Faraday Future Founder Yueting Jia Files For Chapter 11 Bankruptcy, Reportedly Owes $3.6 Billion In China
ByJoseph Gibsonon October 23, 2019inArticles›Billionaire News
Yueting Jia , the founder of electric vehicle startup Faraday Future, has filed for Chapter 11 bankruptcy , a press statement on the company’s website announces. The Verge reports that the filing is an attempt to address Jia’s $3.6 billion debt to more than 100 creditors in China, much of which is as a result of the collapse of a technology conglomerate LeEco, which he founded.
The Faraday statement says that the bankruptcy filing “will not affect any of FF’s normal business operations,” and is strictly a matter pertaining to Jia’s own personal debts. Jia is reportedly only preparing to declare bankruptcy as a “backup plan,” because he intends to settle those debts by way of “a trust backed by the value of his ownership stake” in the company which will pay out in the event that the company goes public.
If at least 90 percent of the people and/or business entities that are owed money by Jia agree to this, then Jia and his wife will be considered debt free and the bankruptcy filing won’t be necessary – and, Jia says, the debts would eventually be paid with his stake in FF anyway, but with more legal oversight that he says would take more time and cost more money.
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If some kind of agreement isn’t reached in a timely fashion, Jia says in the filings that his company won’t be able to raise money and the value of his stake in it will naturally go down. If that happens, Faraday “may be forced to liquidate its remaining assets and/or initiate bankruptcy proceedings,” according to the filing.
In Jia’s back pocket, if neither plan works, is Chapter 7 bankruptcy, which would result in liquidation of all his assets and, he says, smaller payouts to those he owes money now. Unlike the current bankruptcy filing, this scenario would potentially affect Faraday Future’s business dealings.
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Future’s Next Big Career Goal: Become A Billionaire
ByJoseph Gibsonon November 30, 2022inArticles›Celebrity News
Reaching billionaire status is a goal that few entertainers reach, whether in the hip hop world or anywhere else in show business. To do so requires not just the good fortune of success but a generous proportion of business acumen as well. Which is why only a few artists have managed the feat. Now, Future says he wants to join the club in an interview with Billboard.
Future released his ninth studio album earlier this year, and the Billboard interviewer asked him what his plans are for his tenth. Instead of delving into his creative ambitions, Future put his goals into purely financial terms:
“My main focus right now is just to do something I never done. One thing I never done is make a billion dollars. I ain’t done that, so I’m focused on that.”
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That almost sounds like it could be bragging or self-promotion, but apparently Future is taking the goal of being a billionaire seriously, elaborating that he’s asked unnamed billionaires for advice on how to attain that rare status:
“Sometimes I ask questions, if I meet a billionaire, like, ‘How’d you get to where you got?’ Or, ‘How’d you accomplish everything that you have?’” he explained. “I have those conversations with different people, successful people. But the way I get mine might be different. It just helps me to understand that I’m on the right path when I talk to people that have billions.”
He continues, saying the billionaires he’s gotten advice from seem to think he might just make it into the club:
“When I hear them talk, I be like, ‘OK, I’m on the right path.’ They reassure me that I’m doing the right thing. No matter what my music career is, I want to just be able to have that friend, somebody that always has my back, [and] just priceless individuals getting me wherever I need to go. Even when it’s going crazy for me, I know I have priceless people around me. I got unconditional love.”
Of course, it’s worth pointing out that even music billionaires like Jay-Z or Rihanna didn’t reach billionaire status purely through their recording and performing careers, investing heavily in other industries in order to make it happen. So it’s unlikely that Future would become a billionaire just on the commercial strength of his next record, even if it’s a massive smash. And it’s also unlikely that Future doesn’t know that, so it’s a safe bet that if he’s serious about his billionaire dreams they involve a lot more than just making music.
Future has already seen plenty of success in the music world with a very respectable net worth of $50 million, but he’ll have to see quite a bit more to hit the billion dollar mark. Stay tuned over the next few years to see if he actually makes it.
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