@@jeffw8218 well he's not but he's just stating of how unfair the game is & how rigged in favour to the upper end even if they're at fault of the death of a company
And it seems like most businesses are run heavily on schemes, loopholes, bailouts etc they make the rules, they break them, behind closed doors, we just hear a part of it at the very end. It just sucks that it's so widespread to the point that we don't even have a regular economy, it's all a gamble - jobs, companies, retirement, housing...it's just games to big players.
I feel like the companies who own other companies that take on debt should be responsible for paying that back, otherwise it just makes it possible for companies to run off with bank money leaving their middle man company to default and the government to bail the banks out.
But then shell companies wouldn’t work. That would mess with a lot of powerful people. Probably not gonna happen unless everyone who suffers from it does something.
Hmmm it's almost like some sort of triangle shaped money making machine. I don't see anything more to investigate... Let's all go watch the new streaming show
That would bring it's own set of trouble with it, though. Say you wanted to make a lumbering big conglomerate more efficient, breaking it down into smaller chunks based on activity done by each individual chunk can help with that, because, for instance, what were mere support processes for manufacturing before can become revenue generating processes in them selves. Objection, that owned company owes debt would then arbitrarily prevent a company to reform into a more efficient version of itself. To ilustrate, take big manufacturing company from Texas, making some kind of industrial machine and selling it both on domestic market and for export. Breaking that company down into individual chunks department by department would allow that same company to market under different names more tailored for it's own market, while at the same time handling the same agenda for the now only manufacturer. From that one inflexible conglomerate, you can have accounting company, export-import business, IT business, logistics company, real estate developer... all runing more efficiently, because they are not tied to the primary business, and if the original manufacturing business folds, the other companies to can survive and preserve more jobs, than if the company didn't break up... And that's not even starting with the international aspect of the thing, because pooling multiple manufacturing companies and then creating foreign company to represent all these would also bring advantage to the whole group, for instance, accepting local currencies and engaging in biderictional trade with said foreign market. The problem is not, companies breaking up as they see fit. The problem is, companies holding bank debt paying out dividends and sometimes even being forced to do it by the court. Famously Henry Ford lost a case about this, when, instead of paying out dividend, he decided to pay out bonuses to his employees, and shareholders sued him over that decision. So, what I'd like to see, would be about 75% tax on dividends, if company owed any debt for longer than 30 days, except of debts steming from an invoice with longer pay period, in which case such invoice going overdue would be the criteria to trigger the tax. I would also want to see that ruling overturned with language in the court opinion speaking about long term financial sustainability of the business.
Thats called Cellar Boxing. Most of this is done on purpose by Clearing Houses and Hedgefunds Failing to deliver effectively naked shorting. (Shorting with no shares in ownership) Its so egregious that I have come to the conclusion that the entire market is fraudulent.
@@ashmoleproductions5407 How did you not immediately conclude the market is fraudulent? I mean in econ 101. "The invisible hand balances the markets. durhuhrur" Bad news fren, you might *ngmi.*
Half way in that sounds so terrible because it just means that these now bought out companies are ripe for the picking at low prices by even wealthier private investors or for countries who buy companies for influence. Everything really does always get worse.
No matter what, private investors and shareholders always win. It's a no lose casino they've built, except that the people who lose are everyone else who aren't property owners
Yes so the answer is to stop playing in the casino. We all only get poorer because we are playing a rigged game. Money is a construct we only choose to obey. Stop paying bills, taxes, working, it all falls apart in a non violent revolt. Stop doing what they say and it's over, all we need to do is work together and cooperate on a large enough scale for long enough. United we stand, divided we fall...
The company I worked for did a chapter 11 last year. I’d already left right before they declared but still interesting to watch from the outside. I was in middle management and from my position definitely didn’t see anything that indicated there was a problem. We were hiring, all the announcements from the top were positive, then I got recruited away - mostly based on the fact I worked there. Then boom, bankruptcy
I have a creeping suspicion something similar is going to happen to my job but im seeing lots of red flags instead. Every week 2-3 people quit, theyre not hiring, no more raises, CEO got fired last year, an entire shift gets canned, all the temps get canned, yet somehow things are going fine?
I see no issue with the CEO making that money. The problem is the government giving them free money from your taxes or by devaluing currency The Free Market works when people win AND lose, it was never supposed to have socialized losses
The idea that the CEO is needed to "keep operations going" through a bankruptcy is some grade A bull shit! I've seen companies run months without a CEO, and other companies run for years with an inadequate CEO. It's field management, and HQ operations management that keep operations going, and they are among the first to get screwed in the process. The BOD and CEO are USELESS during this process.
CEOs are self justifying, if a person is good enough to let you entrust them with the lives of 1000s of people, they're good enough to make you think you need them
@thomasfranklin1757 sometimes I cant to think that maybe dictatorship is better cause then there wouldnt be any need of politicians to begin with 😂. Furthermore 1 person wouldnt need to discuss things and could just put a stop to shady businesses practices before it gets out of control.
But CEO is the only person that can tell them shareholders whether things are working out for them. Ppl who do the actual damn job just can't talk in their language...
@@McDudes Nah, there would still be politicians, it's just that one, you wouldn't be able to vote them out or speak out about them and two, you would have to do everything they say and want or risk death.
Plus there's all the fraud with the PPP loans. Tons of business owners took loans and pocketed the money instead of giving it to their employees or lied about how many employees they had to get more money.
Skeptical that'd show up in bankruptcy filings as opposed to criminal charges. If the govt is going to come after the money, it's usually not "pretty please return the cash". Much of the fraud was also attached to companies that only exist on paper for which no one would bother filing anything at all - there's no assets and nobody's home.
@@rehmsmeyer+$750 billion to ppp loans, +$75 billion in aid to Ukraine. 1 keeps the economy going while making the wealthy more wealthy while the other goes to killing Russians for political gains. $127 billion in student forgiveness for the problem the government caused by allowing tuition rates to skyrocket due to the availability of loans. Let’s invest in our people instead of the mega wealthy and foreign aliens. If you’re against that, you are not American.
Leveraged Buyouts sound an awful lot like Ponzi Schemes to me, only without any of the accountability. Why do banks keep lending money to these people?
Because banks literally make money by lending it. Also because the banks and the companies are owned by similar if not the same people. The biggest shareholders tend to be the same handful of companies everywhere.
The pursuit for ever higher profits is one of the big issues with corporations today. Making a lot of money isn't enough, they need to make all the money.
I don’t get why a hired in CEO makes hundreds of times a single average paying position in the company. They didn’t do any groundwork and typically screw things up for not knowing the environment.
