A new college sports agency has rejected certain NIL deals involving donor-backed collectives. These collectives, formed to funnel money to athletes or schools, fail to meet NCAA rules requiring deals to serve a valid business purpose.

A letter sent to Division I athletic directors explained that deals solely raising funds for athletes, like selling merchandise or hosting events, do not qualify. Since July, schools can now pay players directly under the $2.8 billion House settlement.

Meanwhile, collectives tied to schools like Georgia and Alabama are shutting down. Over 1,500 deals have been approved through NIL Go, a clearinghouse launched in June.