How sports activities agent Wealthy Paul is rewriting the playbook | 60 Minutes

That is an up to date model of a narrative first printed on Oct. 8, 2023. The unique video may be considered right here. 

This week, the NBA Finals tip off, and maybe nobody might be watching extra carefully than Wealthy Paul, one of many premier brokers in skilled sports activities. He counts LeBron James as an in depth good friend and consumer. The company he based – Klutch Sports activities Group – made offers value nearly $900 million this previous summer time for his NBA shoppers alone. As we first reported in October, Paul honed his dealmaking instincts as a child, navigating what he referred to as the hostile streets of his Cleveland neighborhood. In the present day, at 43, he is rewriting the playbook for representing professional athletes. Wealthy Paul advised us he was fortunate, and if you hear his story, we expect you may perceive why.

Invoice Whitaker: So did you used to return to video games if you had been youthful?

Wealthy Paul: I went one time once I needed to sit all the way in which up on the prime, and you actually could not– could not see the particular person.

Invoice Whitaker: And now– 

Wealthy Paul: Now it is, now–

Invoice Whitaker: –you are sittin’ on the ground.

We joined Wealthy Paul courtside at a Cleveland Cavaliers sport final season. He appeared to know everybody…

Wealthy Paul: What up canine? What’s good?

And it appeared everybody needed to know him.

Fan: Thanks a lot, I apprec-, hey, you are my idol bro.

Wealthy Paul: Thanks brother. I recognize it.

In 2022, Paul obtained Cleveland star Darius Garland a $200 million deal, the richest in franchise historical past. Garland is one in every of greater than 500 athletes on Paul’s roster.

Invoice Whitaker: Who’re a number of the huge names that we’d all acknowledge?

Wealthy Paul: Which sport would you like? I imply we simply had Jalen Hurts and– and– and DeVonta Smith play within the Tremendous Bowl for the Philadelphia Eagles. And you then obtained the Anthony Davises and the Draymond Greens and clearly LeBron.

Invoice Whitaker: Do- have you learnt the entire worth of the contracts you have negotiated?

Wealthy Paul: I might say it is near $3 billion, I feel?

It is greater than $4 billion, but it surely’s arduous to maintain observe if you’re at all times on the go.

Wealthy Paul: Showtime child!

Earlier than the NBA draft in New York Metropolis, we watched him work the telephones…

Wealthy Paul: You already know, it is draft day, man. Something can occur.

Work the room…

Wealthy Paul: Hey, Coach Self.

Invoice Self: How’re you doin’, man?

Wealthy Paul: How’re you doin’, man? You all proper—

Coach: Good seein’ you.

And work the angles to maneuver shoppers like Duke heart Dereck Energetic II up the draft board.

Wealthy Paul: You prepared?

Dereck Energetic: Sure sir.

In faculty, Energetic was identified for his protection. However Paul had him work on his three level shot and, earlier than the draft, invited groups to see. Energetic shot as much as the twelfth decide, about 10 spots greater than first projected. It may not appear to be it, however Wealthy Paul is a towering determine within the NBA.

Wealthy Paul: I’ve at all times been the smallest man within the room prepared to take the most important swing.

A few of his greatest swings have been for his greatest consumer, LeBron James. Paul negotiated his jumps from Miami, to Cleveland, to L.A., offers that netted James $400 million and set him as much as win two of his 4 championships. He advised us he works to offer gamers leverage. 

Invoice Whitaker: Some individuals say that you’re destroying the participant loyalty to the groups and the followers?

Wealthy Paul: Participant loyalty to what? If I might be traded in the course of the night time to a different workforce what I needs to be is educating myself to the place if this is– is not goin’ the way in which I believed it was imagined to go, I can change up, proper? We’re not confined.

Invoice Whitaker: Have choices.

Wealthy Paul: I’ve op-. What is the sense of havin’ cash with no choices?

That is apparently how celebrity Anthony Davis felt in 2018. The New Orleans heart had a $127 million contract however was bored with shedding. So he fired his agent and employed Wealthy Paul. Paul flouted NBA guidelines by publicly demanding a commerce – incomes the wrath of followers and a $50,000 superb for Davis. The drama landed Paul on the duvet of “Sports activities Illustrated,” which referred to as him probably the most “polarizing determine within the NBA.”

