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It's interesting how nowadays a founder of a public company could become a cash billionaire with his company always losing money. This was not possible even 50
by cft 10y ago
It's interesting how nowadays a founder of a public company could become a cash billionaire with his company always losing money. This was not possible even 50 years ago, at least not typical.
- pjc50 10y agoNot just in the dotcom business: http://www.nytimes.com/2016/06/12/nyregion/donald-trump-atlantic-city.html http://www.nytimes.com/2016/06/12/nyregion/donald-trump-atla... Although I think "take the money and stiff the investors" has a rather long history, all the way back to the invention of the joint-stock company.
- rajeshp1986 10y agoVery interesting point. The investors and the general public loose their money. where is all the money going? In the end the only party in profit is the founders & CEOs and top management. I guess everybody in the top management realizes that they will be doomed and everyone just focuses their energy on developing personal assets.
- chetanahuja 10y ago"In the end the only party in profit is the founders & CEOs and top management." Well... this includes everybody who had vested twitter stock after they went public and had strike price lower than sellable stock price (outside of any lockdown periods etc.). Twitter's stock price was doing pretty well during 2014. I'd bet at least 100's of early employees had significant cashout opportunities.