Why LeBron James turned down $15 Million from McDonald’s
James delves into the business of being LeBron in the latest episode of “Kneading Dough,” a series on Uninterrupted, the digital media company founded by James and his business partner Maverick Carter. The series explores the financial issues pro athletes face as told by the athletes themselves.
One of the most revealing findings from James’ sitdown with Carter is the end of his endorsement deal with McDonald’s in 2015. James kicked off a deal with the fast-food chain in 2010 and later extended the relationship in 2012 for roughly $4 million annually. James didn’t renew the option in 2015. Carter says during the interview that James walked about from $14-15 million over four years by eschewing McDonald’s.
Instead of McDonald’s, James focused his attention on marketing Blaze Pizza, the fast-food pizza chain that James was an early investor in during 2012. James, Carter and Larry Levy of Levy Restaurants secured franchise rights in Chicago and South Florida.
Carter says he approached James with the idea of putting his marketing might behind Blaze instead of McDonald’s because it fit his lifestyle better and potentially was a better business opportunity with the chance to make more than the $15 million over four years that McDonald’s offered, albeit with more risk.
Full Article: LeBron James Walked Away From $15 Million In Endorsement Money From McDonald’s
The transformation of LeBron James from pitch man to business owner has been well documented in recent months, and is all part of his mission to becoming the “$Billion Man” when he first entered the NBA. What caught our attention in this article, from a thematic investing standpoint, was part of the reason why his business manager Maverick Carter approached LeBron with the opportunity of taking a stake in Blaze Pizza: ” . . .because it fit his lifestyle better.”
Now we’re not going to debate the health benefits of pizza versus a Big Mac, but certainly Blaze Pizza’s focus on all natural ingredients and things such as gluten free crusts and such is much more of a fit with the consumers evolving tastes for such foods, and a key component of our Foods with Integrity investment theme.
