“I’m not a businessman—I’m a business, man,” Jay-Z famously rapped more than a decade ago. It’s a lesson that NBA superstars are taking to heart as they recognize their ability to call the shots on and off the court.
The biggest stars, including LeBron James, Stephen Curry and Kevin Durant, have set up companies to manage the opportunities in media, marketing and investing that come along with being global icons.
The NBA’s top 10 earners will make an estimated $540 million this year from salaries, endorsements, appearances, royalties and media pacts.
The tally is up more than $180 million for hoops’ top earners from five years ago. James is the NBA’s highest-paid player for the fifth-straight year, with $88.7 million, including $53 million off the court. (Kobe Bryant was the last active basketball player to outearn King James.)
James, Curry and Durant are among the rare breed of players who make more off the court than on it. Endorsements provide the bulk of the off-court earnings for the trio. Shoe deals are the driving force, but these stars are increasingly pushing their personal brands into other areas.
James took control of his own marketing in 2006 when he launched what is now LRMR Ventures. A Hollywood production company, SpringHill Entertainment, followed in 2008.
It has created TV shows like The Wall and Survivor’s Remorse and is working on remakes of the films House Party and Space Jam. James expanded his business empire with his digital media firm Uninterrupted in 2015. It got a boost via a $15.8 million investment from Time Warner the same year.
James has moved past the traditional endorsement model in many cases. He eschewed a $15 million renewal of his endorsement deal with McDonald’s to double down on Blaze Pizza, where he is an investor and franchisee.
He teamed up last year with Cindy Crawford, Arnold Schwarzenegger and Lindsey Vonn to launch Ladder, a health and wellness company, selling protein powders to start. James’ net worth is an estimated $450 million.
-Kurt BadenhausenForbes Staff