04 January 2019

Australian sports celebrities owed thousands after collapse of social media start-up


Michael A. Rueda
Partner | Head of US Sports and Entertainment | US

Rugby league players, soccer internationals and an Olympic athlete are among a group of Australian athletes owed tens of thousands of dollars following the collapse of 20Four, a social media platform designed to connect athletes with fans. 20Four was intended to rival Instagram and Twitter by providing fans access to videos shot by athletes as training, preparing for games, and living their lives. 20Four collapsed in late December 2018. 20Four was started by Australian sports and media executives but is now selling its assets to pay creditors, which include some of the most familiar names in Australian sports. Regulatory filings reveal that the company owes thousands in unpaid fees owed to its athlete partners. Player representatives claim that they had been struggling right from the beginning to receive payments from 20Four for their clients. 20Four began in 2015, conducted a pre-IPO investor roadshow in late 2016, but never listed. The company did apparently raise more than $4 million from investors. Although it is reported that a few athletes did invest in the company, the bulk of the athletes that are owed money provided services in connection with the social media platform.

https://www.smh.com.au/business/companies/sports-stars-owed-thousands-after-social-media-start-up-collapse-20190104-p50pk7.html

Michael A. Rueda Partner | Head of US Sports and Entertainment | New York

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