4 ms·
* was inspired by * generations of prior businesspeople doing Let's not forget that Enron, Theranos and WeWork propagated a form of corporate fraud that is no
by yowlingcat 7y ago
* was inspired by
* generations of prior businesspeople doing
Let's not forget that Enron, Theranos and WeWork propagated a form of corporate fraud that is not foreign to the modern corporate investment system. There are always opportunities to bolt on corporate structures that juice the plausible metrics and existence of an "investable" moat, but at least in more public markets oriented world of yesteryear, SEC regulations could be put in place to plausibly protect main street investors. In the current engorged state of private capital, many private investors will have to learn due diligence the hard way, or they will lose their shirts to exceedingly savvy hucksters and grifters masquerading as trailblazing mavericks.
- neilc 7y ago> Let's not forget that Enron, Theranos and WeWork propagated a form of corporate fraud What aspect of WeWork was/is fraudulent?
- raiyu 7y agoI think as they dig in to the numbers more there maybe some fraud or very shady accounting that starts to pop up.
- lordnacho 7y agoThat might happen, sure, but the point was rather that you just need to look like you're gonna be something to get paid. This will make everyone who wants to start a business at least tempted to spend more time building a facade than an actual business.
- yowlingcat 7y agoLet's start with Community-adjusted EBITDA as far as the more egregious ones go. That was the alarm bell for me.