The Hip-Hop Grandmaster Awards is sponsored by the Paid In Full Foundation, and includes a financial stipend for the recipients in an effort to "empower the artists to further their creative and artistic endeavors.” The selection committee which aids in choosing award recipients is comprised of an advisory board consisting of Nas, Fab 5 Freddy, and Ralph McDaniels of Video Music Box.
The foundation's mission statement says that it aims to correct historic wrongs experienced by some of the genre's most influential artists. "Unfortunately, many of the most impactful original artists never received recognition proportional with their exceptional contributions to arts and culture. The Paid in Full Foundation aims to rectify that through its grant making program, by both honoring the people who built Hip Hop and enabling them to pursue their creative and intellectual pursuits for the benefit of society."
Rakim and Scarface were last years recipients. Regarding the honor, Rakim told Vibe, "I'm really at a loss for words. A lot of things go through your head, you know? Sacrifices and decisions that I made. I always considered myself an underground artist, because I never really had big radio records. So, you get to the point where you realize, you doing it for a cause, and you’re not doing it for the money. It’s a blessing man, that things like this come along." Scarface spoke about his honor as well. “I’m at a loss for words. I’m really grateful that people would even consider me to receive something so prestigious as a Grandmaster."
