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That's what the platform.coop movement is all about. C.f. Arcade City for an example of a company doing this in rideshare. The new legislation that Joseph Blas
by Alex3917 8y ago
That's what the platform.coop movement is all about. C.f. Arcade City for an example of a company doing this in rideshare.
The new legislation that Joseph Blasi and Gillibrand just got passed as part of the tax bill makes it even easier for startups to be organized as co-ops. Of course you won't see TechCrunch writing about this even though it's one of the biggest startup-related bills to pass in decades, but regardless:
https://money.cnn.com/2018/08/26/news/economy/employee-stock-ownership-plans-cooperatives/index.html https://money.cnn.com/2018/08/26/news/economy/employee-stock...
- walshemj 8y agoThis isn't really about coops just making employee share schemes easier presumably by better tax treatment.
- Alex3917 8y agoThe bill doesn't have anything to do with tax treatment. It lets employees take out a loan from the government to buy the stock of their business from the current owners, and then pay back the loan using the profits from the business. It's how the Twitter employees are currently trying to buy Twitter.
- moorhosj 8y agoHow is it different than a traditional ESOP?
- Alex3917 8y agoI think this is just a way to make it easier to set up ESOPs. Blasi created an alternative structure called an EWOK, but afaik that wasn’t included in this bill.
- walshemj 8y agoI think there might be a limit as to how much you can borrow.