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Right, but their average pay isn't nearly as good as the business owner's. Most restaurant workers live paycheck to paycheck, have no healthcare, and no leverag
by TheAdamAndChe 9y ago
Right, but their average pay isn't nearly as good as the business owner's. Most restaurant workers live paycheck to paycheck, have no healthcare, and no leverage. While there is risk involved in being an owner, it's still a much better position to be in than a minimum-wage worker.
It's also a matter of a return on capital vs return on labor. Business ownership can grow exponentially as profits are reinvested. For the worker, though, returns are linear based on hours work. And since they mostly live paycheck to paycheck, they can't exactly invest much free cash without living with their parents or something, which many workers don't.