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E33: AI Therapy, 4chan, and Why Conferences Are Like Cities
"The Riff" with Byrne Hobart and Erik Torenberg
Balancing Ownership and Capital for Business Growth
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.
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