Guarding the Gate

February 24, 2012

More slowly than I would like, because it’s not a field in which I’ve had formal training or extensive practical experience, I’ve been learning about the world of startup companies and venture capitalists that discovered the sports world in the 1990s and have proliferated during the past decade.

Usually with their founder making the contact, many of these young companies have reached out to the MHSAA, hoping we will embrace and endorse or utilize their new product or service. Almost all owe their existence to the World Wide Web and to the passion of their founder, either for sports or for a concept they think solves some need of athletes, coaches or fans . . . or advertisers and sponsors.

And almost every one of these startups is looking for an exit; looking for a bigger fish to swallow them whole. And paying them handsomely for consuming the young guppy. A lucky few make what the industry calls the “Big Exit,” like a major network buying the startup for many millions of dollars.

We hear from many of these startups that the advertisers are clamoring for this or that they are promoting, but we usually see one of two things happen. Either the advertisers show so little interest that the startup fails, or what support the advertisers do provide goes to the venture capitalists and not to those providing the content.

As we screen the plethora of proposals to capitalize on high school sporting events in Michigan, we look for two kinds of assurances. First, that the suitor doesn’t have an exit strategy; and second, that the initiative will have direct benefit in terms of both money and message to those providing the content:  i.e., schools.

Most of the initiatives we screen will assist schools with neither money nor message, and some of them would actually provide a message that is contrary to the mission of educational athletics.

So we’re guarding the gate, in both directions – controlling the entrance to the high school sports market in Michigan, as well as the escape of those who are in our market for a fast buck and quick exit, big or small.

Anti-Participation Fees

August 23, 2016

Last month the Michigan High School Athletic Association released results of a survey of its member high schools regarding participation fees – a.k.a., “pay for play.” This was the 12th survey since the 2003-04 school year, making this the largest and longest record of school trends on this troublesome topic.

In spite of almost universal condemnation of the practice of charging students fees to participate in school-sponsored sports, the practice is now ingrained in the fabric of educational athletics, with more than 50 percent of reporting MHSAA member high schools indicating they require at least modest payments as a condition of playing on school-sponsored competitive sports teams.

The most recent survey of 557 reporting high schools revealed 51.5 percent charging fees, the same percentage as the year before, but down from a high of 57 percent two years ago. The percentage of schools with fees exceeded 50 percent for the first time in 2010-11.

While the MHSAA believes participation fees are counter-productive for schools and communities, the MHSAA offers a guide to “best practices” where school leaders have determined there are no better choices for providing necessary financial support for the interscholastic athletic program. Click here for this guide as well as the current and previous surveys.

Among the core values of school sports is a program that is inexpensive for students to play and for families to watch. The program should have great breadth and depth, appealing to many different students and open to all who have interest and meet high standards of eligibility and conduct.

Participation fees that discourage and limit participation are antithetical to these core values of educational athletics.