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Faced with dwindling record sales, the threat of a buyout from a large media conglomerate and a shooting on a music video set, record industry moguls Jackson and Grady Rhames search for options to save their family business, independent hip-hop label Sweetback Entertainment. Looking to get their business back on track, the Rhames brothers pursue new artists for their label. They team up in an attempt to steal their rival record label's hottest rapper, but in retaliation, the rival label sends a gang of thugs to beat up David Ross, Sweetback's chief counsel. Meanwhile, a magazine reporter threatens to make Sweetback's financial problems public and Grady's cronies go overboard in an attempt to shake down the reporter. And, Jade Rhames defies her brothers' authority and goes out with Sweetback's marquee artist, VersIs.

Against her brothers' wishes, Jade goes to a night club with Sweetback's ex-marquee artist, VersIs, but when shots are fired in the club, Jade is arrested, only to be sprung by Nick Tashjian, the greedy mogul trying to shut Sweetback down. To make matters worse, one of Sweetback's lawyers defects to rival company Conflict: not only has Max stolen VersIs, now she also has one of Sweetback's sharpest lawyers, who knows everything about their business.

Despite Grady's insistence that he mind his own business, Jackson chases Lady Bryce's man away because their volatile relationship is distracting her from recording her new CD, but his plan backfires. Jade develops a friendship with Nick, knowing that her brothers are going to disapprove. After finding out about Sweetback's financial problems, Monica decides she wants to get more involved in the family business.

Jackson has trouble with A Diva when her antics threaten her future with SweetBack Entertainment. Nick Hoody Rob who just so happens to be on of Sweetback's platinum rap artists. Meanwhile, Monica thinks about joining Sweetback while Olivia see's her husbands true loyalty to Sweetback. And Jade and Nick spend the night together.

When a videotape is found of one of Sweetbacks biggest artists 'Mace' commiting a sex crime. Jackson and the crew are at odds whether or not to turn the tape over to the police. Meanwhile, Jade considers Nick's invitation to go to London with him and Grady tells Versls that he slept with Versls wife, Penny.

Baby sends a Henchman to take out Max when he finds out that Max told the Parole Board to keep Baby in Jail as he is still dangerous. Devon takes drastic measures against Jackson which leaves Lady Bryce's devastated and the future of Sweetback Entertainment uncertain. Meanwhile, Grady realized that he's in love with Karl, and Jade ends her relationship with Nick and winds up in the arms of Versls.