LeBron James is one of the greatest players the NBA has ever seen, and his business acumen is pretty impressive, too. After all, it’s tough to negotiate a lifetime contract like he did with Nike, and the various endorsements and partnerships he’s developed over the past two decades have led to lots of success.
One company that hasn’t had much success, however? SpringHill Company, the entertainment and development company LeBron founded alongside Maverick Carter in 2020.
According to Bloomberg, SpringHill hasn’t had a profitable year yet. In 2022, the company lost $17 million. Last year, despite sales of $104 million, SpringHill lost another $28 million. And they’re on pace to lose even more this year, which means they’re at least $75 million in the red over a three-year span.
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Last month, SpringHill announced a merger with Fulwell 73, a British TV and music company that’s put on Keeping Up With The Kardashians and the GRAMMY Awards. As that happens, Springhill is expected to lay off some of its employees.
The company has produced shows and movies, including The Shop, Space Jam: A New Legacy and Starting 5. James occasionally appears in The Shop and starred in both the Space Jam remake and the new Starting 5 documentary, with plenty of big-name guests and athletes appearing alongside him.
SpringHill’s struggles aren’t unique. Many Hollywood companies, especially ones that started within the past decade, have had to compete with rising costs and even stronger competition from streaming services. With so many options, it’s tougher to obtain and retain fans. The industry strikes over the last few years haven’t helped, either.
Still, SpringHill has an optimistic outlook. The merger with Fulwell 73 is part of a shift in the company’s focus, which also includes “writing off underperforming projects to position ourselves for future growth,” Carter said.
Carter is confident SpringHill will be profitable next year. If the company’s recalibrating works out, it could be the start of something big.
Source: celebritynetworth.com
