Apart from Jay-Z’s thought-provoking lyrics which has won him 22 Grammy awards and huge fan base who adore him across the globe, one can also learn some wealth-creation lessons from his entrepreneurship spirit and money making skills.
Jay Z, whose real name is Shawn Carter in his album 13th studio album “4:44” released in 2017 provided some great insights on the value of saving and investing, supporting your community, and passing wealth on to the next generation.
The Brooklyn-born rapper was recently named the world’s first billionaire rapper in a new Forbes cover story. According to Forbes magazine, the 49-year-old’s business empire “conservatively” totals $1bn after valuing his various ventures as well as real estate and his art collection, thus, making him one of just a handful of billionaire entertainers and the first hip-hop artist to claim such a fortune.
Three years after releasing his debut album, Jay Z launched a clothing line called ‘Rocawear’, which was later sold for $204 million to apparel company Iconix in 200billi7. However, in 2000, the rapper launched Roc Nation which, according to Forbes, is now worth an estimated $75 million.
Similarly, five years after the rapper launched Roc Nation, Jay Z submitted a bid to purchase the parent company of Scandinavian streaming service, Tidal for a little less than $60 million. The service, which he re-launched later that year, is now worth $100 million.
In his album “4:44,” he detailed some of his investments, including artwork that he purchased years ago for $1 million. Today, Forbes estimates that his art collection is worth roughly $70 million. Outside arts and music; he has investments in real estate business, liquor business, and even equities in ride- hailing platform, Uber.
According to Forbes, his stake in Uber is valued at an estimated $70 million. His real estate investments are worth an estimated $50 million just as his coognac, D’Usse, sells almost 200,000 cases annually and is worth $100 million. More so, the rapper’s investment in Armand de Brignac, a champagne company, is worth an estimated $310 million.
- Diversify your income
Jay-Z isn’t just a rapper; he’s a founder and owner of record companies. He has a clothing line and a sports bar. He’s a part owner of the NBA’s Brooklyn Nets. He has involvement in the casino and real estate industries. He owns the majority of the music streaming service, Tidal. All of this has allowed him to amass a far more than he could make from music alone
- You can’t go wrong with real estate
Jay-Z has made good money on real estate deals, but also recognizes that he may have missed out on some bargains, too. In his song, “The Story of O.J.,” he laments spending his money on frivolous items when he could have bought property in a once-troubled neighbourhood.
- 3. Spend wisely and invest
In the same album, Jay-Z advised young people to stop worrying about “living large” and instead plan for the future. He advocates buying and holding onto things that will increase in value.
- Control your image and products
Jay-Z releases his albums exclusively on Tidal, meaning that he will no longer be at the mercy of other competitors who may take a bigger cut of revenue. Jay-Z has noted that Tidal offers higher quality streaming than other services, making it more respectful of artists.
- Support your community
Jay-Z raps at length about looking out for those in the black community, noting that “Nobody wins when the family feuds.” He extends this advice to supporting black-owned businesses.
Having a joint income can improve your buying and borrowing power, and boost the overall net worth of your family. In Jay-Z’s case, he’s married to Beyoncé, a hugely popular music artist with a net worth that rivals his own.
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