When has Kanye West never been on the news? Hate him or love him, the man is certainly an enigma. And did you know that not so long ago he was actually in debt? Sounds like fake news, but it’s actually true.
In 2016, Kanye took to Twitter to address Facebook’s Mark Zuckerberg, begging the CEO to invest $1 billion in a host of ideas the rapper had. He really needed the money, since he was actually in debt to the tune of $53 million.
Although Zuckerberg never cut him a check, Kanye’s antics were the beginning of a fruitful friendship, and the rapper seems to have picked up a financial lesson or two from the billionaire. Debt is now a thing of the past for Kanye, and he isn’t going to find himself in a tough spot soon, if ever.
The rapper-turned-entrepreneur launched an apparel brand dubbed Yeezy which has grown into an empire worth a billion dollars. Going by reports from Forbes, the past year has been extremely good to Kanye, with the man earning more than $150 million before taxes.
A significant portion of his income is from the Yeezy partnership with Adidas, and Forbes estimates that by the end of 2019, Kanye’s brand will have hit the $1.5 billion mark in sales.
The partnership was actually a pretty smart move on Kanye West’s part, with the businessman succeeding in having Adidas agree to a 15% royalty fee on wholesale price, and that’s before including the marketing fee. The deal was a first!
For you to fully grasp how big of a deal 15% is, Nike only pays Michael Jordan 5% in royalty fees for the sale of his sneakers.
Jordan’s line has conquered the shoe world, and Nike earns at least $3 billion annually from Jordan’s alone. All the same, Forbes argue that while MJ doesn’t own the Jordan Line, Kanye is the sole owner of Yeezy.
Worth the Wait
The rapper got into bed with Adidas in 2013, after ending his partnership with Nike. And although it took him a couple of years to release a design under his new partner, it was totally worth the wait.
His first design came in 2015, and within 10 minutes of launching, the 750 Yeezy Boost was sold out. This first pair retailed at $350, and it was followed by multiple releases retailing from between $300 and $585 per pair.
In light of Kanye’s success, his wife recently took to Instagram to congratulate him. Kim Kardashian and Kanye West tied the knot in 2014, and they are now the proud parents of four children.
The model admitted that she was super proud of her hubby, and he deserved all the success in the world given the time and effort he dedicates into designing each product he releases.
She even referenced Kanye’s previous debt situation, saying that he transformed debt to millions in just four years.
What’s more, he did it without losing any percentage of his brand, and by doing everything the bet way he saw fit. Who wouldn’t want such a supportive spouse? No wonder they make quite the couple.