Back when corporations were invented, you didn’t have the option of trading your stock multiple times a day. Corporations could afford to take the long view, and people held on to the stock.
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JoshuaSlowpoke777@lemmy.world 7 months agoSome days, I question why humanity ever allowed public companies to exist. That very concept seems to be creating a lot of societal drawbacks these days.
jonne@infosec.pub 7 months ago
ColeSloth@discuss.tchncs.de 7 months ago
Seems like a fine idea on paper. Someone has a real good thing going and other people can help bankroll them to expand and share whatever it is all across a country instead of just one little area.
In practice it turned into a hellscape.
ChristianWS@lemmy.eco.br 7 months ago
The issue is the perpetual ownership.
If I lend you money, you only own me the money I’ve lended+interest. I’m not going to have a stake on your future businesses, nor have any decision power over you, it isn’t in my power to make sure you squeeze the most money possible over your job. You pay the money back and we are done.
ColeSloth@discuss.tchncs.de 7 months ago
The problem with that is lending money to a business that needs money also means you’re risking if the business fails that you’re never getting your money back. No one wants to risk their $100,000 in hopes of getting back $108,000 a year from now.
ChristianWS@lemmy.eco.br 7 months ago
Even then you can just add a higher interest rate. You absolutely don’t need to held the company hostage until the heat death of the universe.