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This guy's entire life (He's a VC) is about pushing debt in the form of promissory notes and equity-debt onto companies in exchange for his own ownership How d

This guy's entire life (He's a VC) is about pushing debt in the form of promissory notes and equity-debt onto companies in exchange for his own ownership How does he reconcile the fact that the companies he lauds in the beginning, would completely shun any business with him (an investor) for precisely the reasons described? I feel like investors and VC are unaware of their own values

deleted 3y ago
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throw0101d 3y ago
> This guy's entire life (He's a VC) is about pushing debt in the form of promissory notes and equity-debt onto companies in exchange for his own ownership There's a difference between business finance and personal finance. There's a difference between what needs to be done to start a business and what needs to be done to keep it going. Apple started in a garage, but it is no longer run out of one. Apple started with loans and investors, Apple now has a large pile of cash (though also bonds that it needs to pay).
- yellow_lead 3y ago
  Well, the article specifically references Japanese businesses
  - throw0101d 3y ago
    In the introduction. He then has paragraphs such as: > Let’s say this represents volatility over your life. Not just market volatility, but life world and life volatility: recessions, wars, divorces, illness, moves, floods, changes of heart, etc. And further down: > I hope to be around for another 50 years. What are the odds that during those 50 years I will experience one or more of the following: Wars, recessions, terrorist attacks, pandemics, bad political decisions, family emergencies, unforeseen health crises, career transitions, wayward children, and other mishaps? Not sure how many businesses experience divorce, family emergencies, career transitions, wayward children.
_hcuq 3y ago
I guess there's personal debt and there's company debt. There's a big difference.
morgante 3y ago
What exactly is "equity-debt?" That is never a term I have heard of before.

deleted 3y ago

[deleted]

throw0101d 3y ago

> This guy's entire life (He's a VC) is about pushing debt in the form of promissory notes and equity-debt onto companies in exchange for his own ownership There's a difference between business finance and personal finance. There's a difference between what needs to be done to start a business and what needs to be done to keep it going. Apple started in a garage, but it is no longer run out of one. Apple started with loans and investors, Apple now has a large pile of cash (though also bonds that it needs to pay).

yellow_lead 3y ago
Well, the article specifically references Japanese businesses
- throw0101d 3y ago
  In the introduction. He then has paragraphs such as: > Let’s say this represents volatility over your life. Not just market volatility, but life world and life volatility: recessions, wars, divorces, illness, moves, floods, changes of heart, etc. And further down: > I hope to be around for another 50 years. What are the odds that during those 50 years I will experience one or more of the following: Wars, recessions, terrorist attacks, pandemics, bad political decisions, family emergencies, unforeseen health crises, career transitions, wayward children, and other mishaps? Not sure how many businesses experience divorce, family emergencies, career transitions, wayward children.

_hcuq 3y ago

I guess there's personal debt and there's company debt. There's a big difference.

morgante 3y ago

What exactly is "equity-debt?" That is never a term I have heard of before.