Jay-Z sought $55 million and $115 million credit lines for Roc Nation using art and real estate as collateral, but banks are likely to deny them. The speaker argues the loans are risky given his debt load, depreciating assets, and ongoing legal troubles that make him a liability.
Chapters
Here's the issue that I have, okay? Because, you know, he's trying to recoup, I guess, some of this and use this lawsuit as leverage to help save his reputation. Because, you know, needing a $55 million line, uh, line of credit off of some of your assets and $115 million, um, business line, I, I guess a loan for Roc Nation to help expand it and keep it going, um, it's a lot of money. It's And you would think, why won't he use his own money? Well, it's because he gotta pay taxes on his own money, or he doesn't have the money. 'Cause if he had the money, he wouldn't be asking for it. And if he really needed the money, he would cash in some of his assets, but he's not willing to do that because then you gotta pay a hefty tax on those assets. So when they start collecting art and houses and all this stuff, that's what they use as collateral to the banks in order to scale their businesses, but they're still in debt. So let the appreciation, you know, let the house depreciate, let the, you know, the art depreciate and all the other assets they got. They stuck on them millions of dollars. And yes, they can bankrupt, of course, and keep going. But like, you know, these loans, if I was a bank, I would have told them no too, because we know, we see what happened. They have allowed the industry to operate the way that it has for so many years that when you do have incidences like this, you're guilty before you're proven innocent.
