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Neumann is severely dyslexic, and could not learn or write till he was in third grade.
Jackal Pan / Getty
Supply: Forbes
As is customary for Israeli residents, Neumann served within the Israel Protection Forces after grade college. He served within the navy for 5 years, though solely three years of service is required. “That’s the place I received to know a variety of my greatest pals,” Neumann instructed Haaretz in 2017.
Israel Protection Forces through http://www.flickr.com/photographs/idfonline/8194555088/ artistic commons
Supply: Haaretz
After leaving the IDF, Neumann moved in 2001 to New York Metropolis, the place he lived in a Tribeca residence along with his sister Adi. He spent his early days in New York going to golf equipment and “hitting on each woman within the metropolis,” he mentioned in a graduation speech in 2017.
Katie Warren/Enterprise Insider
Supply: New York Journal
Neumann enrolled at metropolis college Baruch Faculty in January 2002 and majored in enterprise. He mentioned he considered the idea of WeLive, WeWork’s communal residing enterprise, for a faculty entrepreneurship competitors. Nevertheless, the concept was killed within the competitors’s second spherical, as a result of a professor did not suppose Neumann would have the ability to elevate sufficient cash “to alter the best way individuals reside.”
Reuters/Carlo Allegri
Sources: New York Journal, TechCrunch
Neumann dropped out from school simply 4 credit shy of graduating. He in the end completed his diploma 15 years later in 2017 after finishing a four-month lengthy impartial research, and delivered the graduation speech for Baruch Faculty’s graduating class.
Neumann delivering his Baruch Faculty graduation speech in 2017.
WeWork/YouTube
Sources: TechCrunch, Enterprise Insider
Whereas in school, Neumann met his now-wife, Rebekah Paltrow Neumann, who’s the cousin of actress Gwyneth Paltrow. The pair received married in 2009, and now have 5 kids collectively.
Adam Neumann and his spouse, Rebekah Paltrow Neumann.
Theo Wargo/Getty Pictures
Supply: Observer, Actual Deal
On their first date, Paltrow Neumann known as out the WeWork cofounder for being “stuffed with s—.” Neumann credit his spouse for getting him to quit smoking, and for telling him to pursue his passions as an alternative of desires to be wealthy.
WeWork husband/spouse group Rebekah Paltrow Neumann and Adam Neumann.
Fortune
Sources: Enterprise Insider, Enterprise Insider
Whereas Neumann was at school, he labored on two enterprise ventures: a failed concept for collapsible heeled shoe, and child garments with built-in knee-pads known as Krawlers. He dropped out to pursue the second concept, and developed it right into a baby-clothing firm known as Egg Child in 2006.
Adam Neumann, chief govt officer of U.S. co-working agency WeWork, speaks throughout a signing ceremony in Shanghai, China April 12, 2018.
Jackal Pan/Reuters
Sources: Forbes, TechCrunch
Egg Child continues to be round in the present day as a luxurious child clothes firm headed up by garments designer Suzan Lazar. Neumann is not concerned within the day-to-day operations of Egg Child, whose kids’s clothes is bought at department shops all over the world.
AP Photograph/Chitose Suzuki
Sources: Forbes, TechCrunch
Quickly after launching Egg Child, Neumann met WeWork cofounder Miguel McKelvey via a mutual good friend. The 2 reportedly bonded over their backgrounds and aggressive streaks, and McKelvey satisfied Neumann to maneuver Egg Child places of work to the identical constructing he was understanding of in Brooklyn.
Miguel McKelvey, left, and Adam Neumann.
Scott Legato/Getty
Supply: Forbes, New York Journal
Quickly after, the 2 developed the concept for WeWork after brainstorming an concept for renting out empty workplace house to different corporations. In 2008, they satisfied their constructing’s landlord to allow them to lease out a flooring in a close-by Brooklyn constructing, and an earth-friendly co-working firm known as Inexperienced Desk was born.
Miguel McKelvey and Adam Neumann talk about WeWork at IGNITION 2016.
Enterprise Insider
Sources: Forbes, New York Journal
Nevertheless, McKelvey and Neumann determined to go off on their very own. They bought off their share of Inexperienced Desk to their landlord for $3 million, and opened their first WeWork house in 2010 in New York’s Little Italy neighborhood.
The primary WeWork constructing on the nook of Grand and Lafayette streets in New York Metropolis.
Unique WeWork Constructing at 154 Grand Avenue in NYC’s SoHo.
Sources: Forbes, New York Journal
Below Neumann as CEO, WeWork expanded to supply co-working desk house in business buildings in additional than 120 cities in almost 40 nations. The corporate was valued at $47 billion.
Adam Neumann, CEO of The We Firm.
AP Photograph/Mark Lennihan
Sources: Enterprise Insider, ForbesPaige Leskin contributed earlier reporting to this story.
Certainly one of WeWork’s greatest buyers is the Japanese funding agency SoftBank, who has invested greater than $10 billion within the firm. Neumann has instructed Enterprise Insider about his shut relationship with SoftBank CEO Masayoshi Son, who he calls “Yoda.”
SoftBank CEO Masayoshi Son.
Getty Pictures AsiaPac
Supply: Enterprise Insider
Neumann additionally invested in plenty of startups, each by himself and on behalf of WeWork. His niche-interest investments included a wave-pool maker, a medical marijuana supplier, and a superfood startup, which sells issues like “efficiency mushrooms,” powdered coconut water infused with beets and turmeric, and extremely caffeinated espresso.
