Sharing Daily Discoveries About Personal Finance And Business Topics

Offering Partial Ownership Versus A High Salary

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There are often a lot of stories of businesses owners passing down their business to the employees who have worked there for years as for whatever reason it is time for the original founder to retire. That can be a great thing to see since it shows that everyone’s hard work and dedication towards a company did pay off I guess you can say. As well, you know that the people have to believe and love the company to stay for that long.

That’s what got me thinking of some stories I read where for some business owners who really believe in a particular worker they don’t just offer them say an increase in hourly wage. Instead, they actually offer them as part owners of the business. As a result, since people literally own a piece of the company they are then more inclined to work harder while attempting to make the company as profitable as possible since they benefit as well.

Large corporations usually do something similar such as giving shares of a company. I don’t know many business owners that would do that though. Maybe for one-time projects of sort but not actual businesses.

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