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.

Tracking Transfers

August 16, 2016

The number of requests to waive rules by Michigan High School Athletic Association school administrators to the MHSAA Executive Committee during the 2015-16 school year dropped to the lowest total since the 2006-07 school year, and the percentage of approved requests exceeded 80 percent for the first time in decades.

Of 453 requests for waiver, 381 (84%) were approved during the Executive Committee’s 12 meetings from August 2015 through June 2016.

As always, requests to waive the transfer rule dominated. There were 291 requests, of which 224 were approved (77%). That’s the first time there were fewer than 300 transfer waiver requests since the 2006-07 school year.

Across the U.S., transfers persist as the most popular and prickly eligibility issue of school sports, especially in states with open enrollment/school of choice. While certainly a greater plague in more populated areas where several schools are often in close proximity, this problem knows no economic boundaries – students bounce from home to home in disadvantaged communities and wealthier parents leverage their advantages to buy homes where they desire their children to be schooled.

While still a very small percentage of all transfer students, high profile athletic-related transfers get headlines and, too often, their new teams grab trophies that elude schools which play by both the letter and the spirit of transfer rules.

Mishandling transfers is still the No. 1 cause of forfeitures in Michigan high school sports. Increasing mobility and the messiness of marital relations keep students on the move, and keep athletic administrators on their toes. Vetting all new students, and getting all information before the new student gets in a game, is a high priority of the full-time professional athletic administrator, and it’s not something many part-time ADs can do.