Is Michael Jordan a Billionaire?

Michael Jordan is one of the most celebrated figures and one of the greatest basketball players of all time.  His net worth is a point of interest to many, starting with his player salary, endorsements, and investments. Here is how Michael Jordan has built a successful and lucrative career to the billionaire list;

Basketball playing Salary

Jordan’s first contract as a player in 1984 paid $2.8 million for four years. The amount translates to the current $7 million after adjusting for inflation over the years.

Jordan has earned $94 million before tax over the 13 seasons with Chicago Bulls and Washington Wizards for two years. The Chicago Bulls also paid him an additional $4 million in 1993 after he sat out the season to play minor league baseball.

Nike Endorsement

Although Jordan became famous due to the NBA team, endorsements have contributed a significant margin to his wealth. He has done this for almost a decade.

Jordan’s Nike endorsement has been one of his greatest backups since 1984. He signed a deal worth $500,000 annually plus royalties, which is around $1.2 million present value. 

Nike has turned the Jordan Brand into a standalone business that managed to tap $3.1 billion in revenue for their year ending May 2019. This was a 10% increase from the previous year. According to Nike’s sales report, their sales are great despite the coronavirus pandemic.

Jordan has also been an ambassador to other brands like Coca-Cola, McDonald’s, Wheaties, and Chevrolet. He is estimated to have earned $1.7 billion before tax from the different brands.

Hornets

Jordan bought the Charlotte Bobcats in 2010 and later renamed it to Hornets. He bought Hornets for $175 million, a move that made him a billionaire. 

Hornets’ value has been skyrocketing, and when its value rose in 2014, Jordan became a billionaire officially.

Michael owns 97% equity at Hornets.  Although he sold a minority share totaling $1.5 billion, he does not intend to lose control of the club.

Investments

Despite Hornets being one of Jordan’s biggest investments, he has participated in funding rounds for Sports radar, a sports data provider in Switzerland, Muzik, a headphone brand, and a freelance tech talent based in San Francisco.

In 2018,  Jordan invested in aXiomatic, valued at $320 million. aXiomatic is a parent company of esports squad Team Liquid. 

He also joined an investor group that bought Miami Marlins for $1.2 billion in 2017, where he owns around 1%. 

Jordan also owns a car dealership and is also a partner in Cornerstone Restaurant Group, which runs five Jordan-branded restaurants.  

In 2019, Jordan earned around $34,246 an hour

According to Business Insider, the difference between Jordan’s net worth in 2019, $1.8 billion, and $2.1billion in 2020 equals $ 300 million. If you divide his annual earnings by the number of hours in a year, you get his earnings per hour which is $32,246.

Jordan’s Net worth

According to Forbes, Jordan is worth $2.1 billion, making him the world’s wealthiest former professional athlete. He joined the billionaire club in 2014 after increasing his stakeholding in  Charlotte Hornets. Jordan is ranked 1,001 on the Forbes list of billionaires.

Other Facts on Jordan’s Net Worth

  • Jordan’s Networth of $2.1 billion is greater than the GDP of Belize, which stands at $2.07 billion.
  • In less than one and a half hours, Jordan earns what a full-time median US worker would earn for a whole year which is around $48,328. According to the Bureau of Labor Statistics, he makes $ 51,369 within the time. 
  • Jordan can take approximately two days and sixteen hours to make what an average American man with a bachelor’s degree would earn his lifetime. According to the Social Security Standard, this amount is estimated to be $2.2 million.

Further reading: Is Joe Biden a Billionaire?