Let NBA Become MBABaron Davis: How a Crazy Guard on the Court Transformed into a Top Venture Capitalist
Article: Simon Baron Davis had an illustrious career on the basketball court, being selected for the All-Star Game twice and winning the steals title twice Let NBA Become MBABaron Davis: How a Crazy Guard on the Court Transformed into a Top Venture Capitalist
Article: Simon Baron Davis had an illustrious career on the basketball court, being selected for the All-Star Game twice and winning the steals title twice. After retiring in 2017, he became an NBA commentator for TNT.
However, Davis is not only a basketball player but also a low-profile top entrepreneur. During his playing career, he signed six contracts and earned a total salary of approximately $147 million. However, he didn't rely solely on his salary to make money.
Currently, Davis is the founder of several companies spanning various industries. These include the sports content platform Sports Lifestyle in Culture (SLiC) and the multimedia company UWish.
In 2020, when the Taiwan professional basketball league P. LEAGUE+ was established, CEO Chen Chien-chou publicly announced that Baron Davis, under the connection of Silicon Valley Taiwan Help, became one of the shareholders, including New Taipei Kings CEO Chen Hsin-sheng.
Davis is also one of the shareholders of the East Asia Super League (EASL). The East Super League will start a brand-new home-and-away match system in 2023, focusing on developing content and videos to expand basketball's influence in Asia. Davis represents the early investors who enjoy the benefits. What's more important is that he brings his precise vision from the basketball court into the business world.
His first investment was buying shares in Vitaminwater. In 2007, Coca-Cola announced the acquisition of Vitaminwater for $4.1 billion, and Davis received a substantial return. Following that, Davis became an angel investor for the online membership-based retailer Thrive Market in 2014. Thrive Market experienced explosive growth during the pandemic, showcasing Davis's successful investment insight once again. In 2016, Davis participated in the Series A investment of the flower delivery company Bloomthat, which far exceeded its valuation at the time.
Due to his precise vision and diligent research, Davis's main investment field leans towards early-stage investments. Besides profitability, he hopes to have a positive impact on society and support minority entrepreneurship.
For example, in 2021, he invested in the women's medical cannabis care brand House of Wise.
"I like investing in startups because these companies have the potential to become changemakers for the next generation, moving us towards a better direction," Davis said. "By investing, I become a changemaker and help businesses have a greater impact. I've experienced various situations on the court, from strong teams to underdogs, being upset or defeating strong teams. So I understand the ups and downs. Now, as a serial entrepreneur, I understand the passion, energy, determination, and risk-taking required by startups. I can discuss different scenarios and coping strategies with these entrepreneurs. Being bold and detail-oriented is my advantage."
Although Davis's talent as a player may not be considered top-notch, he has a knack for investment and accumulating wealth. At the age of 43, Davis can be called a pioneer in athlete entrepreneurship. His earnings and endorsements during his playing career were not substantial. However, he paved another path through research, investment, and entrepreneurship.
Davis is perhaps one of the few retired players who became busier after retirement, with a busy schedule and budget every season. "In a season, I study about 25-30 companies and invest in five of them," Davis said. One of the venture capital firms he owns, Business Inside The Game, primarily invests in African Americans, women, Middle Eastern or Indian descent, and the LGBTQ+ community. "I hope to empower them and use investment to amplify the ideas and willpower of these minority groups for the majority to understand, enabling cultural co-prosperity." He also founded the content brand company Black Santa, creating cross-cultural animated characters and launching exclusive content and merchandise to achieve both profitability and public welfare goals. "I want to present stories of heroes and cartoon characters to African Americans and all ethnic groups, allowing people of all skin colors to identify with, unite, and be entertained." Besides socially impactful investments, Davis has also been involved in some major commercial mergers or transactions. In 2020, when adidas intended to sell Reebok, Davis and a group of investors led by rapper Master P made a bid. In addition to mature business models, Davis is also very willing to try emerging and high-risk investments, such as the metaverse, Web3.0, cryptocurrency blockchain games, and NFTs. Black Santa released a charitable NFT during Christmas 2021, which sold out in 14 minutes. "When facing such new technologies and fields, don't be overwhelmed, but try to understand and participate. Technology is just a tool; how to use it is the key," Davis said. He believes that Web3.0 and the development of cryptocurrency are well-suited for professional athletes who already have a voice and creators who are creative but not fond of commercial aspects. "This is a brand-new opportunity that everyone can participate in." In recent years, Davis has been involved in content platforms with Web3.0 characteristics, including Overtime and Fireside. Davis believes that NBA players have their own voice and influence. With his star status, he can build his own brand and earn wealth and fame like other internet celebrities. However, he doesn't like doing that. "I prefer to help and give back. That's the true value for me," said former NBA player Brandon Jennings, who regards Davis as the godfather of Los Angeles basketball. "Besides being good at basketball, he often comes back to the streets to take care of us. He has always been giving back, especially to his hometown. You can call BD anytime, and he will answer the phone." Davis's investment enlightenment stems from wanting to break free from the exploitation of the professional basketball industry. "I felt like I was being 'robbed.' When I was a rookie, I had no concept, so I needed agents and business managers to assist me. But after my three-year contract ended, I decided to do it myself." Davis not only broke the mold by not hiring agents but also started thinking about how to invest in himself. He decided to negotiate contracts and build a team to handle commercial activities. "I'm not afraid to break with tradition. I'm very willing to try and break through the status quo."