For the first time since 2008, the Final Four of the 2025 NCAA Men’s Basketball tournament was made up of all No. 1 seeds, sparking a discussion about the influence of NIL in the success of these teams.

What is NIL?

NIL stands for Name, Image and Likeness and refers to a college athlete’s ability to control and profit from their personal brand. Before the implementation of NIL, college athletes had no options for monetary compensation during their college careers. Many argued that the scholarships amateur athletes were provided as part of the recruiting process was sufficient, while others believed that the time and effort invested should be financially recognized.

Several court cases addressed this issue, leading to the passing of NIL legislation. Now, student-athletes can earn compensation from endorsements, sponsorships and other activities, such as autograph signings, all linked to their personal brand. Schools don’t directly fund NIL deals. Instead, NIL collectives—groups of donors and boosters who pool their resources—raise funds to pay athletes.

Although NIL collectives operate separately from schools, they often work in coordination with athletic departments and are supported by coaches and school officials. They have become a significant factor in recruitment, as high school recruits and transfer athletes increasingly evaluate schools based on their NIL opportunities. Some notable NIL collectives include The Wildcats’ Den (Kansas State), The Foundation (Ohio State), The Fund (Notre Dame), The Grove Collective (Ole Miss) and Spyre Sports Group (Tennessee).

The Impact of NIL on March Madness

Who are the biggest spenders in the men’s tournament, and has the emergence of NIL had an impact on team success? Let’s take a look:

• Duke had a budget of $21.4 million in 2022-23, the third largest in the country.
• Florida had a budget of $8.4 million, ranking 77th in the nation.
• The other two No. 1 seeds fell in between, with Auburn’s expenses totaling $15 million and Houston at $11.1 million.

In the women’s tournament, the biggest spenders this year were South Carolina, LSU, Texas and UConn—each spending about $10 million to $11 million and securing top seeds. USC and UCLA spent around half that amount, yet still received No. 1 seeds.

Why Are Some Schools Ahead in NIL Fundraising?

Having a strong alumni network, a dedicated development team and the right infrastructure can make all the difference, much like other areas of fundraising.

If you are involved with an NIL collective or are working on building one at your school, I’d love to hear from you! What strategies have worked well? How have donors responded and what lessons—good and bad—have you learned? Has this impacted other areas of fundraising?

NIL has clearly changed the landscape of college athletics, particularly in how teams are built and how recruitment works and it’s a new world for college sports. Schools with powerful NIL collectives seem to have an edge in attracting top talent, and it’s fascinating to see how this has translated into success, as evidenced in the tournament this year.