His new new Letter, Bad company: private equity and the death of the American dreamReporter and Alum Men Men Men Men Men Men Men Redulals Currencies The painful records of unity of the most powerful force but mostly dominant in American Capitalism. Flush for money, which is not highly controlled, and consistently focused on the benefit of the benefit, private equalizing firms and silent industrial industry from health care.
Twelve million people in the US now work for companies being managed by the equity Equity, Greenlell writing, or 8 percent of the total employment. His book focuses on four people, including toys “R” The steward lost the best work has ever had and a doctor looks at his rural hospital. Their integrated experiences in the wrong account that new is being replaced by financial engineering and methods used by everyone other than the top.
In review of Bad company In Bloomberg, a higher equity officer suspected the accusations of the sustainable stories about “Sadly Challenges. But Greenlell Chosen Back as a picture not only how America’s dream is built but also creative tactics.
Greenlell spoke to a wake month ago about what private equity is, which is not, how it has changed different industries, and what workers do to bring their strength.
This discussion is structured and long.
Thread: What is private equity? How is the business model different, say, the capital?
Megan Greenwell: People confuse confidential equity and Venture Capital all the time, but it is reasonable that ordinary people do not understand the difference. Basically, the easiest way to explain the difference is that the big venture firms have invested, usually at the beginning. They actually take a pole in the company and expect some form of return later. And they play a long game than private equality.
But the way it works for the private, especially by purchasing, which is based on the book, do they buy obvious companies. In Venture Capital, you put your money on it, you give the CEO, and you may have a board seat. But in the Payment Model, the private Firm is indeed the owner and is managed to confuse the portfolio company.
How did the private solutions describe success? What kind of companies or businesses do you?
In Venture Capital, VCs assess that they will only make a treaty based on the fact that the company will succeed. They want Unicorns. Will this company be the following Uber? The private equity looks for money in companies that do not require the company itself to make money. That’s like the biggest thing.
So it’s too little.
The private equity of the equivalent equivalent of money should lose money from the fees. They receive a 10 percent financial management fee, even if they use a company on the ground. They also managed to remove all these tactics, such as selling the Real Estate of the company and pay the company tax in the same world that was eating. When private equiles receive a loan to buy companies, debt from such loan, not in equity equity Firm but in the Portfolio organization.
