Tips for Creating a Sponsorship Agreement for Your Sports Team – How to Maximize Both Finances and Exposure

Summary: A good sponsorship deal is based on a business arrangement, not charity. The sponsor pays for visibility and goodwill, and the team delivers what was promised. Start by listing what the team can offer, such as a logo on the team apparel, social media presence, or signs in the arena. Then look for sponsors locally, among businesses that reach your families. Write a simple agreement with the parties, contract period, compensation, benefits, and termination, and follow up during the season. Complement the sponsorship with a team link, so that the team fund grows from what the families would buy anyway.

Introduction

New season, new costs. Cup fees, ice time, team apparel, and travel need to be paid, and every krona that does not come from a sponsor comes from the parents' pockets. A local sponsor can make a big difference, but only if the collaboration becomes long-term.

Many teams receive a one-time payment from a company that never contacts them again. The difference between that and a sponsor who renews year after year is rarely the amount. It is about how the collaboration is set up and managed. In this guide, we go through how you think about benefits, how you find and contact sponsors, what an agreement should contain, and how you follow up so that the sponsor wants to continue. It is written for team managers, parents, and sponsorship managers in hockey and bandy teams.

What the sponsor wants – and what the team can offer

A company that sponsors a sports team usually wants something in return. It can be visibility, contact with local families, a better image of the company, or the opportunity to show that they care about the community. What the team offers is called benefits, and they are the foundation of the entire agreement.

Common benefits:

• Logo on the team apparel. Match jerseys, warm-up gear, jackets, and bags are visible at every match, every cup, and every trip. It is often the most valuable benefit.
• Digital visibility. Logo on the team's page, thanks on social media, and mentions in newsletters to parents.
• On-site visibility. Signs or banners in the arena, announcements by the announcer, or a logo in the match program, if the association has one.
• Experiences. The sponsor is invited to a home match, the team's end-of-season party, or a joint activity.
• Contact with the families. An offer to the team's families, or having the sponsor present themselves at a parent meeting or an event.

Logo on the team apparel. Team apparel with the sponsor's logo provides visibility every time the team gathers, and at the same time strengthens the team spirit. With Team Apparel from StickyTape, the team's and sponsor's profile is printed with full sublimation, for example on Match Jersey Classic, Match Jersey Elite, Overdrag Pro, or Hockey Bag (JR/SR/GK). You request a free quote without a purchase requirement, and colors, logos, and size distribution do not need to be clear at the first contact. The minimum quantity is 15 pieces per model.

Only promise what you can deliver. A sponsor who has received more than promised will renew. One who has received less rarely does.

Find sponsors and make the first contact

Start locally. The best sponsors for a youth or recreational team are often companies that want to reach exactly your families: car workshops, real estate agents, construction companies, restaurants, sports stores, and local banks. Large national companies rarely have a budget for individual teams, but the local company in the community may have both interest and a personal connection.

Use the network. Parents' employers, self-employed parents in the parent group, and former players who now run businesses are often the easiest way in. Ask at the parent meeting who has contacts.

Prepare a simple sponsorship offer. One page or a short presentation is enough. It should contain:

• who you are: team, age, and number of players
• what you do: matches, cups, and activities during the season
• what reach you have: number of families, social media followers, and audience
• what benefits you offer, preferably in two or three levels
• what the money will be used for

Contact personally. A call or a visit usually works better than an email. Be clear about what you offer and what you need. A concrete goal, such as “we need new match jerseys for the season,” is easier to say yes to than “we are looking for sponsors.”

Check the association's rules. Many associations have guidelines for which sponsors can be visible on the team apparel and who can sign agreements. Check with the association before you promise anything.

Write the agreement – this should be included

A written agreement protects both the team and the sponsor, and it makes it clear what applies. It does not need to be complicated. One or two pages are usually enough. Ask the association if they have a template.

The agreement should contain:

• Parties and contact persons. The association, or the team within the association, and the sponsor, with a contact person on each side.
• Contract period. One season or longer. A multi-year agreement provides security, but a one-year agreement is easier to say yes to the first time.
• Compensation. Amount, and when and how it is paid. Sponsorship can also take the form of products or services.
• Benefits. List each point concretely, for example “the sponsor's logo is printed on the chest of the team's match jerseys” or “thanks on the team's social media at least once a month during the season”.
• Use of logo and brand. How and where the team can use the sponsor's logo, and vice versa.
• Termination and extension. What happens if one party wants to terminate the agreement, and how an extension works.

