Three Lessons We Can Learn From Lonzo Ball
Lonzo Ball recently made headlines due to firing his business manager, Alan Foster, over unaccounted amounts up to 1.5 million dollars. It’s been rumored that Lonzo Ball is looking to remove himself completely from his Big Baller Brand from which Foster is a 16% minority owner. Lonzo Ball has been in the spotlight since his UCLA days partly because of his father Lavar Ball’s public outbursts and also being the first professional basketball player to date to start his own shoe company as a rookie. Lonzo Ball has done a great job building his platform to ultimately build financial wealth for him and his family. Unfortunately, it seems that he has made some missteps with the money management side simply because of the company he keeps. It’s very unfortunate to see this situation happen but as we dig deeper into the story, it seems that this situation could have been avoided. According to Espn, Alan Foster was previously accused of money laundering through a scheme that defrauded investors.
Many people have come to Lonzo’s support for his decision in taking charge in his personal affairs. This is a great lesson for individuals to learn from Lonzo Ball in how they go about their business affairs specifically with family friends and business managers.
Here are three frugal lessons we can learn from Lonzo Ball:
As the essential face of your own brand, it’s important to make sure you have a voice of what is going on within the company. You are the CEO, so essentially you get all the blame if things go wrong. If you aren’t actively involved in the decision making and overall business development of the company’s ethos, you will have a hard time being successful and planning for bad times. Lonzo on the surface seemed to give up his responsibility and unfortunately is feeling the effects of it.
Audit Your Team
Had Lonzo Ball and his family done a simple background check, he would have been able to figure out about Alan Foster’s past. Maybe his party already knew and decided to move forward but as people sometimes always say, “you are what your record shows.” Luckily for Ball, his financial advisor who was not associated was able to give an unbiased opinion of what was going on with his accounts. It’s always important to have a eyes on the people managing your money for exactly this reason. Especially if you give them access to your accounts. Who knows how much Lonzo could have ended up losing if he didn’t have a trustworthy financial advisor on hand.
Risks and Rewards
Lonzo Ball could have done what most athletes do and just sign a standard endorsement deal. He would have been handsomely paid and been subject to feature in a couple of commercials. However, Lonzo pushed the agenda and went out on a limb to create his own company. Like anyone starting their own company, there are many risks involved but the rewards are there as well. Lonzo is able to own his story instead of following guidelines. Instead of a standard salary he has an uncapped chance of exceptional revenue. Let’s keep in mind though, by going out on his own venture he has to handle the workload of dealing with marketing and customer service and business development and innovation. This is a battle athletes looking to get into business must ask themselves before they start.