“Watched Guys Like Magic Johnson And Michael Jordan”: ‘Swimming In’ $60,000,000 Of Endorsements, Shaquille O’Neal’s Fear Of Going Broke Made Him An Investor

Shaquille O’Neal is one of the few athletes, who found success both on and off the court. Known for his incredible business acumen, Shaq has built a $400,000,000 empire for himself. Reportedly raking in $60,000,000 a year through endorsements, it’s safe to say that Big Diesel is doing well. However, what was it that motivated him to become so financially well off? Well, in an interview with Vanity Fair, he revealed that he looked to players like Michael Jordan and Magic Johnson because he had a singular fear of going broke.

As part of his financial well-being, Shaq practices what he calls the 80/20 rule. He revealed that in life, he is 80% of the time humorous and 20% of the time serious. A combination that doesn’t spell well, especially when trying to make it in the business world. So, he lets other people handle 90% of his business dealings. The other 10% falls to him, which is usually around the time decisions need to be made.

Shaquille O’Neal looked to Michael Jordan and Magic Johnson in order to alleviate his fear of going broke

Being an NBA superstar has a lot of perks. Recognition and popularity aside, NBA players make a lot of money, and the same was for Shaquille O’Neal. Having been drafted by the Orlando Magic in 1992, Shaq was making $3,000,000 per year on his rookie contract. A lot of money, but he was hesitant about spending it.

As he revealed in an interview, Shaq had a great fear of going broke. Citing, that around 75% of athletes go broke within two years after they start playing, O’Neal did everything he could to avoid that outcome. Not only did he go back and get his Master’s and Doctorate in business, but he also looked to his idols for tips and tricks.

He explained that he watched guys like Michael Jordan and Magic Johnson very closely. Specifically, because of how well they had done for themselves off the court. And, what he learned was that investing is an important practice for obtaining financial success.

“‘Fear,’ Shaq told me, almost solemnly. ‘Seventy-five percent of all athletes go broke two years after they’re playing…I went back, got my master’s in business, and my doctorate. Watched guys like Magic [Johnson] and [Michael] Jordan, and I’ve watched them very, very close. People said, “You gotta invest, you gotta know what you’re investing in.”‘”

It’s been 30 years now since Shaq first came into the NBA, and he’s shown off his business acumen time and time again. From his investments in companies like Google, Apple, Lyft, and Ring to his multiple endorsements with IcyHot, Pepsi, Wheaties, and JCPenny. It’s safe to say he learned a lot from his contemporaries and has established himself as one of the wealthiest athletes in the world.

While Shaq learned a lot from Jordan, His Airness looked at Julius Erving and his business dealings

Shaquille O’Neal may have looked to Michael Jordan for inspiration on how to handle business, but MJ didn’t just find success from the get-go. In fact, even he had a player he looked up to when it came to how he wanted to handle himself in the business world. For His Airness, the person he looked to was Julius Erving.

Explaining in an interview, Jordan spoke about how he wished to make a name for himself outside of basketball. Similar to how Dr. J did on the business side of things.

It just goes to show, that not everyone gets things right on the first try. Sometimes you have to look to the people who came before you in order to figure out what works and what doesn’t. Especially, in business.