General > General Technical Chat

Linus Sebastion Turned Down $100M Offer

<< < (5/35) > >>

nctnico:

--- Quote from: Ed.Kloonk on May 26, 2023, 04:46:40 pm ---
--- Quote from: asmi on May 26, 2023, 02:11:10 pm ---
--- Quote from: Ed.Kloonk on May 25, 2023, 10:19:09 pm ---I'm not convinced that the deal is so fantastic. It sounds like a lot of cash but it really isn't.

--- End quote ---
It IS a lot of cash. It is at least an order of magnitude more than what vast majority of people on this planet will earn over their entire life.

--- End quote ---
But not Linus' and Yvonne's life. That's a whole different scale by itself, you've made my point for me. These lump sum amounts go fast, especially if you have the mindset that it's an unbelievable amount.

Statistics don't lie. When you've come into a lot of money without being born into money, there is a very high risk that it all gets blown within just a few years, statistically speaking. So much so that the phenomenon had caused some lotteries around the world not to award the winnings to you in a lump sum  (one of ours does here).

--- End quote ---
The alternative is that the company's value drops significantly resulting in the same monetary loss. Building wealth by cashing out & re-investing every now and then spreads the risk and solidifies the foundation. IOW: spread your eggs over several baskets if you can. Where it comes to blowing all the money: you can't fix stupid.

Ed.Kloonk:

--- Quote from: nctnico on May 26, 2023, 05:18:33 pm ---
--- Quote from: Ed.Kloonk on May 26, 2023, 04:46:40 pm ---
--- Quote from: asmi on May 26, 2023, 02:11:10 pm ---
--- Quote from: Ed.Kloonk on May 25, 2023, 10:19:09 pm ---I'm not convinced that the deal is so fantastic. It sounds like a lot of cash but it really isn't.

--- End quote ---
It IS a lot of cash. It is at least an order of magnitude more than what vast majority of people on this planet will earn over their entire life.

--- End quote ---
But not Linus' and Yvonne's life. That's a whole different scale by itself, you've made my point for me. These lump sum amounts go fast, especially if you have the mindset that it's an unbelievable amount.

Statistics don't lie. When you've come into a lot of money without being born into money, there is a very high risk that it all gets blown within just a few years, statistically speaking. So much so that the phenomenon had caused some lotteries around the world not to award the winnings to you in a lump sum  (one of ours does here).

--- End quote ---
The alternative is that the company's value drops significantly resulting in the same monetary loss. Building wealth by cashing out & re-investing every now and then spreads the risk and solidifies the foundation.

--- End quote ---

In this climate? Who knows? We'll find out together.

asmi:

--- Quote from: Ed.Kloonk on May 26, 2023, 04:46:40 pm ---But not Linus' and Yvonne's life. That's a whole different scale by itself, you've made my point for me. These lump sum amounts go fast, especially if you have the mindset that it's an unbelievable amount.

--- End quote ---
That's because it is. Even if you blow 100k$ a month, 60M$ will last 50 years, ignoring any interest which can be made. Even at 2%/year you can be blowing 100K$/month forever, as it will bring you 1.2M$ a year in capital gains.

Bud:
You all forget tax.

SiliconWizard:

--- Quote from: Bud on May 26, 2023, 07:56:35 pm ---You all forget tax.

--- End quote ---

Yep. True.

And anyway, which I guess was the point of Dave's "Repect  :-+", not to lecture anyone at all, but just saying, not everything is about making a pile of cash and then burning it while having nothing else to do.

Someone running a successful business they have built from scratch and that they enjoy, with tens of employees that they like working with, why would they want to get rid of all this just for a pile of money (that as Bud said you'll burn in tax in probably a ton of stuff you don't really need, while suddenly finding yourself with no occupation), unless they had no choice (like huge debts)?

 :popcorn:

Navigation

[0] Message Index

[#] Next page

[*] Previous page

There was an error while thanking
Thanking...
Go to full version
Powered by SMFPacks Advanced Attachments Uploader Mod