How Shark Tank judge Mark Cuban made 300 of his employees millionaires
Mark Cuban revealed that anytime he sells a business, he always keeps some of the proceeds which he can later divide it among the company’s employees.
American businessman and Shark Tank judge Mark Cuban said that he turned 300 of his employees into millionaires after he sold an audio streaming service to Yahoo for $5.7 billion in 1999. In a post on X, the investor revealed that anytime he sells a business, he always keeps some of the proceeds which he can later divide it among the company’s employees.
Read more: Elon Musk threatens Tim Cook over Apple-OpenAI deal: ‘Security violation’
“In every business I’ve sold I’ve paid out bonuses to every employee that was there more than a year,” he wrote. Reflecting on the time he sold Broadcast.com, he said he made 300 out of his 330 employees millionaires as, “I paid out 20 percent to our 80 employees. HDNet wasn't as big , but paid out about 20 percent of what I got to employees, Mavs (NBA’s Dallas Mavericks) wasn't a total exit but we paid out more than $35 million to employees.”
Software firm MicroSolutions was Mark Cuban's first company which he sold to CompuServe in 1990 for $6 million. Mark Cuban took 20 per cent of the sale price and divided it among 80 of his employees which means that he shared almost $15,000 among each of his 80 employees.
Read more: Nvidia's Jensen Huang doesn't think your job can make you happy: ‘Not true at all'
He said, “It was all about fun. That was like a dream ... I didn’t even negotiate, I was just like, ‘Yes, whatever.’”
Mark Cuban’s current net worth is $5.4 billion, as per Forbes.
Read more: Bill Gates calls this book a ‘must read’: Blueprint for a ‘humane way of living’
Earlier, Mark Cuban talked about leaving 9 to 5 jobs to start a business and said, "We hear all of these stories about all of these people who quit their jobs, started a company and made all of this money. What you don’t hear are the stories of the people who quit their jobs, started a company and failed miserably, and are now working at a job they hate. Before you quit, be prepared, know what you’re doing, save your money, have at least six months to live off, if you can. And, then, maybe you’re ready to start your business.”