Plunder is a good book that discusses how private equity buys firms and often uses tactics that enrich them while lowering the quality of the firm they just invested into
@@iloveblender8999not the problem of the guy that made the decisions. They've moved into their next company long before consequences happen and it's the problem of the next guy. This is why things keep getting worse because passing the problem onto the next guy which can only go on for so long.
This video made me think of the old joke: Give a man a gun and he can rob a bank. But give a man a bank, and he can rob the world. Except now it seems investors have just said "Hold my beer" to the bank. How is any of this legal? This all seems so irresponsible I struggle to believe there is anyone who thinks it's a good idea.
I think am confused how there isn’t legislation to fix this. But then I remembered either it’s the politicians are doing this, or being paid off to look away
It is really fun watching him become more reasonable and less of a finance bro the longer and the more he learns about how badly employees get f*ck*d over by sh*t business decisions
I mean, that's how marx started out, a nepobaby who was interested in philosophy, who got interested in political economy, who then as time moved forward saw how the sausage was made, and thought that maybe we should make a better sausage.
Our system literally encourages public companies to act as recklessly as possible in hopes that some survive. It hugely rewards survivors and peaches the value of survivorship bias.
The manipulation of legal loopholes for financial gain undermines the laws' true purpose, causing detrimental effects on the economy and the general population. This primarily benefits the wealthiest individuals, filtering down to specialized professionals like investment lawyers and stock traders who continuously seek new ways to exploit these gaps in regulations. Eventually, when the system collapses, the ones responsible won't face the consequences, leaving the common people to bear the brunt of the fallout. The fact that my children and I will endure the repercussions deeply pains me, knowing there's nothing within my power to change our trajectory and no way to escape it.
weren't laws created for just that reason? So that you would need lawyers, so that only rich can navigate? So that everyone else takes the bill? When every president ever is blood related to the english crown, its pretty obvious we never won independence.
hardly anything you learn in undergrad econ is applicable to the real world (assuming youre referring to undergrad econ). it is all very basic theory held to extremely strict assumptions.
@@latituderider maybe I'm just naive, but why take on debt? I understand a manufacturing company borrowing to scale up buy new machinery etc, but Vice can easily cut their cloth accordingly. I don't see any reason for them to borrow money they can't afford to borrow!
The company that owns vice is syphoning the money out, it's not that they could spend less... The owners demand a pre determined return on their investment.
Hey it’s not entirely related to this video but I really want to thank you. Your videos informed me about finances so much that I actually CLOSED my carpentry business. I was hemorrhaging money for two years straight. While a loss is typically expected in that time, your videos helped me to realize I couldn’t even hope to generate enough returns to make my business worth it. You probably saved me from a lot more debt and stress. Now I work two jobs, but I’m so happy to leave work at home once everything is done.
The company I worked for went bankrupt in April. They eliminated my position in July. They felt bad and brought me back as a freelancer fill-in person. It’s actually a good company with good employees, I have nothing bad to say about it. I really loved working there, so it really sucks. I finally started a new job this past Monday and it’s not as good as that job but it seems pretty decent so far at least. I really wish I could have my old job back though 😢
The bankruptcy order is absolutely criminal The crypto exchange I used went bankrupt The literal money that I gave them Was given to other people before me I only got like a third of my own money
@@MrPFMneto Bankruptcy guarantees nothing. Did you already forget about all the people holding crypto in their FTX wallet like a bank account and got nothing returned? There is too many variable to guarantee anything. It depends on how much money is available when they file, how much the company can liquidate for, how much money they owe, and how many people they owe. Depending on where in the list you fall you might get all your money back, some of your money back, or nothing at all.
To be fair, crypto exchanges have always been really dumb. “Oh hey, this is a super inefficient currency, but it’s decentralized! That’s it’s *only* benefit!” “I know! How about I put it in a centralized company, who’ll loan it out to other people, kinda like a bank!” *why?!*
The failure of banks in addition to global economic crisis has left the markets in shreds. I'm at a crossroads deciding whether to hold on cash or put money in the stock market, and it's uneasy for me to not panic after a recent awful divorce, my goal is to retire with $3m
investments are subjected to risk, you will be needing a well qualified advisor at this point if you choose to invest wisely! sorry to hear about your divorce
Solution, instead of keeping cash, keep gold 😂? Even if cash devalues in time, I don't think gold itself ever will, and as it's a limited resource is it pooooossible it'll go up? Slowly who knows. People will always need gold especially in modemr technology, it's a solid holdable stock I guess, but I dunno shit
@@MizuSkyHighly unlikely it goes up in any significant way any time soon. Gold is reusable, 78% of what we produce today goes to jewelry and it's already generally cheaper to melt down people's unwanted jewelry off people who dont know what it's worth to turn a buck on scrap gold than it is to mine it, hence why there's so many cash 4 gold businesses out there. You'll be waiting til the world runs out of suckers before the price of gold spikes out of scarcity and brother, you're not gonna live that long 😂
It's crazy to me that a company making a million dollars in revenue, up to 40 times that, is considered small, can someone explain that to me ? What about an actually small company like a family run restaurant making just enough to live
The family restaurant would be considered a micro business and taxed more like a person or pass through entity. A million dollars a year is like 83k a month, or around 2800 a day in gross sales. And note this is ALL gross numbers (before expenses and taxes) If you think about say, a restaurant that averages 20 dollars a person needs about 8, two person parties an hour over 8 hours to meet that mark. That might be pretty good for a restaurant but for say a lawn care company, it’s a lot simpler due to higher average charges. Essentially, sub million in revenues is more cottage industry with the accounting and controls more like a person would operate while a million plus generally requires more of a corporate structure, or at least a more controlled structure matching the general corporate structure common in America.
Revenue can be misleading. As a car dealer you can buy a car for 19k, sell for 20k, gross 1k “profit”, have revenue of 20k and make $0 after bills but your revenue looks big
@@ohmyrage still, if you're moving a lot of money you're most likely dealing with a big company, meanwhile a single person, an athlete for example, can also be earning millions of dollars every year and not be a company at all, or a one person company technically I was more so mindboggled by the fact moving millions of dollars still means you're small company But I guess that makes sense in a world where multibillion dollar companies have the say on several countries' policies
Some businesses declare Bankruptcy in an attempt to bail out from trouble. I worked for a corporation one time which did everything to stay afloat. Things such as laying people off and freezing assets. Bankruptcy unfortunately happened VIA Chapter 11. Company survived three more years, and is now no more.
I'm from Brazil and it's also happening here. This year we had a LOT of "Recuperações Judiciais" the equivalent of the US Chapter 11. And, for the same reasons.
