Michael Jordan was not only one of the greatest basketball players of all time, but he was also a shrewd businessman. During his playing days, Jordan was constantly looking for ways to increase his wealth and build his brand.
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One of the most notable ways Jordan showed his business savvy was through his partnership with Nike. In 1984, Jordan signed a five-year, $500,000 deal with Nike to create a signature shoe line.
At the time, this was an unprecedented amount of money for an athlete endorsement deal. However, Jordan’s shoes quickly became a cultural phenomenon. The Air Jordan brand, in turn, became one of the most successful in the history of sports marketing.
In 2022, Jordan Brand generated a revenue of $5.1 billion, yielding him $256 million in pre-tax earnings. His advent made it possible for athletes to be compensated at a high level across sports.
In displaying his savvy as a businessman, MJ also paved the way for younger sportspersons today to eventually make money while still playing in the NCAA. However, Jordan was opposed to the idea of budding talents transitioning into professional athletes too quickly.
Michael Jordan warns young athletes not to turn pro too quickly
The world’s most famous as well as the richest sportsperson was interviewed by Cigar Aficionado a few years back. He divulged his opinion on sports agents in the interview thus:
“My feelings about a kid being able to go to the pros is that educate the kids to be able to make sound decisions for what they think they want. A lot of times, you have agents making decisions based on what they want as opposed to what the player wants.”
“Sometimes, it may not even be in the best interest of the players. It may be in the best interest of the agency. If you can moderate that to where that player or that athlete is gonna be educated about his positions, then he can make sound decisions best suited for him and his family.”
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“But because the agent is not that motivated, they’re not teaching the kids. And the kids then, by the time they’re not useful to the agent, now have nothing. No decision-making, no knowledge, a lot of times they may end up broke.”
“Especially when you’re talking about kids that are skipping college and going to the pros. Where are they gonna get that education from? The best support system they have is the agent.”
Jordan had a great agent who maximized his earning potential
David Falk and Michael Jordan had a close relationship during Jordan’s playing career. Falk was Jordan’s agent and played a significant role in helping him negotiate some of the biggest endorsement deals in sports history.
Falk and Jordan first met when Jordan was still in college, and Falk was a young lawyer working for ProServ, a sports agency.
Falk and Jordan became close friends and worked together for many years, even after Jordan retired from basketball. Falk helped Jordan launch his own brand, Jordan Brand, which became a hugely successful line of athletic footwear and clothing.