Wealthy Paul: When it was somebody that did not appear to be me, it was genius, it was why you get an influence agent however when it is me, I am destroying the league? I imply, these issues are absurd.

He obtained Davis what he needed – a championship ring and a deal now value $270 million. 

Wealthy Paul: There is a saying that goes, “For those who do not obtained no haters, you ain’t poppin’.” (laughs)

Invoice Whitaker: So that you should be popping?

Wealthy Paul: I feel I am popping a bit bit, ?

He was popping rather a lot at his annual All-Star Sport occasion, this one held in Salt Lake Metropolis.

Wealthy Paul: What’s up, canine?

We dropped in and noticed giants of the courtroom mingling with rappers, workforce house owners and titans of trade over cocktails and canapes. Wealthy Paul had a full plate of enterprise choices, one from the president of Gatorade.

Mike Del Pozzo: I wish to be your first name.

Wealthy Paul: Finished

Whereas we had been chatting with him…

Wealthy Paul: Day Day!

Golden State Warrior Draymond Inexperienced minimize in. The four-time NBA champion cycled by two different brokers earlier than signing up with Wealthy Paul, who landed him a $100 million contract over the summer time. 

Draymond Inexperienced: So then, you find yourself a younger Black man who’s made more cash than you may ever think about, however you do not know how one can stay with it, you do not know what to do with it.

Invoice Whitaker: And what does he do?

Draymond Inexperienced: Most brokers deal with athletes as if the athlete works for them. However there is a multi-billion-dollar enterprise happening round most athletes that they do not perceive. However they do not have a Wealthy Paul to show them. And that is what’s particular about him.

Paul’s unbelievable journey – the topic of his new memoir out final fall – began on the east aspect of Cleveland within the early Nineteen Eighties, simply as crack cocaine hit the streets. When he was about 4, he realized his mom Minerva was hooked on crack. His father, “Huge Wealthy,” acknowledged his son’s intelligence and stored him shut, although they lived aside. He owned the neighborhood comfort retailer.

Invoice Whitaker: So your dad’s retailer was good in right here?

Wealthy Paul: Yeah. And this was– this was my world.

This now empty nook was a hotbed of exercise – authorized and unlawful.

Wealthy Paul: There was a shootout proper right here on this nook.

Huge Wealthy taught his son to at all times suppose two steps forward. He scraped collectively the cash to ship him to a Catholic highschool away from the neighborhood. Nonetheless, there was no avoiding the streets.

Wealthy Paul: You do not know what you are in. 

Invoice Whitaker: That is your– that is your norm?

Wealthy Paul: That is my norm. Sardines out the can that was right this moment’s model of tuna tartare on the Waldorf rooftop, ? (laughs) This was my schooling, although. This was my Harvard, my Michigan, was my Morehouse, and the identical issues I realized on this nook, I take it to the boardroom ‘trigger the one factor this teaches you that I do not suppose you may study from these establishments is individuals, characters. And on these streets, it is no higher strategy to study character as a result of they’re coming with every part.

His dad taught him one other ability – a strategy to generate income if all else fails – with a pair of cube. Paul and his greatest good friend Edward Givens had been regulars at an open-air on line casino within the park.

Edward Givens: Fifty individuals crowded round this little space. And the power was excessive. It was, it was an enviornment.

And Wealthy Paul was a pure. 

Invoice Whitaker: And the way a lot would you earn? 

Wealthy Paul: I imply, a sluggish day was $1,000. 

Invoice Whitaker: And a not-slow day?

Wealthy Paul: Ah- , $4 or 5.

Invoice Whitaker: $4,000 or $5,000.

Wealthy Paul: Yeah.

Edward Givens: Simple.

Wealthy Paul: Simple.

Invoice Whitaker: Whenever you had been 14, 15, 16?

Wealthy Paul: Oh, yeah.

Invoice Whitaker: What did you study from this expertise?

Wealthy Paul: You acquire a resilience right here. We gained majority of the time. However you additionally needed to learn to lose. 

He suffered his greatest loss when he was 19. His father died from most cancers, and Paul went all in on the streets, promoting marijuana and crack cocaine.

Invoice Whitaker: That is the very drug that your mom was hooked on.

Wealthy Paul: The absence of my dad allowed me to—to take that step, as a result of I woulda by no means achieved that had he been round. I had an excessive amount of respect for him. And it is not somethin’ that I might sit right here and– and glorify. 