Tax and VAT. Sponsorship where the team provides benefits can affect both the association's and the sponsor's tax and VAT, and the rules depend on the association's situation. Check with the association's treasurer, or read the Swedish Tax Agency's information about sponsorship, before the agreement is written. It also makes sure the sponsor knows what applies on their part.

A common mistake is that the agreement becomes too vague, for example “the team advertises the sponsor”. Concrete benefits make it easy to deliver, easy to follow up, and easy for the sponsor to see what they get.

Follow up – and complement the sponsorship

Deliver and show it. Send a short report during the season and after the season: pictures of the team apparel with the logo, links to the posts on social media, and which cups and matches the team has played. It takes half an hour to compile but makes a big difference for whether the sponsor renews.

Thank properly. A team photo in the new jerseys, a thank-you card signed by the players, or an invitation to the end-of-season party. Personal thanks build relationships that last longer than an agreement.

Start talking about renewal in good time. Contact before the season is over, when the sponsor has seen the result and is planning next year's budget.

Complement with a team link. Sponsorship depends on a few companies. A team link spreads the revenue among many families. With a team link from StickyTape, players, parents, and hockey friends buy Team Packages with tape that they need anyway, and 20% of each sold package goes to the team fund. Team Package Season corresponds approximately to an active player's consumption during a whole season. Team Package Basic is a simpler alternative. One example of a combination is that the sponsor pays for the team apparel, the team link contributes to the cup fees, and the team fee covers the ice time. Read more about how you earn money for the team fund, and how you manage the fund in the guide on starting a team fund.

Common questions about sponsorship agreements for sports teams

1. What should a sponsorship agreement contain?

A sponsorship agreement does not need to be long, but it should be clear. Start with the parties: the association, or the team within the association, and the sponsor, with a contact person on each side. State the contract period, for example one season or two years, and what applies to renewal. State the compensation: amount, when it is paid and how, or what products or services are included if the sponsorship is in goods. The most important part is the benefits, i.e., what the team delivers. Be as concrete as possible, for example “the sponsor's logo is printed on the chest of the team's Match Jersey Classic” or “thanks on the team's social media at least once a month during the season”. Add how both parties can use each other's logo and name, what happens if someone wants to terminate the agreement early, and who has the right to sign the agreement for the association. Many associations have their own template and guidelines for sponsorship. Ask the office before you start. Also check tax and VAT with the association's treasurer before the agreement is signed, because sponsorship with benefits can affect the association's tax situation.

2. How much should we ask from a sponsor?

Base it on what you offer and what you need, not on a made-up amount. Start by calculating what the team needs during the season, for example cup fees, ice time, or new team apparel. Then value your benefits. A logo on the match jerseys that is visible at every match and cup is worth more than a mention on the team's page. A team with many matches, a large audience, or an active presence on social media can ask for more than a team with small reach. A good way is to offer two or three levels, where the main sponsor gets the most visibility and smaller sponsors get fewer benefits for a lower amount. Then the company can choose the level that suits their budget. For local youth and recreational teams, it is often about everything from a few thousand kronor to larger amounts for a main sponsor, but it varies greatly between communities, teams, and levels. Preferably link the amount to something concrete. “Your sponsorship pays for the team's new match jerseys” is easier to say yes to than an amount without context. Better to start a little lower and deliver more than promised. It gives a sponsor who renews and maybe increases next year.

3. How do you find sponsors for a sports team?

Start in your own network. Parents who run their own businesses, the parents' employers, and former players who are now entrepreneurs are often the easiest ways in, because there is already a relationship. Ask at the parent meeting who has contacts. Then look locally for companies that want to reach exactly your families, for example car workshops, real estate agents, construction companies, restaurants, sports stores, and local banks. Large national companies rarely have a budget for individual teams, but the local company in the community may have both interest and a personal connection to the sport. Prepare a simple sponsorship offer before you contact: who you are, how many players and families you have, your reach, and what benefits you offer. Contact personally, with a call or a visit, instead of a mass mailing. Be concrete about what you need. A clear goal such as new team apparel makes it easier to say yes. Also check that the association does not already have an agreement with the same company, and that the sponsor does not conflict with the association's guidelines.

