Magic Johnson, an NBA Hall of Famer who was born Earvin Johnson Jr., was inducted for the first time in 2002 for his solo career and again in 2010 for his contributions to the Dream Team. From 1979 to 1996, he had a distinguished career in the NBA that lasted seventeen years.
Johnson, who was drafted in 1979, spent 13 seasons as a point guard for the Lakers. Three NBA MVP Awards, nine NBA Finals appearances, twelve All-Star games, and ten first- and second-team All-NBA nods are among his many career accomplishments.
Johnson enjoyed his time playing in the NBA, but he also had a keen business sense. In order to learn how to run a successful business when his basketball career ended, he developed a relationship with the famed super-agent Michael Ovitz.
Ovitz initially rejected his offer because he wasn’t keen on entering the sports business. Being told ‘no’ stunned Johnson, who submitted “it was the first time Magic didn’t matter.”
He wasn’t discouraged, though, and he persisted in convincing Ovitz to assist him in developing the abilities necessary to succeed in business. Johnson was up to the challenge and gladly accepted Ovitz’s advice to read articles from Bloomberg, The Financial Times, and The Wall Street Journal and to train like an enrolled graduate student who was determined to sticking with a demanding schedule.
Years later, he has established himself as one of the most successful Black businesspeople and investors. He now owns a number of companies that fall under the purview of Magic Johnson Enterprises, which, according to its website, has an estimated $1 billion in assets spread across numerous industries.
Here are five businesses owned by Magic Johnson
1.Starbucks and Burger King investor
Johnson was an early supporter of Starbucks; it is said that between 1998 and 2010, he made investments in over 100 outlets throughout a number of cities, including Los Angeles, New York, Seattle, Chicago, Denver, Detroit, Atlanta, San Diego, Washington, D.C., and San Francisco. Starbucks locations served as the focal points of the redevelopment of the Crenshaw district in Los Angeles, the Bronzeville neighborhood in Chicago, and the Harlem neighborhood in New York City.
He accomplished this after persuading Starbucks CEO Howard Schultz to open stores in inner cities. The purpose of the move was to improve the economic prospects and sense of community in the neighborhoods they served. He then sold his stake for $100 million.
2. Movie theaters
The NBA Hall of Famer also made investments in movie theaters; in 1995, he opened his own branded theater in Baldwin Hills, California, which is south of Los Angeles, dubbed “Magic Johnson Crenshaw 15.”
He continued to be ambitious, opening five more theaters in cities including Atlanta, Houston, Cleveland, and Harlem, New York. Later, in 2004, he sold the theaters to Loews Cineplex Entertainment. According to CNBC Made It, AMC Entertainment acquired the theaters from Loews Cineplex Entertainment in 2006.
Aspire TV, which was established to disseminate and celebrate the experiences of Black culture and urban lifestyles, was also launched by him in addition to the theaters.
3. EquiTrust Life Insurance Company
Magic Johnson made a significant push into the financial services industry in 2015. He expanded his business portfolio by acquiring a life insurance company for 60%. According to USA Today, EquiTrust Life Insurance Company oversaw $14.5 billion in annuities, life insurance, and other financial products at the time he made the transaction.
He launched the first 24-Hour Fitness Magic Johnson Sports club in Oakland a year after his foray into the financial services industry. According to San Francisco Business Times, the Oakland club is “47,000 square feet in size and contains a variety of training equipment and programs, an indoor pool, Jacuzzi, steam room, sauna, and a regulation NBA-sized basketball court.”
4. Burger King investor
Johnson had a number of Burger King shops under his ownership. According to The Sports Rush, he purchased 30 Burger King shops in Atlanta, Birmingham, Dallas, and Miami in 2004 and eventually sold them for $15 million.
According to Johnson, the goal of this acquisition was to increase employment possibilities in the four locations and to advance minorities as managers.
5. Stake in other businesses
The Los Angeles Dodgers baseball team, Hero Ventures, the organization behind The Marvel Experience, the Los Angeles Sparks Women’s National Basketball Association team, and an investment in Vibe Holdings, a New York-based magazine and television company are among the other companies in which Johnson has a stake.