Re:Working for a startup makes less sense
by simula67 on Tuesday December 24, 2019 @12:17AM
(#21870058)
No, it is not manifest. Investors should ideally not invest in companies that are not "Going Concerns"[1][2]. If the company fails, all investors (including employees who invest with their time and energy) should bear the losses. The increased risk is what usually justifies the outsized returns.
[1] https://en.wikipedia.org/wiki/Going_concern
[2] https://ssfllp.com/going-concern-rules-company/