This is gross. Leveraged buyouts are terrible for companies. Taking on debt that you don't have to deal with is just wrong. So many of these companies fail later on because they can't get out from the debt that someone else created. The market or politics didn't kill them, private equity did.
So informative, this just really makes me think of all the football clubs, Manchester United, bought using a leverage buyout and Barcelona which is actually bankrupt.
ปีที่แล้ว +6
It's great that the lenders get preference under chapter 7, because that way there's little to disincentivise them from lending money to companies owned by PE firms with a habit of running companies into the ground.
@@Internethoarder454 true. But other channels sometimes feel like they said a bunch of words and call it an essay. They don't move through the ideas with a clear purpose and cohesion like i see here. They end up rambling a bit with no point or importance regarding the "prompt".
Maybe YOU won’t get bankrupt because you didn’t borrow money, but if your boss’s boss borrows money and bankrupts your business, you really think it’s not going to affect you?
One thing about this I'm wondering about: what the benefit to the banks? The venture capitalist goes in with no risk because they take a loan and stuff it into the company. But the lender takes the risk instead. If the company goes into bankruptcy, even chapter 11, the lender isn't profiting and typically loses some money. None of this can work without that lender giving the money. The housing market tried to solve this by repacking the debt, and the risk, into other products and selling them to others. That worked until it stopped causing the housing market crash in '08. A similar issue happened with car loans which is currently crashing. So... Who's holding the bag here? Yes workers are screwed but they aren't holding the debt, just getting betrayed. SOMEONE is bag holding through this mess and losing. Are the banks just getting reckless..... Again? Or did they find a new bag holder..... Again?
If this kind of behavior is so common, and the unrecoverable debt can run into the hundreds of billions, I have to imagine that the banks are not so stupid as to not be putting something in place to protect themselves? or are the banks covered by their losses from the government in some way and it's actually the taxpayer that ends up putting the bill for this at the end of the day?
Paper? It's nearly all data these days. Also, Australia hasn't used paper for its money since the 1990s. The aussie dollar is either cupronickel, aluminium bronze, or polypropylene.
The leveraged buyout is a little too simplistic. Banks aren't just going to loan money to an organization that has a track record of defaulting on their debt. Aside from that, isn't the loan on the front end usually? The loan is secured by the assets/cash in the business I would think.
@@AwesomeHairo I think they're both correct. The words are synonyms. My version does sound more clunky and awkward, so although the I'm peeved by your comment, I appreciate you helping me improve my English. It's a second language for me.
And survivors mop up the losers and come out of even bigger than ever before with no to very little competition. And as long as the cycle keeps up, the concentration of wealth cannot be stopped.
One of the craziest things I heard a so called financial advisor pitch was investing in a business which makes NO PROFIT solely as a tax write off. He laughed and explained to me that America had been doing that since the 1970’s and that large swaths of commercial real estate followed this model. I then pointed out that commercial real estate is getting hammered across America as to both teleworking and online shopping. He then gathered his stuff and left.😂😂😂
man financial system needs a decent simplification... doing shit like private investors do not have responsibility creates huge implications like this... its insane that investor has incentive for a company to take insane risk
The endless cycle of: Govern pay money and cut taxes from companies to help the economy: "You need to stop interfering in the economy, this is why it is failing" Govern stops interfering with the economy: "Companies are failing now because the government is not interfering with the economy. Give us more money."
You've alluded to the leveraged buyout game private equity likes to play several times; it'd be interesting to see a hard look at it, and especially who, if anyone, is behaving irrationally? Sounds like the banks largely know or should know what they're getting into, and private equity is taking a deliberate gamble. Sounds like maybe employees and vendors should be taking that as a stronger sign to run for the hills and/or make sure they get theirs?
So the banks win because they end up first in line in the ensuing bankruptcy, and their investment is relatively secured. The VC guys win because they siphon out a bunch of money and get to play around with all the trappings of being a powerful CEO/investor/etc to find more grifts i mean opportunites. The people that sold them the company got a ton of money. All the decision makers profit, and they all profit big. it's just everyone else that loses. The employees, the customers, the taxpayers.
We don't have a regular economy, it's all a gamble - jobs, companies, retirement, housing...it's just games to big players whose businesses run on schemes, loopholes, govt incentives, bailouts etc...
They had a decade of free money. Some bought back their shares. Some gave that money to give shareholders a return. Some gave the Directors a huge bonus. Some gambled the money away, (Private Equity, CDO's, Business Debt and Bonds) Now the bank wants its money back, because interest rates have increased.
The worst and some how the funniest misconception is "The business has been around for X years" as an excuse for why the said business sucks but wont die. This is a lie, all business ends eventually so if you think you can build something better than do it go build that new business.
They can if they hold equity. The issue is that they don't. Usually when the company goes bankrupt, the employees can also do a leveraged buyout of the company but they are neither unionized nor do they see the opportunity. This is why employee stock should be mandated to be at least 35% for those who are below middle management.
Better would be to ban them from Board and Director positions and public office for ten years for the first offense, and permanently for the second. That might work,but there’s likely a way around it.
Still, don't forget that those companies that closed are still open for others for more things, and hopefully, we can learn the things that are closed are the ways to learn our lessons.
But when you buy at Bed Bath& Beyond you ain't buying at the same company anymore. You are buying at Overstock that rebranded as BB&B, but they bought nothing from the former company but the names and the Webshop- URL. It's not remotley the same entitiy.
The stock market is a way to protect against inflation. Particularly in the midst of a recession, investors must understand where and how to allocate funds to protect against inflation and still make profits.
In my opinion, the impact of the rise or fall of the US dollar on investments is multifaceted, but learning how to grow your money has never been easier than now that you can passively explore and experience a truly diverse market by using an advisor. director portfolio.
Who do you trade with? Could you guide me on how to get in touch with your advisor? My funds are being eroded by inflation, and I'm seeking a more lucrative investment strategy to effectively utilize them.
For reason 1, if u heard the video, management restricture can still turn a bussness arojnd yo eventualy pay the debt (cuz the cresitors of your private equity firm would lose money if it goes bankrupt, you still want them to suceed), and it is the bank's desicion to loan your the money. The second reason is just incomptent companies going down cuz of higer interest rates. The third case is ilegal but people try to go around it, whivh is helped by the fact that the law doesn't knows everything so they won't investigate something, cuz they don't always know it is happening if it is kept secret.
