Do you think people would do the following arrangement; work for free until the business becomes profitable (which could be never), but then get a much higher share of the labor margin?
It's an interesting question, but it's too narrowly focused. Surely we can think of more risk-reward structures than just "founding engineer?" What about worker co-ops? Revenue sharing agreements? Profit sharing? Equity on top of salary? Base pay plus performance?
Capital owners aren't the only ones taking a risk, laborers do as well. Why is it that only capital risk is considered?
State funding is socialism, I thought we weren't about that here? Anyway that's basically what this Ireland thing is about.
SBA loans are given at the whim of a bank, who is looking for a very strong guarantee of return on investment. It can also come with terms that restrict business behaviors - this is HN, just imagine Bain capital gave you ten million dollars, do you then get to run your business in a way that targets a healthy, sustainable profit margin with albeit flat growth line?
Anyway that's boring and been done before. Surely after ~300 years of plain Jane capitalism we can start playing with more exotic modes of organization? Why do only the banks get to invent new financial instruments to destroy markets with?
Capital owners aren't the only ones taking a risk, laborers do as well. Why is it that only capital risk is considered?