It’s no secret that being an elite athlete in the U.S. is a badge of honor. The brands we all associate with the ultimate in human determination and potential aren’t just the Olympic and Paralympic rings anymore; it’s the leagues, teams and sports franchises — like Nike and The North Face, the NFL and the NWSL, the Denver Nuggets and the Texas Longhorns — that capture our hearts, minds and ultimately, our time.
But most athletes do not reach the fame and fortune that we, as Americans, assume they do. When the medals are tucked away in the guest room closet and the spotlight shifts, for too many athletes, what awaits is an unforgiving reality: meager pay, scant support and a precarious financial future.
In fact, 58% of athletes across 48 countries do not consider themselves financially stable. And, the average professional athlete’s salary in the U.S. is around $50,000 per year, but this figure is heavily skewed by a few top earners. Many pro athletes make far less, especially in lesser-known sports. This financial instability can lead to havoc in their career, finances, and mental well-being.
How athletes can thrive by thinking like a startup
Professional and collegiate athletes have traditionally focused on honing their athletic skills, but in today’s dynamic sports landscape, athletes who adopt an entrepreneurial mindset and start operating like startup founders tend to fare better in the long run.
Athletes already possess the core elements of a successful startup: a unique product (their athletic talent), an audience (fans, sponsors, and social media followers), and market potential (endorsements, partnerships, or post-career ventures). By shifting to an entrepreneurial mindset, athletes can take control of their career trajectory.
The power of the personal brand: From NIL to net worth
The introduction of NIL rights in collegiate sports has presented athletes with the opportunity to monetize their name, image, and likeness in unprecedented ways. Athletes can now create content, launch businesses, and build personal brands that extend beyond their athletic careers.
For instance, Olivia Dunne became one of the highest-earning college athletes by leveraging her social media following to secure partnerships with major brands like Vuori and American Eagle. By thinking like a startup founder, athletes like Dunne can turn their sport into a platform for long-term financial success.
Building emotional and career security through entrepreneurship
Focusing on entrepreneurial ventures during their careers can provide athletes with emotional fulfillment post-retirement. Athletes like Serena Williams, who have diversified into business ventures, have not only secured their financial future but also their emotional well-being as they transition out of their sport.
Making smart business decisions
Athletes need to treat themselves as the CEO of their one-person startup and surround themselves with advisors and experts to make critical business decisions. This strategy can help athletes protect and grow their personal brand, regardless of their level of fame.
Diversifying revenue streams: Why athletes need multiple “products”
Similar to startups, athletes must diversify their income sources to ensure financial stability. Launching a podcast, merchandise line, or YouTube channel can provide athletes with additional revenue streams beyond endorsements and prize money.
The reality of the American athlete: Hustle harder
While platforms like OpenDorse and IconSource have helped athletes secure sponsorship deals, athletes still need to hustle and market themselves effectively. The constant demand for sponsorships adds pressure to athletes already balancing training and competition schedules.
A blueprint for athlete entrepreneurs: How to start building you as the startup
Athletes who take control of their personal brand and financial future can achieve stable income and long-term success. Here are five key steps for athletes to own their future:
1. Leverage social media: Athletes can use social media to engage with fans, offer exclusive content, and monetize their experiences.
2. Create a signature story: Athletes who focus on storytelling and developing an off-the-field brand are more likely to secure media and business roles post-retirement.
3. Collaborate with emerging brands and partners: Partnering with smaller brands can help athletes reach new audiences and increase their income through endorsements.
4. Maximize platforms like OpenDorse and IconSource: Athletes can strategically leverage these platforms to create meaningful partnerships and opportunities beyond traditional endorsements.
The lines between athlete, entrepreneur, and influencer are blurring, providing athletes with unprecedented opportunities to operate as their own business. By thinking like a startup founder, athletes can achieve financial stability, emotional fulfillment, and career longevity beyond their athletic careers.