👉 Background: F45 is the fitness franchise that built a cult following in the 2010s, and managed to sell over 2,000 franchises in less than 8 years - globally. But since its listing on the New York Stock Exchange in 2021, F45’s share price has dropped 99%.

👉 What happened: Now, David Beckham’s investment company, DB Ventures is suing Mark Wahlberg, who was one of the largest shareholders in F45. Becks alleges that after endorsing F45, he wasn’t issued stock at the time of the endorsement (at the $16 IPO price), but rather at a later point when the share price plummeted to $3.

👉 What else: Becks alleges that this delay cost him $10 million in lost earnings, because Wahlberg supposedly "duped" Beckham.

What's the key learning?

💡Accepting shares in as consideration in a deal always comes with a level of risk.

💡In a best case scenario, you win big and your shares grow exponentially in value. Think YouTube  back in 2006 when it was acquired by Google $1.65 billion USD in Google shares. Since then, its share price has increased by more than 800%.

💡 But because share prices are unpredictable, you could also lose out big time if the company’s share price plummets. Think: Afterpay's founders and investors. So even the best-looking deals can sometimes take surprising turns.