Funding the Future: Role of Private Investment in Grassroots Sports Introduction

Funding the Future: Role of Private Investment in Grassroots Sports

Introduction

In sporting terms, the grassroots is often understood by defining what it is not— specifically, performance-oriented or commercially driven varieties of sport. The grassroots are foundational, local-level, community-driven, and primarily recreational. It is arguably the only genuine social movement focused on sport.

It consists of a loose coalition of participants, officials, coaches, volunteer administrators, and parents who commit to the cause. These stakeholders not only play an important role in sustaining the grassroots sports movement, but they directly influence the nature of the experience.

Increasingly, governments—at various levels—intervene in grassroots sport. For example, the national governments of numerous countries develop policies, programs, and fund programs targeting grassroots sports. Local government, too, has a long history of supporting the grassroots, predominantly through the provision of various facilities as well as outreach and community sports development programs.

For some, grassroots sport is about the development of sport: the development of players, coaches, clubs, and competitions. For others, it is about the possibility of bettering society through sport by improving physical and mental health and well-being, regenerating communities, addressing crime and anti-social behaviour, enhancing education, and making a positive contribution to the economy.

However, while grassroots sport offers the potential to meet these aspirations, it is also challenged by a range of micro- and macro-level considerations. At the micro-level, challenges such as poor operational practices, unrealistic parental expectations, participant drop-out, and the pressures placed upon volunteer coaches and administrators adversely affect grassroots sports.

At the macro level, issues such as the privatization of youth sport, the media representation of sport, the expectations associated with the impact of grassroots sport, and the politics and power of the various stakeholders involved in grassroots sport, all contribute to a challenging grassroots sport environment.

Investment in grassroot and private sectors

Investing in grassroots sports is crucial for nurturing talent, fostering community, and boosting overall well-being. It involves supporting programs that provide young people with access to sports, training, and infrastructure, ultimately creating a pathway to both professional sports and a healthier, more active society.

Grassroots sports programmes form the backbone of a thriving sports ecosystem. In India, where sports have often taken a backseat to academics, these initiatives are essential for identifying and nurturing young talent while cultivating life skills such as teamwork, discipline, and resilience.

Recognising this, the National Education Policy (NEP) 2020 proposed integrating sports and physical activities into school curricula. This strategic shift aims to enhance students' cognitive abilities while promoting their physical and mental well-being.

Leander Paes stood for the establishment of regional sports academies, similar to the BCCI’s cricket model. Real estate investments in sports infrastructure, such as multi-sport venues, can also boost sports tourism and brand visibility.

“I am concerned about tennis. Our association is currently facing the Supreme Court. We should learn from what the BCCI has done for cricket and follow its model of establishing hundreds of cricket clubs in every region of India. We should also commend Khelo India, as ₹1500 crores have been allocated for it. That’s not just a sports budget; that’s specifically a Khelo India budget,” he said.

1. JSW Sports and Inspire Institute of Sport (IIS)

   JSW Sports, founded in 2012, is the sports arm of the JSW Group. It aims to maximize the potential of Indian sports and athletes, contributing to the growth of India's sporting culture. JSW Sports owns and manages teams in various sports, including football (Bengaluru FC), cricket (Delhi Capitals, Delhi Capitals Women), kabaddi (Haryana Steelers), and hockey (Soorma Hockey Club). They also operate the Inspire Institute of Sport, a high-performance training center. IIS (Inspire Institute of Sport), founded by the JSW Group, is India's first and largest privately-funded high-performance center for Olympic sports. The IIS is located in Vijayanagara, Karnataka. Its purpose is to train and support Indian athletes for Olympic and other international competitions. It also includes training facilities for other sports, like athletics, boxing, judo, wrestling, and swimming.

   Key Impact

   1. Athletes Trained: Over 150 national and international athletes across wrestling, judo, athletics, boxing.

   2. Olympic Output: IIS athletes contributed to India’s 2020 Tokyo Olympics contingent, including Neeraj Chopra (supported by JSW).

   3. Facilities: Olympic-grade infrastructure including sports science labs, recovery centres, diet and psychological support.

   4. Investment Value: ₹100 crore+ in infrastructure and recurring training support.IIS serves as a benchmark in India for how a private entity can design, fund, and operate a high-performance grassroots-to-elite development model.

   
   

2. Reliance Foundation Youth Sports (RFYS)

   Reliance Foundation Youth Sports (RFYS) is a program spearheaded by the Reliance Foundation, the non-profit and CSR arm of Reliance Industries. It focuses on promoting youth sports in India, particularly at the school and collegiate levels. Currently, eight cities are participating in this initiative, with the long-term goal of creating a sports association similar to the NCAA in the United States. In 2015, Reliance Foundation also launched Reliance Foundation Young Champs (RFYC), a program to develop football talent in India. The program is linked to the eight cities participating in the Indian Super League, and the respective teams conduct grassroots initiatives to support RFYC. RFYS has a six-member advisory board consisting of eminent personalities to guide the thought and growth of this initiative. This board consists of Nita Ambani, Sachin Tendulkar, Leander Paes, Saina Nehwal, Professor Dipak Jain and Ranbir Kapoor.

