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No reason a VC couldn't invest in a co-op. Because it is by definition not a co-op as soon as it takes VC money. A co-op is a business where every worker owns
by chongli 7y ago
No reason a VC couldn't invest in a co-op.
Because it is by definition not a co-op as soon as it takes VC money. A co-op is a business where every worker owns an equal share.
- throwaway_law 7y agoVCs could finance these companies and make money on the investment that way without taking ownership. For example, I am certain YC accepts non-profits which have gone on to attain VC investment... and non-profits don't have any ownership.
- chongli 7y agoThey could finance these companies in some roundabout way, but then to call them co-ops would be dishonest or even fraudulent, depending on who you ask. Why go to all the trouble? VCs seem to be fine investing in traditional, capitalist companies.