UBooster, a new Greenville-based fundraising website for college athletics, suffered a blow recently when Clemson University sent a cease and desist letter telling the company that the university wouldn’t accept any money from UBooster.
The site works by fans going to the site and pledging money to a school if a specific high school recruit chooses that school.
Athletes can also see how they rank with fans around the country through a “heat index” that displays how much money each athlete is bringing into the colleges. Once the athlete signs with a school, the company will route the funds to the booster club.
The company launched on Jan. 5 and Clemson sent the letter three days later.
Chip Hood, general counsel for Clemson, wrote in the letter that the company’s marketing approach “created NCAA compliance concerns” and impacted the school’s relationship with its donors.
“Your marketing approach to date has created confusion in the marketplace regarding UBooster’s affiliation with Clemson University. … As you are well aware, Clemson University does not have any relationship with UBooster,” he said.
At the launch of the company, Rob Morgan, CEO, emphasized that the pledged money went to the school and not the players and that the company conformed to NCAA rules.
Morgan could not be reached for comment for this story, but UBJ obtained a copy of his response letter to Clemson.
In the letter he said “[W]e regret Clemson’s decision and understand your statement. We have no desire to put players or schools at risk in this regard.”
Morgan wrote that the company has “extensively” researched the rules in compliance with the NCAA and “are engaging the NCAA in a discussion of our business model this week.”
As athletic costs increase, UBooster offers an “innovative option” to raise funds and directly connect with fans rather than “assessing fees on the student body,” he wrote.
UBooster has removed references to Clemson from its website, but Morgan said that he hopes the school reconsiders its decision.
