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5 Moguldom Lessons From The Billion-Dollar Rise Of Jay-Z

5 Moguldom Lessons From The Billion-Dollar Rise Of Jay-Z

Photo: Bugzy Talor/Flickr


2. Know when to separate from dysfunction and depressed equity

Jay-Z made a bold and calculated move by separating himself from the dysfunction and depressed equity in Roc-A-Fella Records. What I mean by “depressed equity” is if I am the best businessman and THE foundational artist, if I am the genius, then I can’t give away too much value to my partners — partners who were a big positive but now have become a liability for me in getting where I want to go. Jay-Z decided it was time to get more equity for his gift. If friendships were in the way of a feeling of being robbed from getting the proper gift from the talents, Jay-Z felt the friendships had to go. Jay-Z brought the “killer” in business and removed himself from emotional business decisions, specifically, the business of Jay-Z.

Only you can determine when an environment is no longer healthy for you, no longer profitable, and clearly contrary to enabling you to be great. You saw a similar move when Dr. Dre left Suge Knight and was laughed at for not taking the risks of fighting with Knight over a significant ownership stake in Death Row Records.

When you’re from the hood and around others from the hood, the sour fruit from the tree of systemic white supremacy leaves an oil that builds up over time on our wings. We can’t fly according to our potential because the oil weighs our wings down. Jay-Z removed a lot of the remnant oil so he could fly around the world and become great. For example, Beanie Sigel was acquitted on a murder charge in 2005 and Jay-Z pled guilty to stabbing producer Lance “Un” Rivera in 2001. Jay-Z’s former Roc-A-Fella equity partner, Kareem “Biggs” Burke, was busted for being part of a massive marijuana-dealing operation in 2010. By the time the police busted that up, Jay-Z had already moved on and there wasn’t any reputational damage.