Invoice Whitaker: It nearly sounds such as you had been a full-time hustler.

Wealthy Paul: Oh yeah. However Jeff Bezos is a hustler. Assume he is not? Phil Knight was the last word hustler. The distinction is they may go together with their plan and their enterprise concept and get somebody to consider in them. It did not matter what concept I had. There isn’t any pathway to get there.

He discovered one by a stroke of luck. On the Akron-Canton Airport in 2001, Paul was carrying a throwback jersey – like this one – that caught the attention of one other traveler: highschool hoops sensation Lebron James.

Invoice Whitaker: What did you see in him?

LeBron James: It started with him, , wearin’ the throwback jersey that I, , liked. However as we obtained to talkin’ about sports activities, we began evolvin’ and even talkin’ increasingly nearly life, and about our upbringing’, about our– our mothers, and– and– and our communities, and stuff of that nature. And it simply kinda struck. It simply struck a chord.

When James entered the NBA, he employed Wealthy Paul as a right-hand man. Paul went on to work for LeBron’s agent and watched, listened and realized. 

Invoice Whitaker: I perceive that you’d go into conferences with the likes of Warren Buffett?

Wealthy Paul: Being in these rooms, it is a lot better to– to hear than to speak. For those who hear, you may really study one thing. And also you begin to kinda, , work your approach by yourself.

After simply 4 years, he struck out on his personal and launched Klutch Sports activities Group in 2012. LeBron James went with him.

Invoice Whitaker: Whenever you first began this, you had been underestimated?

Wealthy Paul: Not solely was I underestimated, I used to be additionally not needed. I did not appear to be the success in our trade, particularly from a spot of choice making. And I needed to disrupt the trade. I needed to be impactful, however I needed to return from a spot of objective.

In 2013, along with his first negotiation as agent – for Phoenix Suns guard Eric Eledsoe – he proved the naysayers flawed. He mentioned the Suns had supplied $28 million. 

Wealthy Paul: After which $48 million.

Invoice Whitaker: And also you turned it down?

Wealthy Paul: Yeah.

Invoice Whitaker: What was on the road?

Wealthy Paul: My profession. Everybody was calling and saying, “He is loopy. He would not know what he is doing. He is inexperienced.”

Invoice Whitaker: It seems like you might be actually comfy rolling the cube.

Wealthy Paul: I used to be born a cube curler. (laughs)

His gamble paid off. After hanging robust for a yr, Klutch obtained Bledsoe a $70 million deal, 42 million greater than the Suns’ first supply.

Wealthy Paul: Nice room– 

In the present day, Klutch has greater than 100 workers with workplaces in LA, New York, Atlanta, and Nashville.

Wealthy Paul: And so they’re each in the identical draft class– 

Paul teamed up with powerhouse company UTA to develop Klutch’s attain.

Wealthy Paul: I needed to construct– a multi $100 million firm to get individuals to consider in me, and there is nonetheless doubt. 

Invoice Whitaker: Critics say he is solely profitable due to his relationship with you?

LeBron James: I imply it is disappointing to listen to that. 

Invoice Whitaker: However you gave him a chance.

LeBron James: Yeah. And I do not give individuals alternatives a lot. And he took nicely approach past– than what he even imagined. 

Wealthy Paul now has a New Stability signature shoe, a primary for an agent. His accomplice is extra well-known than he’s. He is been in a relationship with Adele for 3 years.

Dwayne Johnson: Adele

She gave him a shout out on the Grammys.

Adele: Oh God, Wealthy! He told- he mentioned do not cry! For those who win something tonight do not cry! And right here I’m crying.

A few weeks later, at his All-Star Sport occasion, Paul’s associates acknowledged his achievements…

LeBron James: That is from us. That is from us.

With a $140,000 watch.

Wealthy Paul: Wow. Wow. Wow.

Invoice Whitaker: Do it’s a must to pinch your self generally?

Wealthy Paul: On a regular basis. (laughs) I had it worse than lots of people however I developed, I matured, I transitioned. 

Invoice Whitaker: How does that really feel?

Wealthy Paul: Feels nice. It feels earned, ? It wasn’t given, for certain, it was earned, which is nice. I like that.

Produced by Marc Lieberman. Affiliate producer, Cassidy McDonald. Broadcast affiliate, Mariah B. Campbell. Edited by Richard Buddenhagen.