Balancing Ownership and Capital for Business Growth

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When starting a company, founders initially own all of it but need to consider distributing it to employees or raising outside money for growth. This decision reflects a balance between retaining ownership and accessing capital for a profitable outcome. Refusing outside investment signals a focus on owning a larger stake in the business, while accepting it shows readiness to leverage resources for growth. The choice between venture-backed businesses and economically viable but low-return ones also plays a role in this decision-making process, influencing potential profits for both founders and investors.

This week, writer Byrne Hobart and investor Erik Torenberg discuss the economics of conferences and cities, rise of meme stocks, future of coding in the age of AI and more. beehiiv: Head to https://beehiiv.com and use code "MOZ" for 20% off your first three months.

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TIMESTAMPS:

(00:00) Intro

(00:20) Economics of conferences vs Economics of cities

(04:09) Historical and modern city dynamics

(06:02) Controversies and discussions at conferences

(10:00) Rise of meme stocks and retail investors

(17:38) Sponsor: Babbel | Beehiiv

(20:10) High volatility in stocks

(23:10) Cultural influence of 4chan and Reddit