Really eye-opening video on the 'Bankruptcy Boom'. Your detailed analysis sheds light on a critical issue that many are unaware of. The way you presented the causes and effects of this trend was both informative and thought-provoking. It's clear that this topic needs more attention and discussion, especially considering its impact on the economy and individuals. Your suggestions for navigating these challenging financial times are particularly helpful. Thanks for sharing such valuable insights - this is a must-watch for anyone looking to understand the current economic climate. Eagerly waiting for more such informative content
this would NOT work in the UK.... A CEO of a company undergoing bankruptcy is always put front centre stage during the procedure, and most CEOs who resulted in/oversaw bankruptcies are essentially committing career suicide.
This video made me to think about the old joke about giving a man a gun and he’ll rob the bank, but corruption has affected the system and tbh I prefer to stick with my job and diversify my earnings using the financial market.
Exactly. You got a point. Especially with the tendencies of rate hikes due to inflation, the financial market would be a means of hedging against inflation.
Basically having a good broker. Tbh when I started it wasn’t really easy but I had a mentor that helped keep me in the loop and made it easier for me. Bernard Paul is my mentor.
I’m conversant with Paul. I was a beginner in trading and didn’t know what to do till I came across Paul and he shared trading insights, gave me a strong trading foundation and introduced me to his firm, ever since then I’ve been profitable.
10:33 Why in the hell would banks be first on the list rather than the people the company owes money too.... WHAT????? I mean I knew everything sucked, but this seems like it would screw over other rich people too. I guess banks are the richest of the "rich people" (aka corporations)
I cannot stop laughing (1:25): "Now you all know I hate videos from supposed experts with wide open mouths peddling some doomer bullshit". Absolutely awesome!!!
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All I'm hearing is that they can't lose. 😬💀
It's a complex pump and dump. It's how it should be framed. And thanks for the fantastic videos.
Lmao, an anti-capitalist TH-cam channel shilling some crappy “box a month” club 😂😂
@@jeffw8218 well he's not but he's just stating of how unfair the game is & how rigged in favour to the upper end even if they're at fault of the death of a company
Do you ever show ways individuals can take advantage of current banking rules?
unfortunately it's just not sexy to just start a normal, stable, sustainable business. It's all about getting rich quickly.
And it seems like most businesses are run heavily on schemes, loopholes, bailouts etc they make the rules, they break them, behind closed doors, we just hear a part of it at the very end.
It just sucks that it's so widespread to the point that we don't even have a regular economy, it's all a gamble - jobs, companies, retirement, housing...it's just games to big players.
@@AA-iy4gm Late stage capitalism. The whole economy is a scam. Most jobs these days are also nonsense and don't really add value to society.
A lot of profitless businesses were based off of ZIRP. It’s the biggest scam there is.
Look how it worked out for the wework guy.
He got to walk away with billions and the companies bankrupt.
“Quick buck artists come and go in every bull market…”
I feel like the companies who own other companies that take on debt should be responsible for paying that back, otherwise it just makes it possible for companies to run off with bank money leaving their middle man company to default and the government to bail the banks out.
Definitely unsustainable
But then shell companies wouldn’t work. That would mess with a lot of powerful people. Probably not gonna happen unless everyone who suffers from it does something.
Or banks can be more responsible, and not make such dumb loans.
Hmmm it's almost like some sort of triangle shaped money making machine. I don't see anything more to investigate... Let's all go watch the new streaming show
That would bring it's own set of trouble with it, though. Say you wanted to make a lumbering big conglomerate more efficient, breaking it down into smaller chunks based on activity done by each individual chunk can help with that, because, for instance, what were mere support processes for manufacturing before can become revenue generating processes in them selves. Objection, that owned company owes debt would then arbitrarily prevent a company to reform into a more efficient version of itself. To ilustrate, take big manufacturing company from Texas, making some kind of industrial machine and selling it both on domestic market and for export. Breaking that company down into individual chunks department by department would allow that same company to market under different names more tailored for it's own market, while at the same time handling the same agenda for the now only manufacturer. From that one inflexible conglomerate, you can have accounting company, export-import business, IT business, logistics company, real estate developer... all runing more efficiently, because they are not tied to the primary business, and if the original manufacturing business folds, the other companies to can survive and preserve more jobs, than if the company didn't break up... And that's not even starting with the international aspect of the thing, because pooling multiple manufacturing companies and then creating foreign company to represent all these would also bring advantage to the whole group, for instance, accepting local currencies and engaging in biderictional trade with said foreign market.
The problem is not, companies breaking up as they see fit. The problem is, companies holding bank debt paying out dividends and sometimes even being forced to do it by the court. Famously Henry Ford lost a case about this, when, instead of paying out dividend, he decided to pay out bonuses to his employees, and shareholders sued him over that decision. So, what I'd like to see, would be about 75% tax on dividends, if company owed any debt for longer than 30 days, except of debts steming from an invoice with longer pay period, in which case such invoice going overdue would be the criteria to trigger the tax. I would also want to see that ruling overturned with language in the court opinion speaking about long term financial sustainability of the business.
Steal a little from a company and you're a criminal. Steal everything from a company and you're a Genius Investor.
Yep. Get caught with a bag and a pager and you’re a drug dealer, sell billions worth of Oxy and you’re in the Pharma C-suite.
Thats called Cellar Boxing. Most of this is done on purpose by Clearing Houses and Hedgefunds Failing to deliver effectively naked shorting. (Shorting with no shares in ownership) Its so egregious that I have come to the conclusion that the entire market is fraudulent.
@@ashmoleproductions5407 How did you not immediately conclude the market is fraudulent? I mean in econ 101. "The invisible hand balances the markets. durhuhrur"
Bad news fren, you might *ngmi.*
@@kaelsurtour And? It does not change that it is factual. The paper trail is there. But no one will do anything about it. As usual.
So shoplifters are venture capitalist?
Half way in that sounds so terrible because it just means that these now bought out companies are ripe for the picking at low prices by even wealthier private investors or for countries who buy companies for influence. Everything really does always get worse.
No matter what, private investors and shareholders always win. It's a no lose casino they've built, except that the people who lose are everyone else who aren't property owners
Remember, greed is a sin
Winner takes all and then pees on everyone else because they can.
Yes so the answer is to stop playing in the casino. We all only get poorer because we are playing a rigged game. Money is a construct we only choose to obey. Stop paying bills, taxes, working, it all falls apart in a non violent revolt. Stop doing what they say and it's over, all we need to do is work together and cooperate on a large enough scale for long enough. United we stand, divided we fall...
It is something that should be stopped And I guess it will, but I'm afraid there will be a lot of suffering first.
The company I worked for did a chapter 11 last year. I’d already left right before they declared but still interesting to watch from the outside. I was in middle management and from my position definitely didn’t see anything that indicated there was a problem. We were hiring, all the announcements from the top were positive, then I got recruited away - mostly based on the fact I worked there. Then boom, bankruptcy
How did it go for your ex-coworkers?
