Chris Brown was hit with a $2 million lawsuit by City National Bank (CNB) for allegedly defaulting on loans meant to purchase two Popeyes Chicken franchises.
According to The Blast, the “Fine China” singer and a group of investors, including The Dream, applied for the money in 2018 in Georgia. CNB also filed the lawsuit in California, where Brown resides. The bank revealed in court documents that the 34-year-old Virginia native was the guarantor for the loan and owed “unpaid principal and interest.”
“As of February 17, 2023, Borrower and Guarantors owe $2,140,901.74 in unpaid principal and interest.”
He is on the hook for $1,314,367.40.
Brown has reportedly invested in fast-food franchises for almost ten years, according to 25 Fast Facts about the singer by US Weekly in 2015. The “Another Round” singer, outside of the two Popeyes Chicken restaurants, owns 14 Burger King franchises. And the investment has proved to be lucrative for him– his net worth is $50 million.
According to Burger King’s website, the requirements to secure a franchise from the fast-food organization are– the person must have a net worth of $1 million and $500,000 in liquid assets. The “initial franchise fees and costs” are “a flat franchise fee of $50,000 USD for a franchise agreement with a term of 20 years. Prospective franchisees also pay an initial New Entity / Application Fee of $5,000 USD to help with the costs of processing the application. There is also a $280 USD background check fee, as well as varying application costs for Managing Owner / Managing Director and other application / administrative requirements. These fees do not include any of the initial costs typically associated with starting a restaurant.”
Brown is definitely about that multiple-income stream life. On Sept. 21, the entertainer posted the launch of his NAMI slides by his brand Auracles, which he shares with John Dean of Renowned fashion brand fame.
“NAMI 2.0 🎱✨ Deep Sea Black Nami Slides September 30th at Theauracles.xyz @Theauracles_
$95 USD Worldwide Shipping #Nami”
A post shared by BROWN (@chrisbrownofficial)
“A MESSAGE FROM THE FUTURE! Introducing NamiWAVE foam..our newest creation is THEE most comfortable & Durable Slide you will own. Other features include Haters will be unbearable, Hoes will be mad, and confidence will be on 10,000%. This Nami Slide 2.0 also will BIODEGRADE in 2 years under the right circumstances, lessening our global footprint! Let’s change the world and flex while we do it!!! LFGG! BLACK Nami release September 30th, 9 AM PST, at Theauracles.xyz #NAMI @chrisbrownofficial @nosailes @deano_32”
A post shared by THE AURACLES (@theauracles_)
Brown hasn’t publicly responded to CNB’s claim.
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