   Key Impact

   1. Schools/Colleges Engaged: 9,000+ institutions across 26 states.

   2. Sports Covered: Football, athletics, basketball, kabaddi.

   3. Athlete Participation: Over 11 million student-athletes impacted since 2016.

   4. Events Conducted: Annual inter-school and inter-college tournaments with data analytics and scouting support.

   5. RFYS plays a crucial role in democratizing access to sports and scouting talent from Tier-2 and Tier-3 towns. It integrates technology and data for performance tracking and grassroots talent mapping.

   
   

3. Olympic Gold Quest (OGQ)

   OGQ is a program of the Foundation for the Promotion of Sports and Games, a nonprofit company which sponsors Indian Olympic athletes and Paralympic/ Disabled athletes. OGQ aims to create a level playing field for Indian athletes to enable them to be competitive at the highest level of sport. Founded by Indian sporting legends Geet Sethi and Prakash Padukone, OGQ's first test was the London 2012 Olympics. 4 out of the 6 Indian medalists were supported by OGQ. OGQ aims to assist potential Olympic and Paralympic medal talent from India in achieving their dreams and winning Olympic gold medals. It does so by scouting for potential medal talent, helping to identify areas of support, and working with stakeholders to aid deserving talent. In 2010, Leander Paes and Viswanathan Anand also joined the board of directors.

   Key Impact

   1. Olympians Supported: 11 medal-winning athletes including PV Sindhu, Gagan Narang, and Lovlina Borgohain.

   2. Grassroots Link: OGQ supports junior athletes via scouting camps, early-stage scholarships, and long-term development.

   3. Funding Sources: Private donors, corporate CSR partnerships (Infosys, HDFC, IndusInd Bank).

   4. OGQ showcases the effectiveness of private philanthropy in sports, operating with transparency, focused athlete tracking, and results-based support.

      
      

4. Tata Trusts and Tata Archery Academy

   Tata Archery Academy, established in 1996 by Tata Steel, is a residential training center for archers in India, and it is a key initiative supported by the Tata Trusts. The academy's goal is to identify, groom, and train young talent in archery, including both recurve and compound archery. The Tata Trusts, a collection of charitable trusts owned by the Tata family, play a significant role in supporting various sports initiatives, including the Tata Archery Academy.

   Key Impact

   1. Olympians Trained: Deepika Kumari, Atanu Das, and other international-level archers.

   2. Selection Process: Grassroots scouting in tribal and rural regions, especially Jharkhand and Odisha.

   3. Support Provided: Residential training, education, scholarships, coaching.The Tata model is a pioneer in tribal talent development, showing how private sector efforts can unlock talent in underserved communities.

   
   

   Global comparison

   
   

   Nike and the "Made to Play" Initiative (Global)

   Made to Play is Nike’s global initiative to get kids moving, especially girls and kids from marginalized communities. Working with more than 100 global organizations to help give all kids the opportunity to access and benefit from play and sport, increase girls’ participation and train more coaches. It works through partnerships with NGOs and local communities.

   Key Impact

   1. Geographic Reach: 50+ countries.

   2. Children Engaged: Over 17 million since 2014.

   3. Focus Areas: Girls in sports, refugee youth, coaching training.

   4. Partners: Magic Bus (India), Girl Effect, Coaches Across Continents.

      Nike uses brand influence and funding to create a global ecosystem for inclusion in grassroots sports, especially emphasizing girls’ participation.

   Barça Foundation – FC Barcelona (Spain)

   The Barça Foundation, backed by FC Barcelona, was created in 1994 as a pioneering initiative in sport in Spain. Since then, both from a professional and organizational level, initiatives have been put in place that have helped to define the Foundation’s present-day mode. The mission of the foundation is to improve the quality of life of vulnerable children and youths through education, health and sport as essential tools to contribute to social inclusion and equity, with a special look at gender equality and diversity in all its forms.

   Key Impact

   1. Children Benefited: 1.5 million+ across 60 countries.

   2. Focus Areas: Vulnerable children, refugees, children with disabilities.

   3. Training Tools: Life skills through sports methodology.

   4. Partnerships: UNHCR, UNICEF, and several European grassroots organizations.

      It showcases how a club’s brand and CSR can drive systemic change, turning football into a tool for education, integration, and development.

   Right to Dream Academy (Ghana, UK, Egypt)

   The Right to Dream Academy is a football academy system with locations in Ghana, Denmark, and Egypt. It was Founded by Tom Vernon, former Manchester United scout, in Ghana in 1999 and has expanded to include academies and partnerships in Denmark (through FC Nordsjælland) and Egypt (with FC Masar). The academy focuses on developing young football talent through a combination of football training, education, and character development

   Key Impact

   1. Graduates: 180+ footballers and scholars.

   2. Scholarships: $50 million+ in academic and football scholarships globally.

   3. Expansion: Acquired Danish club FC Nordsjælland and established a women’s academy in Egypt.

   RTD is a blueprint for social enterprise in sports, combining elite talent grooming with education, character building, and long-term athlete support.

