Peak Sports MGMT, represented by attorney Cooper Walker of Frost Echols, formally addressed concerns over recent statements made by North Carolina Central University Athletic Director Dr. Skip Perkins. Walker’s letter, sent to the NCCU Board of Trustees and the Office of the Chancellor, aims to clarify what the company views as inaccuracies in Perkins’ comments regarding the contractual relationship between NCCU and Peak Sports.
Reporting by Bonitta Best of the Charlotte Post highlights several issues that North Carolina Central faced leading into the start of the football season. Among these challenges is the institution's 10-year sponsorship deal with Peak Sports.
Peak Sports, led by President Ryan Holloway, aims to help universities generate revenue through collegiate athletics by securing sponsorships and selling tickets. North Carolina Central began its partnership with Peak Sports in 2020, assigning the company the task of managing and selling all sponsorship inventory, from signage to digital content.
The deal guaranteed NCCU a specific amount in return but has reportedly turned into a financial burden. Under the contract, Peak Sports receives a 40% cut of all corporate sponsorships, regardless of whether they are sold by Peak Sports or NCCU itself. With seven years left on the contract, this arrangement continues to strain the department's finances.
“We have met with legal counsel multiple times to try to find a way to get out of this contract. The guy is not going to let us out,” said Perkins.
In his letter to North Carolina Central's Board of Trustees secured by HBCU Pulse & ClutchPoints on Monday, Walker stated, “It has come to my client’s attention that the Athletic Director for North Carolina Central University, Dr. Skip Perkins, made several public comments that are factually inaccurate regarding the contract between NCCU and Peak Sports.”
He clarified several points:
- Revenue Distribution: Contrary to Perkins' claim that Peak Sports gets 40% of everything sold, Walker detailed the revenue structure as follows:
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- NCCU receives 100% of the revenue between $0 and $100,000 each year.
- Peak Sports receives 100% of the revenue between $100,000 and $275,000.
- Revenue above $275,000 is shared, with 60% going to NCCU and 40% to Peak Sports.
- Sponsorship Sales: Walker emphasized that Peak Sports has only received monies from sponsorship sales directly handled by the company. He stated, “NCCU has yet to sell a single sponsorship that Peak Sports received 40% revenue share on.”
- Donations: Walker pointed out that NCCU has always been able to secure funds from donations, including those from individuals and businesses, and that Peak Sports has never received any monies from donations raised by NCCU.
In addition to these clarifications, Walker noted that Peak Sports visited the NCCU campus on July 6, 2022, and met with Dr. Perkins for two hours to review the contract and answer any questions. The next correspondence from NCCU regarding the contract was in November 2022.
Walker concluded the letter with specific requests to the NCCU Board of Trustees, asking them to include in the meeting notes from the June 25th Board Meeting the inaccuracies in Dr. Perkins’ statements and the corrections provided. He also requested that Dr. Perkins share these inaccuracies verbally with the Board of Trustees in the next Board Meeting.
Despite the rift between Peak Sports and North Carolina Central, Walker details that Peak Sports wants to continue to work with North Carolina Central.
“Once again, Peak Sports has no desire to pursue any legal action towards NCCU. Peak Sports has found NCCU to be a special place with many good people, and we look forward to continuing to work side by side in raising revenue for NCCU Athletics.”
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