Damn, you must've been doing one hell of a good job
Did the finance chiefs jump with you? They would have seen it coming . . .
It seems you dodge a bullet there friend
I have a creeping suspicion something similar is going to happen to my job but im seeing lots of red flags instead. Every week 2-3 people quit, theyre not hiring, no more raises, CEO got fired last year, an entire shift gets canned, all the temps get canned, yet somehow things are going fine?
How money works in America? Socialize losses and privatize profits. The CEO makes $2.5 million a year and his employees make $9/hour.
I see no issue with the CEO making that money. The problem is the government giving them free money from your taxes or by devaluing currency
The Free Market works when people win AND lose, it was never supposed to have socialized losses
@@user-xl5kd6il6c The CEO making that money has more influence on your wage than taxes
"CEO makes 2.5 million a year" 🤣🤣🤣 maybe 10x that.
No one is accepting ceo job for less 😂 Walmarts ceo salary could be allocated to every employee and they’d have an extra $10 a year !!🤣
are you a communist mr. Dog?
The idea that the CEO is needed to "keep operations going" through a bankruptcy is some grade A bull shit!
I've seen companies run months without a CEO, and other companies run for years with an inadequate CEO.
It's field management, and HQ operations management that keep operations going, and they are among the first to get screwed in the process. The BOD and CEO are USELESS during this process.
CEOs are self justifying, if a person is good enough to let you entrust them with the lives of 1000s of people, they're good enough to make you think you need them
@thomasfranklin1757 sometimes I cant to think that maybe dictatorship is better cause then there wouldnt be any need of politicians to begin with 😂. Furthermore 1 person wouldnt need to discuss things and could just put a stop to shady businesses practices before it gets out of control.
But CEO is the only person that can tell them shareholders whether things are working out for them. Ppl who do the actual damn job just can't talk in their language...
@@McDudes Nah, there would still be politicians, it's just that one, you wouldn't be able to vote them out or speak out about them and two, you would have to do everything they say and want or risk death.
Plus there's all the fraud with the PPP loans. Tons of business owners took loans and pocketed the money instead of giving it to their employees or lied about how many employees they had to get more money.
Skeptical that'd show up in bankruptcy filings as opposed to criminal charges. If the govt is going to come after the money, it's usually not "pretty please return the cash". Much of the fraud was also attached to companies that only exist on paper for which no one would bother filing anything at all - there's no assets and nobody's home.
So? At least people received help with their student loans.
my neighbor got 200k and has zero employees! He works out of his shed!
@@rehmsmeyer+$750 billion to ppp loans, +$75 billion in aid to Ukraine. 1 keeps the economy going while making the wealthy more wealthy while the other goes to killing Russians for political gains. $127 billion in student forgiveness for the problem the government caused by allowing tuition rates to skyrocket due to the availability of loans. Let’s invest in our people instead of the mega wealthy and foreign aliens. If you’re against that, you are not American.
What a huge mess.
Leveraged Buyouts sound an awful lot like Ponzi Schemes to me, only without any of the accountability. Why do banks keep lending money to these people?
To big to fail.
More lending money = bigger payout if things go bad = more pressure for the gov to bailout
@@ruirodrigues2938 Honestly, we screwed up with the first bailouts.
It sounds like loan fraud. Actually, it doesn't sound like loan fraud. It IS loan fraud.
The long answer is fraudulent loans.
The short answer is fraud.
Because banks literally make money by lending it. Also because the banks and the companies are owned by similar if not the same people. The biggest shareholders tend to be the same handful of companies everywhere.
The pursuit for ever higher profits is one of the big issues with corporations today. Making a lot of money isn't enough, they need to make all the money.
My brother in Christ making higher profits is the sole purpose of corporations.
Like everything in the universe, balance is key. You don't want to consume yourself or everything around you.
Yeah men you have to make more profits than last time this is not sustainable on a finite planet.
The digital age has enabled this to go farther, because digital goods and services have a ridiculously higher "supply".
@@ledwysdelgado7304 Amen.🙏
Now I understand why CEOs are overpaid but i hate it even more
The retention fee was a bribe to ensure they didn't self destruct the company on their way out.
I don’t get why a hired in CEO makes hundreds of times a single average paying position in the company. They didn’t do any groundwork and typically screw things up for not knowing the environment.
Plunder is a good book that discusses how private equity buys firms and often uses tactics that enrich them while lowering the quality of the firm they just invested into
@@iloveblender8999not the problem of the guy that made the decisions. They've moved into their next company long before consequences happen and it's the problem of the next guy.
This is why things keep getting worse because passing the problem onto the next guy which can only go on for so long.
@@iloveblender8999ah, so they buy in and burn stuff down but also know when to jump ship, or just somehow make bank from the ashes
This video made me think of the old joke: Give a man a gun and he can rob a bank. But give a man a bank, and he can rob the world. Except now it seems investors have just said "Hold my beer" to the bank. How is any of this legal? This all seems so irresponsible I struggle to believe there is anyone who thinks it's a good idea.
I think am confused how there isn’t legislation to fix this. But then I remembered either it’s the politicians are doing this, or being paid off to look away
The world is run by plutocrats and all governments are basically tainted by plutocracy which is the more money you have the higher influence you have.
@@theojenner1902Its both. Wonder how long it will take until the revolt takes place. Seems like America has become just like britain before it.
@@theojenner1902 Yes, I refuse to believe that the politicians aren't looking away (at best) or directly involved with this (at worst).
@@theojenner1902 100% they all get paid off how else do you think they get so fucking rich.
It is really fun watching him become more reasonable and less of a finance bro the longer and the more he learns about how badly employees get f*ck*d over by sh*t business decisions
eventually he'll loop around and become a comrade
I'm enjoying this character arc
im excited for the upcoming communist content
I mean, that's how marx started out, a nepobaby who was interested in philosophy, who got interested in political economy, who then as time moved forward saw how the sausage was made, and thought that maybe we should make a better sausage.
@@ethanstump And then he read Communist propaganda and thought it was actually the work of the proletariat. *wheezes*
Our system literally encourages public companies to act as recklessly as possible in hopes that some survive. It hugely rewards survivors and peaches the value of survivorship bias.
Private Equity is ruining everything with their money.
And public equity you get no say in. The little guy doesn't win in corportism.
When mixed with the extended period of zero interest it's a very bad combination
if you don't give money to private equity funds they're not really your problem unless you really care about a specific company
@@majorfallacy5926 They're definitely a problem if you don't yet own a house and want to own one someday.
