One of the best ways to increase legal protection for athletes, influencers, or individuals leveraging their personal brand is to create a business entity for a name, image, and likeness (NIL) deal. By creating a business entity, individuals can help protect their personal assets from legal liabilities encountered through their business activities. This, along with a knowledgeable contract attorney, can further protect you and your brand from legal mishaps. With the right structure in place, you can limit financial risk associated with any contractual agreements, potential lawsuits, or disputes arising from business transactions, allowing individuals with NIL deals to manage their brand more securely.
Furthermore, forming a business entity allows for additional tax benefits. Business structures like LLCs can provide more flexible tax treatment options, allowing individuals to deduct certain expenses related to their NIL activities. This can include meetings, travel, marketing, and other NIL related events. Not only does the business add a layer of legal protection but it is also an economically sound option to reinforce their brand’s operations.
A well-structured business can strengthen an individual’s brand and image, also indicating dedication to professionalism and a well thought out management platform. If you would like to start a business entity for your NIL deal, it would be best to speak with an experienced business attorney. This level of organization can also help attract more lucrative opportunities, as companies are often more inclined to collaborate with other entities rather than individuals without established business structures.
