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USA Rugby Planning New Venture For-Profit

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USA rugbyNigel Melville the CEO of USA Rugby met with its congress through a conference call for a meeting that on Friday was termed important.

As there has been great buzz about some significant sponsorship at the corporate level going through the rumor mill in American rugby, many have thought it was that which was the topic of the conference call on Friday.

Instead, the call was to receive approval for a new entity for-profit with the non-profit entity USA Rugby being the majority owner.

The plan Melville has is to form a company, with the working name being discussed as possibly Rugby International Marketing, which would form a television channel that is web-based that runs content about rugby from both the U.S. and abroad.

The plan would have USA Rugby owning 90% of the new company and it would seek an investor for the last 10%, with that having a cost of close to $2 million.

As the company is proposed, Rugby International Marketing would have a group of leaders similar to what is within current USA Rugby, including Melville leading the way as well as member of the board of directors of USA Rugby.

The arm that is for-profit would be also involved in bidding for the Rugby World Cup Sevens for 2018, for which the non-profit USA Rugby has expressed an interest already in bidding for. It is common practice for a private standalone company, separate from an international union, to participate in hosting those types of events.

This new model that Melville wants to start to help promote rugby in the U.S. at both the amateur and professional level is modeled to some extend after the company Soccer United Marketing, which is a subsidiary of Major League Soccer and tasked with monetizing the world of soccer within the United States.

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