The coronavirus pandemic has, without a doubt, affected every aspect of society during its few months of the onslaught. It’s taken down the world’s economy as businesses scramble to deal with the sudden losses they’re facing.
Even billionaires weren’t immune to the widespread effects of the economy’s downturn nor their own costly mistakes. Here are some ultra-wealthy business people who got recently demoted back to being millionaires.
Adam Bowen & James Monsees
Adam Bowen and James Monsees hit it big when they founded the electronic cigarette company, Juul. The world’s affinity for vaping as an alternative to cigarette smoking and as a recreational activity helped them become billionaires and create a $38 billion brand.
However, their fast rise to the top was suddenly stopped by the rising concerns about the potential adverse health consequences of using e-cigarettes and vaping. After finally reaching the billionaire status, their wealth decreased to $900 million each.
Just about a year ago, Bruce Nordstrom, the former chairman of the luxury department store chain Nordstrom was $1.2 billion rich. Unfortunately, his family’s company is facing declining sales as part of a downward trajectory seen by other brick and mortar stores in the past years.
This caused his fortune to downgrade to $700 million, a still sizable net worth but nowhere near what he needs to get back in the three commas club.
Anastasia Soare is the businesswoman behind the widely popular makeup line, Anastasia Beverly Hills. After enjoying years of constant great sales, the cosmetic company was rocked by the lack of consumers amidst the coronavirus pandemic.
And even before that, the popular brand has reportedly already been facing some internal issues that may cause it to see a massive 20% drop in sales. The effects of these circumstances have already manifested as Soare’s once $1.2 billion fortune went down to $800 million.
WeWork’s former CEO, Adam Neumann, saw the most significant fall among the former billionaires on this list. While his net worth reportedly peaked at $14 billion, the 41-year-old businessman’s wealth now stands at just $400 billion.
He and his once-promising company’s downfall began when concerns over WeWork’s profitability and Neumann’s brand of leadership were brought during the company’s bid for an IPO.
This led to Neumann being forced out of business he built by one of his biggest investors, SoftBank. Now, he’s reportedly suing the holding company after it didn’t follow through on its initial promise to bailout WeWork.