Comment by pigpop
2 days ago
Your employees are not barred from and often do get a piece of that speculation if they receive shares or choose to buy them. If they aren't willing to buy stock in the company they work for then how does that square with the idea that they should in some other way own more of the profit the company produces? i.e. if they choose to only put in the required labour in exchange for pay what claim do they have on that secondary market when they haven't participated in it?
A business selling grass clippings is a tortured metaphor, just use something sensible like farming. Say I buy land, pay for it to be cleared or clear it myself, buy farm machinery to work it, seed to plant it, arrange to sell it and deal with all of the business overhead of taxes, surveying, planning permissions, records, fees, etc. and maybe I even do some labour at the start to get it running before hiring others. Once I've hired other people and I'm paying them for the work they're doing, which they agreed to as a fair exchange, then what additional claim do they have on the profit I'm making from selling turnips or whatever? Why do you think they should be able to claim more if turnip prices skyrocket? Worse, what claim do they have if turnip futures go through the roof (if I had also speculated on them)?
You're talking millionaire problems and I'm talking billionaire problems. You're not getting to the billionaire class through any self-started farming business.
Billionaires are sitting in board rooms paying millionaires to deal with all that bullshit why they are just trading stocks left and right and play shell games with businesses. They're at a completely different level of capital class and wouldn't touch a blade of grass.
It doesn't really matter what the business is, farming was an example but if you need a concrete example of a billionaire that started as a farmer and built his fortune in agriculture and ag related business then look to Harry Stine[0]
There are plenty of other billionaires that started as small business owners putting in their own work. They became billionaires by successfully managing their business and scaling, expanding and pivoting it. There are also ones who derive their wealth strictly from investing or purchasing other businesses, maybe that doesn't seem like work or seems unfair for some reason but you can't just take a random person and hand them millions of dollars and expect them to turn that into a billion dollars. Most would go bankrupt if they tried, smarter ones would just be low risk millionaires living off interest or broadly diversified investment returns. To me, those ones would be the only people I'd say aren't really earning their money but if it's their money then it's their choice what they do with it.
[0]https://en.wikipedia.org/wiki/Harry_Stine_(businessman)