Adam Neumann, CEO of The We Firm.
AP Photograph/Mark Lennihan
Supply: Enterprise Insider
Neumann was WeWork’s largest single shareholder. Nevertheless, he cashed out a few of his stake and took out loans. In complete, Neumann’s gross sales and debt transactions reportedly totaled $700 million.
Getty Pictures
Supply: Enterprise Insider
The corporate publicly filed for an IPO on August 14, 2019. The IPO submitting gave the general public its greatest view but on the firm’s money-losing financials: notably, $1.6 billion in losses on $1.8 billion in income in 2018.
Kelly Sullivan/Getty Pictures
Enterprise Insider’s Troy Wolverton and Shona Ghosh wrote of their protection of WeWork’s S-1 that:”The numbers present spiraling losses over the past three years:In the course of the yr December 31, 2016, WeWork misplaced $429 million on $436 million in income.The next yr that loss elevated to $890 million on $886 million in income.And for the total yr 2018, WeWork misplaced $1.6 billion on $1.8 billion in income.For the primary six months of 2019, the agency posted a lack of $690 million on $1.5 billion in income.We Co. would be the most extremely valued startup to go public since Uber in Could.”
Nevertheless, together with WeWork’s IPO paperwork got here additional scrutiny of its enterprise. The filings confirmed that WeWork paid Neumann simply shy of $6 million for the trademark rights to the phrase “we,” for the corporate’s title change to the We Firm in January 2019. After widespread criticism, Neumann paid the cash again.
The We Firm
Supply: Enterprise Insider
The IPO paperwork additionally revealed plenty of Neumann’s potential conflicts of curiosity concerning WeWork. Neumann was revealed to have private monetary ties to WeWork buildings, and his spouse Rebekah was listed as one among three individuals who would determine the following CEO if Neumann might not run the corporate. WeWork restricted her energy by eradicating her means to assist select the following CEO, and likewise banned her and any of Neumann’s members of the family from serving on the board.
Rebekah and Adam Neumann.
Ben Hider/Getty Pictures
Supply: Enterprise Insider
Shortly after the IPO was filed, a report revealed that WeWork had been bleeding human assets managers, and a few pointed fingers at Neumann himself as the rationale. Neumann reportedly criticized some staff as “B gamers” behind their backs.
Jackal Pan/Getty Pictures
Supply: Enterprise Insider
The IPO paperwork additionally confirmed that Neumann had particular shares in WeWork that gave him an enormous 20 votes per share, in addition to majority management over the corporate. His energy was restricted in WeWork’s amended IPO submitting in September 2019, through which the corporate slashed its valuation from $47 billion to under $20 billion.
WeWork Cos. co-founder Adam Neumann
Fortune Brainstorm
Sources: Enterprise Insider, Enterprise Insider
In September 2019, a Wall Avenue Journal report detailed Neumann’s hard-partying methods, and drug and alcohol use. Two of probably the most startling revelations within the piece: As soon as after asserting layoffs, Neumann despatched round tequila pictures and arranged a shock Run-DMC live performance. Additionally, his personal jet was as soon as recalled in Israel after marijuana was discovered hidden in an onboard cereal field.
We cofounder and CEO Adam Neumann
Getty
Supply: Wall Avenue Journal
Amidst the criticism, Neumann’s management of WeWork was thrown into query. WeWork’s board of administrators met in September 2019 to debate the potential for eradicating Neumann as CEO — one thing reportedly backed by one among Neumann’s greatest property, SoftBank head Masayoshi Son.
SoftBank Group Corp. Chairman and CEO Masayoshi Son.
Tomohiro Ohsumi/Getty Pictures
Supply: Enterprise Insider
On September 24, Neumann mentioned he could be stepping down from his position as WeWork CEO. Neumann mentioned in an announcement that he had change into a “important distraction” in latest weeks, and it was within the firm’s “greatest curiosity” to resign. Two WeWork executives — Sebastian Gunningham and Artie Minson — took his place as co-CEOs. The corporate then withdrew its S-1 submitting, formally suspending its IPO.
Artie Minson (left) and Sebastian Gunningham, WeWork momentary CEOs.
We Firm; Samantha Lee/Enterprise Insider
Supply: Enterprise Insider
Neumann momentarily stored his position as chairman of WeWork’s board of administrators, however he stepped down from the board in October 2019. SoftBank, WeWork’s largest investor, was given management of the corporate as a part of a $9.5 billion bailout plan. As a part of the buyout deal, SoftBank deliberate to supply Neumann with a $1.7 billion exit bundle.
WeWork; Eduardo Munoz/REUTERS; Samantha Lee/Enterprise Insider
Supply: Wall Avenue Journal, Enterprise Insider
Stream is valued at $1 billion, and Neumann spent over $1 billion final yr buying 3,000 housing models for the startup.
Miami, FL
Sylvain Sonnet/Getty Pictures
A contributing think about Neumann’s downfall from WeWork was leasing workplace properties he owned again to WeWork. Stream is working within the properties owned by Neumann. The models are in Atlanta, Nashville, Tennessee, Fort Lauderdale, and Miami.Supply: Enterprise Insider
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