Issue is idiots lending money to these companies.
Blackstone is a crap company. They bought the company I worked for and stripped it clean before selling pieces of it to our competitors.
That's that Gordon Gecko shuffle
The manipulation of legal loopholes for financial gain undermines the laws' true purpose, causing detrimental effects on the economy and the general population. This primarily benefits the wealthiest individuals, filtering down to specialized professionals like investment lawyers and stock traders who continuously seek new ways to exploit these gaps in regulations. Eventually, when the system collapses, the ones responsible won't face the consequences, leaving the common people to bear the brunt of the fallout. The fact that my children and I will endure the repercussions deeply pains me, knowing there's nothing within my power to change our trajectory and no way to escape it.
Bingo!
weren't laws created for just that reason? So that you would need lawyers, so that only rich can navigate? So that everyone else takes the bill?
When every president ever is blood related to the english crown, its pretty obvious we never won independence.
I say we bail
I absolutely love seeing Benjamin references in finance videos 😂
Two legends cross paths, was a delightful surprise.
right!
Major respect for the Benjamin shoutout at 2:34
And the slippery slope into mayhem, caused by pathectic governance, continues
Me second, I
Corrupt governance, theres a difference. And unfortunately corrupt governance is the more dangerous one of the two.
Corporate bureaucracy has grown to become just as inefficient as government bureaucracy. They’re like islands of central planning in a free economy.
hundreds of hours in a college classroom learning "economics" and i feel like i'm learning more from a few hours of channels like this one
You learned how to "do it properly". Now learn how so many do things improperly . . .
hardly anything you learn in undergrad econ is applicable to the real world (assuming youre referring to undergrad econ). it is all very basic theory held to extremely strict assumptions.
economics is not a real science.
*da i n v i s i b l e hand*
I dont even understand how a company like Vice has to go bankrupt! All they have to do is spend less.
@@latituderider maybe I'm just naive, but why take on debt? I understand a manufacturing company borrowing to scale up buy new machinery etc, but Vice can easily cut their cloth accordingly. I don't see any reason for them to borrow money they can't afford to borrow!
@@bobdigi500so they can pay a higher bonus for ppl that "earn" it 🤣
The company that owns vice is syphoning the money out, it's not that they could spend less... The owners demand a pre determined return on their investment.
My sweet, naive child. Why does anyone borrow money they can't afford? To spend it on themselves, obviously.
@@bobdigi500 journalism is still a labor intensive pursuit and labor is one of the most expensive costs in any business.
Hey it’s not entirely related to this video but I really want to thank you. Your videos informed me about finances so much that I actually CLOSED my carpentry business. I was hemorrhaging money for two years straight. While a loss is typically expected in that time, your videos helped me to realize I couldn’t even hope to generate enough returns to make my business worth it.
You probably saved me from a lot more debt and stress. Now I work two jobs, but I’m so happy to leave work at home once everything is done.
Thank you kind sir for your experience and insight
The company I worked for went bankrupt in April. They eliminated my position in July. They felt bad and brought me back as a freelancer fill-in person. It’s actually a good company with good employees, I have nothing bad to say about it. I really loved working there, so it really sucks. I finally started a new job this past Monday and it’s not as good as that job but it seems pretty decent so far at least. I really wish I could have my old job back though 😢
The bankruptcy order is absolutely criminal
The crypto exchange I used went bankrupt
The literal money that I gave them
Was given to other people before me
I only got like a third of my own money
Voyager? I lost 20k on that bankruptcy. 😢
Bankruptcy at least guarantees some return. Would you rather have zero payback?
@@MrPFMneto no it doesn't
@@MrPFMneto Bankruptcy guarantees nothing. Did you already forget about all the people holding crypto in their FTX wallet like a bank account and got nothing returned? There is too many variable to guarantee anything. It depends on how much money is available when they file, how much the company can liquidate for, how much money they owe, and how many people they owe. Depending on where in the list you fall you might get all your money back, some of your money back, or nothing at all.
To be fair, crypto exchanges have always been really dumb.
“Oh hey, this is a super inefficient currency, but it’s decentralized! That’s it’s *only* benefit!”
“I know! How about I put it in a centralized company, who’ll loan it out to other people, kinda like a bank!”
*why?!*
The failure of banks in addition to global economic crisis has left the markets in shreds. I'm at a crossroads deciding whether to hold on cash or put money in the stock market, and it's uneasy for me to not panic after a recent awful divorce, my goal is to retire with $3m
investments are subjected to risk, you will be needing a well qualified advisor at this point if you choose to invest wisely! sorry to hear about your divorce
Solution, instead of keeping cash, keep gold 😂?
Even if cash devalues in time, I don't think gold itself ever will, and as it's a limited resource is it pooooossible it'll go up? Slowly who knows. People will always need gold especially in modemr technology, it's a solid holdable stock I guess, but I dunno shit
@@MizuSkyHighly unlikely it goes up in any significant way any time soon. Gold is reusable, 78% of what we produce today goes to jewelry and it's already generally cheaper to melt down people's unwanted jewelry off people who dont know what it's worth to turn a buck on scrap gold than it is to mine it, hence why there's so many cash 4 gold businesses out there. You'll be waiting til the world runs out of suckers before the price of gold spikes out of scarcity and brother, you're not gonna live that long 😂
@@MizuSkythese are bots my guy
SPAM
Daily reminder that easy or free money is stolen money.
Still waiting for him to explain how this is connected to insurance and likely the derivatives markets
I have a video about Insurance in the works ;)
Respect on acknowledging the Great Benjamin
Loop holes in laws need to be gotten rid of. 😤 This whole video just proves how Corporations have gotten too greedy.
Mmm yes, the destruction of economically unsustainable business models finally realizing the classic phrase
"Fuck around and find out"
The problem is, it's all being turned into vertical integration. As usual, the bigwigs make bank, while the rest of us go into debt
They FA, and the taxpayer FO
AND MANY MORE BUSINESSES WILL FAIL IN 2024! GET READY GUYS
It's crazy to me that a company making a million dollars in revenue, up to 40 times that, is considered small, can someone explain that to me ?
What about an actually small company like a family run restaurant making just enough to live
The family restaurant would be considered a micro business and taxed more like a person or pass through entity.
A million dollars a year is like 83k a month, or around 2800 a day in gross sales. And note this is ALL gross numbers (before expenses and taxes) If you think about say, a restaurant that averages 20 dollars a person needs about 8, two person parties an hour over 8 hours to meet that mark. That might be pretty good for a restaurant but for say a lawn care company, it’s a lot simpler due to higher average charges.
