As more and more celebrities get involved in venture capital, there is growing demand from these elite influencers to discover companies that align with their vision.
PLUS Capital founder and managing partner Adam Lilling told Cheddar Monday that his company serves as a matchmaker that brings growing startups and celebrities together.
"We take these people who can affect change in the world, more today than most people can in a lifetime, and we try to pair them up with the world-class operators and entrepreneurs that are out there," he said.
When Lilling started the firm about seven years ago, PLUS found that celebrities could profit more from taking equity in exchange for brand endorsement rather than a cash payment.
"You were leaving a lot of money on the table because for every dollar in talent fees, there was this opportunity to make maybe $10 in enterprise value," Lilling said.
High-profile clients of PLUS include Ellen Degeneres and wife Portia de Rossi, the latter of whom called Lilling her "business brain." De Rossi will reportedly be participating in a new $60 million fund from PLUS although the firm has not confirmed or commented on this report.
Amanda Groves, a partner at PLUS Capital, says identifying a company's core mission is a significant factor when recommending it to one of the firm's clients.
"Most importantly, can our talent be additive to what that company wants to achieve," Groves said. "That authenticity matters and consumers are smarter these days than they ever have been before. And so they know when it feels transactional."
While not a PLUS Capital transaction, as if to prove Groves' point, Deadpool actor Ryan Reynolds surprised fans Monday with a surprise announcement that he purchased a stake in affordable mobile carrier Mint Mobile.
Over the weekend, 20-time Grand Slam champion Roger Federer declared his investment and partnership with shoe brand On from his native Switzerland (also not a PLUS transaction).
However, PLUS Capital represents its share of legendary athletes, as well.
Groves shared an example of how three-time Olympic gold medalist snowboarder Shaun White had offers from large beverage and fast food companies for endorsement deals. Instead, he chose to invest in brands that aligned better with his diet and lifestyle, like Beyond Meat, Sweetgreen, and Casper.
"Those [brands] were more aligned with the passions and interests of what he was doing in his day-to-day life," Groves said.
Like Beyond Meat, many of the companies in the PLUS' portfolio have gone public, and that strategy is no accident. Lilling says his firm avoids the risks associated with picking companies too early, instead opting for clear winners in a particular space.
"The opportunity for the celebrity right there, at post-market product fit, is actually gonna move the needle," Lilling said. "It's gonna be gas on the fire for a company."
A big-screen adaptation of the anime “Chainsaw Man” has topped the North American box office, beating a Springsteen biopic and “Black Phone 2.” The movie earned $17.25 million in the U.S. and Canada this weekend. “Black Phone 2” fell to second place with $13 million. Two new releases, the rom-com “Regretting You” and “Springsteen — Deliver Me From Nowhere,” earned $12.85 million and $9.1 million, respectively. “Chainsaw Man – The Movie: Reze Arc” is based on the manga series about a demon hunter. It's another win for Sony-owned Crunchyroll, which also released a “Demon Slayer” film last month that debuted to a record $70 million.
The Federal Aviation Administration says flights departing for Los Angeles International Airport were halted briefly due to a staffing shortage at a Southern California air traffic facility. The FAA issued a temporary ground stop at one of the world’s busiest airports on Sunday morning soon after U.S. Transportation Secretary Sean Duffy predicted that travelers would see more flights delayed as the nation’s air traffic controllers work without pay during the federal government shutdown. The hold on planes taking off for LAX lasted an hour and 45 minutes and didn't appear to cause continued problems. The FAA said staffing shortages also delayed planes headed to Washington, Chicago and Newark, New Jersey on Sunday.
Boeing workers at three Midwest plants where military aircraft and weapons are developed have voted to reject the company’s latest contract offer and to continue a strike that started almost three months ago. The strike by about 3,200 machinists at the plants in the Missouri cities of St. Louis and St. Charles, and in Mascoutah, Illinois, is smaller in scale than a walkout last year by 33,000 Boeing workers who assemble commercial jetliners. The president of the International Association of Machinists says Sunday's outcome shows Boeing hasn't adequately addressed wages and retirement benefits. Boeing says Sunday's vote was close with 51% of union members opposing the revised offer.
The stunning indictment that led to the arrest of more than 30 people — including Miami Heat guard Terry Rozier and other NBA figures — has drawn new scrutiny of the booming business of sports betting in the U.S. The multibillion-dollar industry has made it easy for sports fans — and even some players — to wager on everything from the outcome of games to that of a single play with just a few taps of a cellphone. But regulating the rapidly-growing industry has proven to be a challenge. Professional sports leagues’ own role in promoting gambling has also raised eyebrows.
Tesla, the car company run by Elon Musk, reported Wednesday that it sold more vehicles in the past three months after boycotts hit hard earlier this year, but profits still fell sharply. Third-quarter earnings fell to $1.4 billion, from $2.2 billion a year earlier. Excluding charges, per share profit of 50 cents came in below analysts' estimate. Tesla shares fell 3.5% in after-hours trading. Musk said the company's robotaxi service, which is available in Austin, Texas, and San Francisco, will roll out to as many as 10 other metro areas by the end of the year.
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