ok here's my idea. tournament that has three tiers of play

tier 1: high elo teams (1700+)

Tier 2: low elo teams (less then 1700)

tier 3: teams under level 30 (no smurf accounts)

the entry fee would be between $5 USD and $15 USD

the prizes would be a percentage of total amount of the entry fees collected
for the tier.

something like 1st team = 30% of tier fees collected
2nd team = 20% of tier fees collected
3rd team = 15% of tier collected

rest would go to operating costs and me

No.

You get 35% lol. thats more than 1st place.

3rd place is a little ridiculous, due to the difference of runes/masteries... that's why there is only ranked in level 30.. And yes, you get more than 1st place lol