There's a decent article (fluff) about whether Ray McCallum Jr. and Trey Zeigler should sign to play with their fathers at mid-majors or attend elite basketball schools (http://msn.foxsports.com/cbk/story/9849148/Will-these-two-top-recruits-p...?).
I think most fathers would agree that their children’s well being is more important than the professional impact of having them play for you. Question is, under what conditions would you encourage your kid to stay home and play for you?
How about if the scenario was flipped? If you were an elite head coach with an average mid-major level talented kid at home, would you risk offering your kid a scholarship to keep them close to you?