Who does not want to become a billionaire? It is rhetoric most aptly answered by celebrities who venture into the world of business and investment after making enough from the industry. Though the trend earlier was to endorse a big brand and receive decent cash, it has now become old school and these entities often look forward seek equity in the companies they are promoting. However, the world of shares and stakes is a risky job and while Ryan Reynolds has made the most out of it, not everyone is lucky enough.

Speaking of the Deadpool mercenary, the actor is on his way to becoming a man of big fortune as he recently mounted his profit from selling the Aviation Gin brand to Diageo Plc in 2020 for $610 million through a $1.35 billion sale of Mint Mobile to T-Mobile US Inc. Even though he became wealthy through such a tumult, it is a trend both businesses and consumers alike should embrace.

The secret ingredient to ‘Ryan Reynolds Money’

Celebrities are now very selective of their choices and often work harder for a lower upfront cost if they are getting a significant stake in the return. However, as mentioned earlier, not everyone has the luck to receive the fruits they intend to bear. For instance, rapper 50 Cent invested in a headphone company, SMS Audio, but the company ultimately filed for bankruptcy. Similarly, Leonardo DiCaprio’s LoveTheWind is still struggling to gain traction in the market.

However, in the case of the Canadian actor, he is not only careful in his investments, and target audiences, but also choose companies that align with his values and interests. As many have appreciated his marketing agency, Maximum Efforts for its capability to even sell air successfully. Critics argue people like him and The Rock have ingrained this in life and do not make it look like they are in for money; as Shabelman argues (via Wealth Management), “Of course everyone wants in, but not everyone can do what Reynolds did.” Stars need to reach a specific target to get the full return, which, unfortunately, is not everyone’s cup of tea.

Meanwhile, Reynolds is now on his way to developing a film studio in Ontario, Canada. But he is not the only celebrity to succeed as an entrepreneur.

Other successful celebrity entrepreneurs…

The reason behind the emerging and significant number of celebrity entrepreneurs ought to be the wider fusion of entertainment and finance. Los Angeles has now become a hub for startups like Snap Inc. and the likes of Millie Bobby Brown, who is making fat money at such a young age, must learn to diversify their wealth. Even Kim Kardashian, who owns private equity firms, has already filed trademarks for her children’s secure future.

As depicted in the table above, while Dr. Dre and Jay Z holds the credit to make hustle popular, Ashton Kutcher gained more respect for his startup investments than for his work in modeling or acting. And the trend of Hollywood celebrities seeking equity in companies is likely to continue. While there are risks, the potential rewards are significant, and many celebrities see this as a smart financial move.

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