanted

Host: Stephen Dubner

Timestamp: 00:59:01 - 01:00:01

Listen to Episode • View Podcast • All Ideas from Freakonomics Radio

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Feather Flow

Direct Quote

"The colleges could be the leader... and there's no reason you couldn't begin to sell shares."

Market Gap

Current funding model for college sports is unsustainable and inequitable.

Many college athletic programs face financial challenges, relying heavily on revenue from football and basketball to fund other sports. This creates an inequitable system where non-revenue sports struggle for resources. The current model prioritizes high-revenue sports while often neglecting the broader athletic ecosystem. By exploring a collective ownership model, colleges can diversify funding sources, engage alumni, and create a more sustainable financial structure. This shift could empower fans and alumni to invest directly in their athletic programs, fostering a sense of community and support.

Summary

The proposed collective ownership model for college sports would allow fans and alumni to buy shares in their university's athletic programs, creating a new source of funding and engagement. By adopting this model, colleges could alleviate financial pressures on their athletic departments while also fostering a greater sense of community among supporters. This structure would not only create a new revenue stream but also allow for greater accountability and transparency in how funds are utilized. As programs continue to navigate financial challenges, this innovative approach could redefine the relationship between colleges and their supporters, ensuring a more stable future for all athletic programs.

Categorization

Business Model
Marketplace
Target Founder
Generalist
Difficulty
Medium
Time to Revenue
6-12 months
Initial Investment
$1,000 - $10,000

Potential MRR (18-24 months)

Conservative
$2,000 - $4,000 MRR
Moderate (Most Likely)
$10,000 - $20,000 MRR
Optimistic
$30,000 - $50,000 MRR

* Estimates assume solo founder/bootstrap scenario with competent execution

Scores

Clarity
8/10
Novelty
8/10
Feasibility
7/10
Market Potential
8/10
Evidence
7/10
Overall
7.6/10
Found on October 3, 2025 • Analyzed on October 3, 2023 11:59 AM

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This idea focuses on creating a direct payment system for college athletes based on their contributions to their respective programs. Following the recent legal settlements that allow for more direct compensation, schools could establish a structured payment system that ensures athletes receive fair compensation for their efforts. This system would reduce reliance on fluctuating NIL deals and provide a steady income stream for athletes, enhancing their financial security during their college years. By implementing this model, schools would not only comply with new regulations but also foster a more ethical sports environment that values athletes' contributions.