Guild Esports to Pay Owner Beckham $20 Million Over 5 Years

It has been revealed that David Beckham will earn almost $20 million over a five-year period following his investment in Guild Esports. The deal was put in place between the organization and Footwork Productions before the former soccer star had even made any investment, with Beckham set to become the face of Guild. The Englishman will earn a minimum of $19.78 over the next five years, with Beckham having given Guild license to use his name, image and other assets in order to promote the company.

Why Beckham Is In a Win-Win Situation

Beckham has already promoted Guild on his social media platforms, whilst the 45-year-old will take part in photoshoots, videos and additional events on behalf of the newly formed esports organization. In return, Beckham will earn an annual fee that is worth 15% of Guild’s merchandise sales and revenue through sponsorship, which rise year upon year. With such payments being due in advance, it is believed that Beckham was paid almost $3 million before his investment was even finalized.

It was announced over the summer that the former Manchester United and Real Madrid star had invested some $319,000 into the organization, a deal that received a huge amount of media coverage at the time. The investment was made through one of Beckham’s many companies, DB Ventures, while it also made him the fourth biggest shareholder in Guild Esports.

Why Beckham’s Investment is So Important for Guild Esports

So, looking at the figures in greater detail, Beckham will make a minimum of $9 from an original investment of just $319,000, thanks to the terms surrounding the deal with his licensing company. While it remains to be seen as to how Guild Esports will fare in the professional scene, it is clear that Beckham will be profiting hugely from the arrangement.
Guild Esports was recently floated on the London Stock Exchange, a move which netted them a further $25.94 million. This action more than likely enhanced the worth of the company yet further, as well as Beckham’s stake, meaning that the retired soccer player is a winner whichever way you look at it.

However, it is worth noting that at the beginning of October, the Guild Esports share price dropped from 8 pence to 7.5 pence. Guild plan to compete in Fortnite, CS:GO, Rocket League and FIFA.