This is an alt account. I doubt I will use it to post again.
A friend of mine leads a startup. They are beginning to draw attention and are soon to go for investment funding. They make something to be used in sports, medicine, and space.
My friend is frustrated with the ecosystem’s current obsessions. ‘AI B2B SaaS’, making 10x returns in 3-5 years. None of it is sustainable. None of it solves real problems in a way that will keep them solved for decades to come. In a way that is truly new, and better than the old ways in consideration of social and ecological impact.
In your opinion, how might my friend best navigate their choices to positively influence the world? What actions would you take, in their shoes?
If they become a worker owned cooperative, they may be able to find a credit union that will give them a loan to grow (there are some that specialize in helping cooperatives). Likely not as much as VC money, but far more sustainable, and for the workers who work there, far more equitable and ethical.
If they take the VC money, it is fairly inevitable that they will want to sell their share of the business and bail at some point. The least they could do if they take the VC money is actively encourage and facilitate their workers to form a union with the IWW, so at least they have a head start in bargaining with their VC overlords after he cashes out. But that scenario is far less ideal than a worker coop.
Thanks for your response.
This was an interesting suggestion. A worker owned coop seems like an equitable way to operate a service.
Being that the venture will likely only ever involve a small team who are already owners, the benefit appears small in this case.
I’ll see that my friend will keep it in mind for the future.