   
   

   NBA Cares & Basketball Without Borders (USA/Global)

   NBA’s grassroots outreach arm runs community and basketball development programs worldwide. Launched in 2001, Basketball Without Borders (BWB) is an elite camp model for scouting talent globally that provides elite basketball instruction and development opportunities to maximize the potential of international talent. It has staged 77 camps in 51 cities across 33 countries and six continents. The program has reached more than 4,572 campers from 142 different countries.

   Key Impact

   1. Countries Covered: 30+ countries since 2001.

   2. Players Scouted: 90+ have gone on to NBA or WNBA.

   3. Grassroots Camps: Thousands of kids trained, especially in Africa, India, and Latin America.

   4. Partnerships: FIBA, local basketball federations, private academies.

      NBA Cares/BWB exemplifies how a global league can strategically invest in youth talent and brand loyalty, while building sports ecosystems abroad.

   
   

   Challenges Ahead

   Despite rising interest and a growing sports economy, private sector investment in grassroots sports in India remains significantly lower than its potential. While government schemes like Khelo India aim to create a supportive ecosystem, the private sector still faces numerous structural, financial, and operational barriers that prevent sustained engagement in grassroots- level development.

   
   

   1. Lack of Return on Investment (ROI)

   Private investors seek measurable returns, but grassroots sports often do not yield immediate or direct financial returns.

   1. According to the Sporting Nation in the Making report by GroupM-ESP, over 80% of private sports investments go toward professional leagues (e.g., IPL, ISL), not grassroots.

   2. Less than 5% of CSR in sports flows into grassroots development (FICCI-Turf Report 2022).

   This makes grassroots investment less attractive to corporates and venture capitalists.

   2. Absence of Structured Ecosystem

   India lacks a unified grassroots development pathway from school to elite level, which leads to fragmented and inefficient programs.

   1. There is no national sports talent registry linking early-stage players to academies or federations.

   2. Disparate efforts by schools, NGOs, and private academies without coordination.

   Private entities often duplicate efforts, face scaling issues, and lack government alignment.

   3. Poor Infrastructure and Facilities

   In Tier-2 and Tier-3 cities, where talent is abundant, sports infrastructure is outdated, underfunded, or absent.

   1. The All-India Council of Sports notes that 60% of rural schools lack basic sports grounds.

   2. A KPMG India report (2022) highlighted that India needs to invest ₹25,000 crore in grassroots infrastructure by 2030 to meet demand.

   Private investors are hesitant due to high capital expenditure required for basic setup.

   4. Policy and Regulatory Uncertainty

   The sports policy landscape in India is evolving, but inconsistently. There are no clear frameworks to incentivize or protect private investment in grassroots sports.

   1. Lack of tax benefits or long-term PPP frameworks for grassroots ventures.

   2. Regulatory overlap between central, state, and local bodies leads to bureaucratic delays.

      Investors face risk exposure, especially in long-term academy models or school partnerships.

   5. Limited Data and Performance Metrics

   There is a scarcity of reliable data on athlete progress, program outcomes, and talent pools at the grassroots level.

   1. No centralized dashboard for tracking sports development metrics below state-level.

   2. Unlike developed countries, India does not maintain longitudinal performance data of young athletes.

   Without data, private investors cannot evaluate impact, scale programs, or build athlete pipelines effectively.

   6. Low Visibility and Media Attention

   Grassroots sports receive very little media coverage, making it difficult for brands to justify sponsorships or CSR tie-ins.

   1. 85% of sports media focus remains on cricket and professional leagues.

   2. Most school and inter-district tournaments are not televised or streamed.Private sponsors see limited brand leverage, reducing their incentive to fund local talent.

Conclusion

Private investment in grassroots sports holds transformative potential for India’s sporting future, but it remains underutilized due to systemic and structural challenges. The examples of JSW Sports, Reliance Foundation, OGQ, and Tata Trusts demonstrate how private entities can successfully nurture talent, build infrastructure, and positively impact local communities. Globally, initiatives like Nike’s “Made to Play,” Barça Foundation, Right to Dream Academy, and NBA’s Basketball Without Borders prove that private capital, when aligned with purpose and strategy, can fuel lasting change at the grassroots level.

However, for private investment in grassroots sports to scale sustainably in India, several critical barriers must be addressed. These include the need for a structured national development pathway, improved infrastructure, clear policy incentives, better data systems, and enhanced visibility. Without resolving these foundational issues, private entities will continue to view grassroots sports as a philanthropic effort rather than a long-term, strategic investment.

Therefore, the way forward lies in forging stronger public-private partnerships, creating enabling regulatory frameworks, and fostering a culture where grassroots sports are not just a social cause but a credible avenue for nation-building, talent discovery, and community empowerment. Only then can India unlock the full potential of its sporting talent and truly fund the future of grassroots sports.