In 2012, LeBron James, business partner Maverick Carter, and financial adviser Paul Wachter invested less than $1 million in Blaze Pizza, according to a 2017 ESPN report . Blaze had opened 200 restaurants in four years, and the research firm Technomic called it the fastest-growing chain in North American food history. A familiar face can help a small brand get noticed fast.
Rick and Elise Wetzel dreamed up the make-your-own-pizza concept in 2011, with James coming on as an early investor in 2012. He and Carter had already made about $30 million from a stake in Beats by Dre, which Apple bought for $3 billion, and were looking for the next big thing. The $25 million and $35 million to $40 million figures were estimates from unnamed sources, and part of the larger figure was based on payments that had not yet been triggered.
Because of his deal with McDonald’s, but Rick Wetzel said his involvement was huge, james could not promote Blaze at first. But no study could show that Blaze’s growth was solely due to LeBron, as its menu, locations, and timing probably played a part, too. The story does show the order of events. First, James became an owner, then a paid spokesman, so he had a personal stake in the brand he was promoting. It can be a good reminder for young professionals considering side projects: owning a piece can pay out differently than a flat fee, but it can also lose value.
Wachter said he does not usually advise clients to invest in food businesses, but he liked the management team and the product.