4. How do we get the sponsor's logo on the team apparel?

The easiest thing is to order the team apparel with printing from the beginning. With Team Apparel from StickyTape, the team's and sponsors' profile is printed with full sublimation, i.e., printing that is part of the fabric and not a patch that is put on afterwards. There are garments for both the ice and life outside: Match Jersey Classic and Match Jersey Elite with ten collar options, Overdrag Pro, Basic Hoodie, and Hockey Bag (JR/SR/GK). Start by requesting a free quote. It does not obligate to purchase, and colors, logos, and size distribution do not need to be clear at the first contact. The minimum quantity is 15 pieces per model. Check the placement with the sponsor before you order: where the logo should sit, how big it should be, and in what color. Write it into the sponsorship agreement, so that it is clear what the sponsor gets. Also check the association's and league's rules for advertising on match jerseys, because some leagues have limitations on where advertising can be placed.

5. How does tax and VAT work with sponsorship?

It depends on the association's and sponsor's situation, and the rules can be complicated. Therefore, you should always check with the association's treasurer before the agreement is signed. Generally, when the sponsor receives benefits, such as a logo on the team apparel or visibility on social media, the sponsorship is seen as a business and not as a gift. It can affect whether the sponsor can deduct the cost and whether the association needs to report VAT on the revenue. A pure gift without benefits is treated differently. The Swedish Tax Agency has information about sponsorship and non-profit associations on its website, and that is where the current rules are. There is no advertising tax to pay, because it was abolished in 2018. Put the information about benefits and compensation clearly in the agreement. It makes it easier for both the association's treasurer and the sponsor's accounting. The team rarely needs to handle tax issues itself, because it is usually handled by the association centrally. The most important thing is that the agreement and invoices go through the association and not through a private person.

6. How long should a sponsorship agreement last?

For a first collaboration, one season is often the easiest. It is easier for a company to say yes to one year, and both parties get the chance to see how the collaboration works. If it has worked well, you can then propose a longer agreement, for example two or three years. It gives the team security to plan, and the sponsor avoids a new discussion every year. A multi-year agreement is particularly good when the sponsor's logo is printed on team apparel, because the jerseys are used for several seasons. A logo on Match Jersey Classic that is going to be visible for three years justifies a longer agreement than a mention on social media. Write in what applies to extension and termination. It can be automatic extension if no one terminates the agreement before a certain date, or that the parties meet and check in before each new season. Contact about renewal in good time before the agreement expires, preferably before the season is over, when the sponsor has seen the result and is planning next year's budget.

7. How do you follow up with a sponsor?

By showing what the sponsor has received, and by thanking. Send a short report during the season and after the season. Include pictures of the team apparel with the sponsor's logo, links to posts on social media where the sponsor has been visible, and which matches and cups the team has played. If you have numbers, for example reach on the posts or number of spectators, include them, but do not make anything up. It takes half an hour to compile but makes the sponsor visible to themselves, and that is what makes them want to continue. Thank personally. A team photo in the new jerseys, a thank-you card signed by the players, or an invitation to a home match or the end-of-season party builds a relationship. Also tell what the money has gone to. “Thanks to you, the whole team could go to the cup in Västerås” is stronger than “thank you for the support”. Start talking about renewal before the season is over. A sponsor who has felt seen and appreciated often says yes again, and maybe to a higher level.

8. Can sponsorship be combined with other revenue for the team fund?

Yes, and it is wise. Sponsorship often depends on a few companies, and if one of them terminates the agreement, there will be a hole in the budget. By combining sponsorship with other revenue, the team spreads the risks. One way is a team link from StickyTape. Players, parents and hockey friends buy Team Packages with tape and accessories via the team's own link, and 20% of each sold package goes to the team fund. It requires no purchase, no handling of goods and no collection of money, and it is based on something that the families buy anyway all season. Team Package Season corresponds approximately to an active player's consumption during a season, and Team Package Basic is a simpler alternative. One example of a combination is that the sponsor pays for the team apparel, the team link contributes to the cup fees, and the team fee covers the ice time. Read more about how you earn money for the team fund, and how you manage the fund in the guide on starting a team fund.