Essentially, sub million in revenues is more cottage industry with the accounting and controls more like a person would operate while a million plus generally requires more of a corporate structure, or at least a more controlled structure matching the general corporate structure common in America.
Revenue can be misleading. As a car dealer you can buy a car for 19k, sell for 20k, gross 1k “profit”, have revenue of 20k and make $0 after bills but your revenue looks big
@@ohmyrage still, if you're moving a lot of money you're most likely dealing with a big company, meanwhile a single person, an athlete for example, can also be earning millions of dollars every year and not be a company at all, or a one person company technically
I was more so mindboggled by the fact moving millions of dollars still means you're small company
But I guess that makes sense in a world where multibillion dollar companies have the say on several countries' policies
Inflation
revenue aint profit and depending on the business the margins can be very slim. even if they aren't, its all relative
How is "leveraged buyout" not a Ponzi scheme?!
Capitalist government.
Some businesses declare Bankruptcy in an attempt to bail out from trouble. I worked for a corporation one time which did everything to stay afloat. Things such as laying people off and freezing assets. Bankruptcy unfortunately happened VIA Chapter 11. Company survived three more years, and is now no more.
I'm from Brazil and it's also happening here. This year we had a LOT of "Recuperações Judiciais" the equivalent of the US Chapter 11. And, for the same reasons.
I was not expecting a Benjamin reference but i am excited to see it!
I have seen this sort of thing over, and over, and over again
If things are tough in the US, the rest of the world must really be suffering.
I mean, it's generally bad. But it feels kinda weird to look at the US and see things going this bad for people in an actually rich country.
This is gross. Leveraged buyouts are terrible for companies. Taking on debt that you don't have to deal with is just wrong. So many of these companies fail later on because they can't get out from the debt that someone else created. The market or politics didn't kill them, private equity did.
So informative, this just really makes me think of all the football clubs, Manchester United, bought using a leverage buyout and Barcelona which is actually bankrupt.
It's great that the lenders get preference under chapter 7, because that way there's little to disincentivise them from lending money to companies owned by PE firms with a habit of running companies into the ground.
This channel feels you turned your college assignments into videos that you got your highest grades on.
i mean its called a video essay for a reason....
@@Internethoarder454 true. But other channels sometimes feel like they said a bunch of words and call it an essay. They don't move through the ideas with a clear purpose and cohesion like i see here. They end up rambling a bit with no point or importance regarding the "prompt".
You can’t go bankrupt unless you borrow money. Be wary of any/all debt!
Maybe YOU won’t get bankrupt because you didn’t borrow money, but if your boss’s boss borrows money and bankrupts your business, you really think it’s not going to affect you?
"20 bucks and I'm losing money" - LMAO!!!
One thing about this I'm wondering about: what the benefit to the banks?
The venture capitalist goes in with no risk because they take a loan and stuff it into the company. But the lender takes the risk instead. If the company goes into bankruptcy, even chapter 11, the lender isn't profiting and typically loses some money. None of this can work without that lender giving the money.
The housing market tried to solve this by repacking the debt, and the risk, into other products and selling them to others. That worked until it stopped causing the housing market crash in '08. A similar issue happened with car loans which is currently crashing.
So... Who's holding the bag here? Yes workers are screwed but they aren't holding the debt, just getting betrayed. SOMEONE is bag holding through this mess and losing.
Are the banks just getting reckless..... Again? Or did they find a new bag holder..... Again?
If you're rich you really can just get away with almost anything.
Amazing editing. Wow 😮 😍
If this kind of behavior is so common, and the unrecoverable debt can run into the hundreds of billions, I have to imagine that the banks are not so stupid as to not be putting something in place to protect themselves? or are the banks covered by their losses from the government in some way and it's actually the taxpayer that ends up putting the bill for this at the end of the day?
They playing 9D chess with these bankruptcies but we gotta play checkers. Our money is literally becoming just paper at this point
It's been just paper since '71
Paper? It's nearly all data these days. Also, Australia hasn't used paper for its money since the 1990s. The aussie dollar is either cupronickel, aluminium bronze, or polypropylene.
The leveraged buyout is a little too simplistic. Banks aren't just going to loan money to an organization that has a track record of defaulting on their debt. Aside from that, isn't the loan on the front end usually? The loan is secured by the assets/cash in the business I would think.
lend*. Loan as a verb is informal, and is a noun.
@@AwesomeHairo Can you loan me some money?
@@billybob-uz6wz Yes. "Can you lend me some money?" is the proper way.
@@AwesomeHairo I think they're both correct. The words are synonyms. My version does sound more clunky and awkward, so although the I'm peeved by your comment, I appreciate you helping me improve my English. It's a second language for me.
@@billybob-uz6wz Again: the word "loan" is strictly a noun.
If the shell company ordered the subsidiary to make highly risky moves the shell company should be held financially and legally responsible.
The more i learn abt private equity and the finance industry as a whole, the more im like this is why advanced capitalism is messed up
It’s not “advanced capitalism” it’s just capitalism. The pursuit of profit creates the problem.
There are two types of businesses: Those which are too big to fail, and those which will inevitably fail. Why start a small business?
And survivors mop up the losers and come out of even bigger than ever before with no to very little competition.
And as long as the cycle keeps up, the concentration of wealth cannot be stopped.
The Berkshire Hathaway model of slow, steady growth WORKS.
One of the craziest things I heard a so called financial advisor pitch was investing in a business which makes NO PROFIT solely as a tax write off. He laughed and explained to me that America had been doing that since the 1970’s and that large swaths of commercial real estate followed this model. I then pointed out that commercial real estate is getting hammered across America as to both teleworking and online shopping. He then gathered his stuff and left.😂😂😂
man financial system needs a decent simplification... doing shit like private investors do not have responsibility creates huge implications like this...
its insane that investor has incentive for a company to take insane risk
The endless cycle of:
Govern pay money and cut taxes from companies to help the economy: "You need to stop interfering in the economy, this is why it is failing"
Govern stops interfering with the economy: "Companies are failing now because the government is not interfering with the economy. Give us more money."
Loving your videos (for both of your channels) and they are only getting better. Keep it up man 👍
You've alluded to the leveraged buyout game private equity likes to play several times; it'd be interesting to see a hard look at it, and especially who, if anyone, is behaving irrationally? Sounds like the banks largely know or should know what they're getting into, and private equity is taking a deliberate gamble. Sounds like maybe employees and vendors should be taking that as a stronger sign to run for the hills and/or make sure they get theirs?
