When Adidas pulled out of their deal with Kanye West, that marked the end of Kanye’s “billionaire” status. I pointed out at the time that Kanye still (arguably) has a net worth of hundreds of millions of dollars, but on paper, no, of course he’s nowhere near billionaire status. If Kanye had been smart and cautious, he would have been saving his millions. Instead, he’s spent years blowing his money on a huge entourage, a Wyoming Dome, endless real estate projects, a ratf–king presidential run and… drugs, probably. All of which means that it’s not even about Kanye losing his billionaire status anymore, he could be in real financial trouble very soon.
Kanye West could be just months from financial catastrophe, Page Six is told. As the rapper is dropped by corporations and condemned by industry figures, sources say that while he has a large stash of cash, he also has vast expenses and could be in trouble soon if he doesn’t find a way to turn the tide.
Sources familiar with his finances say that West has five sources of income, and that four of them have been either completely shut down or badly compromised by his anti-Semitic outburst and support for white supremacists. We’re told that in recent years, West has made money from his massive Adidas deal, his Gap deal, his music catalogue, selling new music and concerts.
Adidas — which is the real engine for his enormous wealth — already said earlier this week that, after it ended its massive Yeezy sneaker deal with him, it would immediately halt payments. And sources say that it will be hard to fight that decision, because his threats against Jews and the incident in which he played porn to Adidas execs “mean they can play hardball,” according to an insider.
The source says that Gap, which ended its two-year-old deal with him in September, owes him some money for the YEEZYxGAP products it sold between the end of the deal and Tuesday, when it announced on that it was pulling his goods from shelves over the controversy.
As far as concerts — which should be the easiest money a star like West can make, and a dependable source of quick liquid cash — go, he was due to have a show at SoFi Stadium in LA on November 4 but that was canceled by the venue, he has no more booked and it’s unlikely venues will book him amid the scandals, according to insiders.
And with new music, we’re told West has an album in the can, but as yet there’s no deal to distribute it. His deal with longtime label Def Jam ended in 2021. An insider says that the record will still probably provide something of a lifeline, but that he’s unlikely to net anything like as much as he has for previous albums.
“He’s a many-time Grammy winner and he has such a large following that his albums go platinum instantly,” said the source, adding that it’s hard to believe that nobody would be willing to accept such a can’t-lose deal.
That leaves royalties, which net him around $5 million a year, according to Billboard. “That’s about enough to pay his gas bill for his jet,” laughed an insider. In September the music trade reported that West’s team tested the waters for selling his catalogue for around $135 million, but didn’t appear to get any strong interest.
Meanwhile, we’re told he has “a lot of cash by anyone’s standards,” but he also has a “high cash burn rate.” West bought a $57 million Malibu, Calif., home last year and gutted it. It’s in the midst of being rebuilt virtually from the ground up. We’re told that project is severely at risk because of his financial troubles. He also has a slew of other homes, but we’re told many of them are mortgaged.
Yeah, I actually agree with this analysis, surprisingly. I think Kanye does have millions saved and it would be enough for all of us to live comfortably for the rest of our lives. But if Kanye continues to live this way and spend this kind of money, his savings will be depleted in a year. I don’t feel sorry for him either – f–k this dude. I hope he’s broke as hell. I hope he has to sell all of his dumb sh-t. I hope no one wants to buy his dumb f–king dome.
Photos courtesy of Backgrid.