How former NBA star Michael Jordan made and spent his $3 billion net worth — from a new Nascar venture to his steady stream of Nike Air Jordan income and his tequila brand Cincoro

From his savvy moves in sports management to his lucrative deal with Nike that continues to bring in annual revenue, here’s how the NBA legend spends and makes money.

Meet Usher’s Sony Music Executive Girlfriend Jenn Goicoechea – and His 4 Kids

charlotte hornets

Last year, Jordan’s net worth soared to an estimated $3 billion and he was named to the Forbes 400: 400 list The richest Americans on earth. His wealth increased dramatically in August 2023 after he sold a majority stake in the Charlotte Hornets. The sale is worth nearly 17 times more than when he became majority owner in 2010.

Michael Jordan sold the Charlotte Hornets last August and joined the Forbes 400 list. Photo: @michael_jordann_/Instagram — Michael Jordan sold the Charlotte Hornets last August and made the Forbes 400 list. Photo: @michael_jordann_/Instagram

But his transformation from NBA star to sports owner was not unexpected. According to ESPN reports, in 1998, when Jordan retired for the second time, he first came up with the idea of entering the sport from a management perspective.I joined a group that purchased shares in the following companies NHL Washington Capitals and Washington Wizards, where he served as president of basketball operations.

After a brief return to the court and spreading business interests, he purchased a minority stake in the Charlotte Bobcats in 2006 (the team was renamed the Charlotte Hornets in 2014). In 2010, he purchased the team for US$175 million and became the team’s majority shareholder.

The 29 highest-grossing movie deals of all time, ranked — from Leo to Margot

nike air jordans

Michael Jordan retired three times in total, but has since turned his interest to sports management and his businesses. Photo: AP — Michael Jordan retired a total of three times, but has since turned his interests to sports management and his businesses.Photo: AP

Nike founder Phil Knight once famously said: Choosing Jordan was the best decision he ever made. As early as 1984, he signed a contract with the then NBA rookie with an annual salary of $250,000. The deal almost never happened as Jordan was considering working with other brands before joining Nike.

Forbes reported that when Air Jordan First released in 1985, sales are expected to be approximately $3 million. Just two months later, sales jumped to $70 million. Initially, Jordan signed a five-year contract and earned $500,000 per year, plus royalties.

The Air Jordans are marked by their iconic “swoosh” logos and bring in royalties for Michael Jordan every year. Photo: Handout — Air Jordan shoes, marked by the iconic “swoosh” logo, generate royalties for Michael Jordan every year.Photo: Handout

The basketball star is credited with “revolutionizing the sneaker industry,” with a 2023 report from Business Insider stating that the Jordan Brand generates $3.6 billion in annual revenue for Nike.

Details of the athlete’s deal with Nike and the royalties he received from Jordan Brand, which uses the iconic Jumpman logo, emerged late last year. The 5% royalties he earns will net him $330 million in 2023 alone, according to Fox News. Add in the $94 million he earned in 15 NBA seasons, and his fame on the court seems to have grown in direct proportion to his influence in the apparel world.

The 10 Richest Hip Hop Artists of 2023 – Net Worth Ranking

NASCAR Cup Series

While Jordan still owns a small stake in the Hornets, speculation is rife that he may be spending more time In Nazca This year. In 2020, he co-founded Cup Series team 23Xl Racing with Joe Gibbs Racing driver Denny Hamlin. According to NBC Sports, Jordan has been spending more time on the court since finalizing the deal with the Hornets.

Hamlin also told the publication that Jordan is not only more involved in marketing, but also more involved in team meetings, explaining, “Obviously, he’s always going to be a part of team sports. Sometimes, he’ll hear some things in meetings He would say, ‘I don’t like that. We need to be more self-reflective and think about what we need to do better.'” “It means a lot to our team.”

Cincoro, the tequila brand launched by Michael Jordan and four other NBA players. Photo: @cincoro/Instagram — Cincoro, the tequila brand launched by Michael Jordan and four other NBA players. Photo: @cincoro/instagram

As Jordan turns his attention to NASCAR, he’s expected to focus on his other business interests, including his Lucrative tequila brand Cincoro as well as sports and gaming companies DraftKings, Sportradar and Mythical Games.

Who are the 10 richest billionaires in Malaysia in 2024?Net worth, ranking

charity

Michael Jordan has made large donations in 2020 alone, during the height of the pandemic and in the aftermath of George Floyd’s death. Photo: AP — In 2020 alone, during the height of the pandemic and following the death of George Floyd, Michael Jordan donated significantly.Photo: AP

In 2020, Jordan donated $2 million to Feeding America’s food banks in Chicago, North Carolina and South Carolina.The money came from his income from filming the documentary series The last dance. He made the donation at the height of the Covid-19 pandemic and said it was important to “pause and say thank you,” NBC reported.

Also in 2020, the basketball player and Jordan Brand-owned Nike pledged to donate $100 million over 10 years to various organizations fighting for racial equality, social justice and educational opportunity. The movement was launched after the death of George Floyd, which sparked countless Black Lives Matter protests across the country.

Michael Jordan has a long history of philanthropy and is committed to social issues such as racial equality. Photo: AP — Michael Jordan has a long history of philanthropy, working on social issues such as racial equality.Photo: AP

“Jordan Brand belongs to and was founded by the Black community. Greater than one man, whose will and work redefined the meaning of greatness. Bigger than a basketball court, where the dreams of generations have flown. Greater than any struggle, No obstacle, no fight is bigger. The fight for equal opportunity and equal justice is ours,” the description on Nike.com reads.

Source link