So the banks win because they end up first in line in the ensuing bankruptcy, and their investment is relatively secured. The VC guys win because they siphon out a bunch of money and get to play around with all the trappings of being a powerful CEO/investor/etc to find more grifts i mean opportunites. The people that sold them the company got a ton of money. All the decision makers profit, and they all profit big.
it's just everyone else that loses. The employees, the customers, the taxpayers.
It gets worse, before it gets worse.
"as the great Benjamin would say" All of a sudden I love this channel
We don't have a regular economy, it's all a gamble - jobs, companies, retirement, housing...it's just games to big players whose businesses run on schemes, loopholes, govt incentives, bailouts etc...
Came for economic talk, stayed for the Benjamin shoutout.
Seeing a reference to the benjamin channel in this video warmed my heart.
This whole system just doesn't make sense anymore. Capitalism was supposed to be about created real new value.
They had a decade of free money. Some bought back their shares. Some gave that money to give shareholders a return. Some gave the Directors a huge bonus. Some gambled the money away, (Private Equity, CDO's, Business Debt and Bonds) Now the bank wants its money back, because interest rates have increased.
A shout out for Benjamin! A great, hilarious, entertaining, educational fiancial channel !!
The worst and some how the funniest misconception is "The business has been around for X years" as an excuse for why the said business sucks but wont die. This is a lie, all business ends eventually so if you think you can build something better than do it go build that new business.
Lets make a law where if a company goes bankrupt, workers in the company get to vote what to do with management and CEOs. Everything is up to vote.
They can if they hold equity. The issue is that they don't. Usually when the company goes bankrupt, the employees can also do a leveraged buyout of the company but they are neither unionized nor do they see the opportunity. This is why employee stock should be mandated to be at least 35% for those who are below middle management.
Better would be to ban them from Board and Director positions and public office for ten years for the first offense, and permanently for the second. That might work,but there’s likely a way around it.
Good luck with that.
How about we just get rid of the c suite and let the workers run the place , then the bankruptcy process takes care of itself.
We need this to happen to move beyond it. Prolonging it is just making the problem worse
.
Bankruptcy is also a way to avoid lawsuits
Then people assets will disappear regardless
Still, don't forget that those companies that closed are still open for others for more things, and hopefully, we can learn the things that are closed are the ways to learn our lessons.
But then when individuals declare bankruptcy you're just screwed for a decade or forever
But when you buy at Bed Bath& Beyond you ain't buying at the same company anymore.
You are buying at Overstock that rebranded as BB&B, but they bought nothing from the former company but the names and the Webshop- URL.
It's not remotley the same entitiy.
It's actually a pretty decent get rich quick scheme.
Possible for most normal people as well.
2:36 BENJAMIN mentioned 🔥🔥🔥🦅🦅🦅
The stock market is a way to protect against inflation. Particularly in the midst of a recession, investors must understand where and how to allocate funds to protect against inflation and still make profits.
In my opinion, the impact of the rise or fall of the US dollar on investments is multifaceted, but learning how to grow your money has never been easier than now that you can passively explore and experience a truly diverse market by using an advisor. director portfolio.
Who do you trade with? Could you guide me on how to get in touch with your advisor? My funds are being eroded by inflation, and I'm seeking a more lucrative investment strategy to effectively utilize them.
Let the market be free, they said. It will correct itself, they said. It will balance everything out....
executive are overpaid ....
I’m on break from the US for a few years until yall figure yall’s shit out
Y'all remember when they blamed unions for Hostess going "under" a couple of years ago? Yea, good job by Apollo.
During that first part the whole thing just dounds like a legal ponzy scheme. That should definitely be illegal
The fact that CEOs get millions by deliberately driving their businesses into bankruptcy is disgusting.
how is all this not illegal?
For reason 1, if u heard the video, management restricture can still turn a bussness arojnd yo eventualy pay the debt (cuz the cresitors of your private equity firm would lose money if it goes bankrupt, you still want them to suceed), and it is the bank's desicion to loan your the money.
The second reason is just incomptent companies going down cuz of higer interest rates.
The third case is ilegal but people try to go around it, whivh is helped by the fact that the law doesn't knows everything so they won't investigate something, cuz they don't always know it is happening if it is kept secret.
Really eye-opening video on the 'Bankruptcy Boom'. Your detailed analysis sheds light on a critical issue that many are unaware of. The way you presented the causes and effects of this trend was both informative and thought-provoking. It's clear that this topic needs more attention and discussion, especially considering its impact on the economy and individuals. Your suggestions for navigating these challenging financial times are particularly helpful. Thanks for sharing such valuable insights - this is a must-watch for anyone looking to understand the current economic climate. Eagerly waiting for more such informative content
this would NOT work in the UK.... A CEO of a company undergoing bankruptcy is always put front centre stage during the procedure, and most CEOs who resulted in/oversaw bankruptcies are essentially committing career suicide.
Does it matter if they've received millions already? They're set for life
They get to walk with millions. There are no losers when the golden parachutes come out.
Companies also use chapter 11 bankruptcy to get out from underneath commercial leases and renegotiate loans and contracts
The rich live beyond their means, and the poor pay for it. Not exactly a new concept.
On a brighter note ceo pay is up
This video made me to think about the old joke about giving a man a gun and he’ll rob the bank, but corruption has affected the system and tbh I prefer to stick with my job and diversify my earnings using the financial market.
Exactly. You got a point. Especially with the tendencies of rate hikes due to inflation, the financial market would be a means of hedging against inflation.
I’ve always wanted to hop on the financial market to evade bankruptcy, and be dynamic with my earnings.
How do you do it?
Basically having a good broker. Tbh when I started it wasn’t really easy but I had a mentor that helped keep me in the loop and made it easier for me. Bernard Paul is my mentor.
I’m conversant with Paul. I was a beginner in trading and didn’t know what to do till I came across Paul and he shared trading insights, gave me a strong trading foundation and introduced me to his firm, ever since then I’ve been profitable.
There are no "end of the great financial crisis 2008". We are still in.
10:33 Why in the hell would banks be first on the list rather than the people the company owes money too.... WHAT?????
I mean I knew everything sucked, but this seems like it would screw over other rich people too.
I guess banks are the richest of the "rich people" (aka corporations)
Seems like a weird US-specific thing where the answer is probably "because that was the most convenient way of doing it 200 years ago"
"since the end of the global financial crisis?" *Do you have any idea who little that narrows it down?*
And of course, everything at the cost of the actual working class (ya know, people who actually have shit to worry about)
yes, please make a video about Dave Ramsey.... Thanks
I cannot stop laughing (1:25): "Now you all know I hate videos from supposed experts with wide open mouths peddling some doomer bullshit". Absolutely awesome!!!
4th wall right there
I don’t worry about things I can’t change.