The Music Industry
Music Industry
Where's The Money At?
Image The common statistic bought up when debating who's getting paid is the all popular album sales. While sales are indeed the driving force behind a rapper's bank account, it may not be for the reason you think.

Exotic women riding shotgun in exotic cars on an exotic island. How do rappers afford this? Most likely its not by their record contract. Compare the hype on Papoose’s $1.5 million pact with Jive to any corporate deal and the contract will dwarf in comparison. In fact, of the 20 names in Forbes Hip Hop Cash Kings, not one of them earned less than $10 million in 2008. Like any business you enter, hip hop is no different. Securing the first record deal is like an entry level job. As an artist proves himself in the industry, more lucrative opportunities in related industries will present themselves.

Clothing Lines

The preferred starting point for Hip Hop entrepreneurs, the clothing industry has proved to be nothing less than a fountain of gold for rap artists. While (inter)nationally distributed deals are reserved only for mainstream icons, it is almost a guarantee that any artist with a hit under his belt has or had ties to a clothing/sneaker line.

 

 ArtistClothing Line
 Details
Jay-ZRocawear
Launched in1995 along with Damon Dash, its business model will be one that the rest of the industry models and spins off
 S. Carter
Reebok collection launched in 2003
P. Diddy
Sean John
The man who commercialized hip hop saw a major opportunity to capitalize
Master P
P. Miller Designs
"Skurban" line offers designer clothing at affordable prices
Eminem
Shady
Targeted at suburban consumers, Shady has found new life with support from Rocawear after previous struggles
50 Cent
G-Unit (Clothing)
Teamed up with Marc Ecko to form G-Unit brand in 2003
 G-Unit (Sneakers)
Reebok collection launched on the waves of G-Unit's popularity
Nelly
Apple Bottoms
Using his appeal to women, Nelly separated himself from previous and succeeding brands by focusing on the female demographic
Missy Elliot
Respect ME
Partnered with Adidas in 2004 to create a funky, urban style clothing for girls and women
Pharell
BAPE
In 2005, helped Bathing Apes launch its first store in America
 Millionaire Boys Club
Co-owned by Pharell and BAPE's founder "Nigo". Launched in late 05 after some setbacks
 Ice Creams
Designer sneaker line launched under Reebok
Juelz Santana
Lot 29
Lot 29's front man since 2006
 RoyElz
Juelz Santana's highly anticipated (and delayed) rockstar line
Kanye West
Louis Vuitton
Sponsors and designs for luxury giant Louis Vuitton
 Pastelle
Kanye's new upscale clothing line slated for 2009 release
Game
Hurricanes
Co-owns and sponsors 310 Motoring's first shoe line which is distributed by Skechers.
Clipse
Play Cloths
Streetwear brand launched in 08.
Nas
Fila
Taking part in an increasingly popular budget tactic, Nas signed a 1 year deal to promote Fila in return for Untitled's marketing and tour support
Young Jeezy
Eight 732
The trapper's apparel line claims "8732 is the embodiment of hustlers in every walk of life"
TI
AKOO
Latest big name rapper to debut his clothing line, marketed along with his latest effort Paper Trail

As label budgets get shrink by the day due to lack of album sales, many artists are now turning to major corporations for album support. Next time a brand name is mentioned, don’t be surprised to find out a relationship between the artist and company.

 

Establishments

Another popular investment among moguls are local establishments. This includes clubs, restaurants, bars and most recently hotels

 

ArtistEstablishment
 Details
E-40
Fatburger
Co-owns franchise in Pleasant Hills, California with NFL player Chester McGlockton 
Kanye West
Fatburger
The first of ten restaurants is opened in Chicago's Orland Park area
Pharell
Fatburger
Will help Fatburger launch its first 10 locations in China
P. Diddy
Justin's Restaurant
With locations in NYC and ATL, the 5 star restaurants caters to high end customers
Jay-Z
40/40 Club
The sports bar chain has locations in NY, Atlantic City, Las Vegas, Macau and Tokyo
 J Hotels
In late 2007, Mr. Carter rounded up $66 million to puchase a strip of land in the downtown Chelsea area which will likely be developed into the first J Hotel
Jermaine Dupri
Cafe Dupri
Closed down in August 2008
   
   

Continued (Movie Roles)



 
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